US official says China is ‘funding’ Iran, urges Beijing to help open Strait of Hormuz

US Treasury Secretary Scott Bessent has called on China to pressure Iran to reopen the Strait of Hormuz amid escalating tensions.

• United States Treasury Secretary Scott Bessent accused China of funding Iran by buying most of its oil.
• He urged Beijing to help reopen the Strait of Hormuz, which Iran has blocked amid rising tensions.
• The remarks come ahead of Donald Trump’s expected meeting with Xi Jinping in Beijing.

United States Treasury Secretary Scott Bessent has accused China of “funding the largest state sponsor of terrorism”, referring to Iran, saying that Beijing should help Washington in efforts to reopen the Strait of Hormuz.

Bessent’s blunt criticism of China’s relations with Iran on Monday comes ahead of US President Donald Trump’s expected visit to Beijing next week, where he is set to meet with his Chinese counterpart, Xi Jinping.

“Iran is the largest state sponsor of terrorism, and China has been buying 90% of their energy, so they are funding the largest state sponsor of terrorism,” Bessent told Fox News.

Despite the accusation, the US official called on Beijing to join Washington in its campaign to reopen the Strait of Hormuz, which has been blocked by Iran.

“The attacks from Iran have closed the Strait. We are reopening it. So I would urge the Chinese to join us in supporting this international operation,” Bessent said.

Trump had announced on Sunday that the US would “guide” ships stranded in Hormuz out of the Strait, warning Iran against interfering with the operation, dubbed “Project Freedom”.

READ | Iran fires ‘warning shots’ as US Navy says its ships entered Gulf via Hormuz

Bessent said the US is saying that the Iranians “do not have control” of Hormuz. “We have absolute control of the strait,” he added.

Still, the Secretary of the US Treasury suggested that China should use its leverage over Iran to help resolve the crisis. “Let’s see them step up with some diplomacy and get the Iranians to open the strait,” he said.

Trump’s ‘maximum pressure’

Bessent also noted that China and Russia have vetoed efforts to condemn the Iranian blockade of Hormuz at the United Nations Security Council.

Beijing and Moscow had blocked a UN draft resolution over Hormuz earlier this month, saying that it was one-sided and only denounced Tehran without addressing the US and Israeli attacks on Iran.

Chinese Ambassador Fu Cong said the draft “failed to capture the root causes and the full picture of the conflict in a comprehensive and balanced manner”.

Since nixing the multilateral nuclear deal with Iran during his first term in 2018, Trump has been trying to choke off the country’s energy experts through a “maximum pressure” campaign of sanctions.

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The agreement – formally known as the Joint Comprehensive Plan of Action (JCPOA) – saw Iran drastically scale back its nuclear programme under international supervision in exchange for the lifting of financial sanctions against its economy.

Even after the collapse of the JCPOA, China continued to import Iranian oil.

Last week, after the US imposed sanctions on Chinese entities linked to the oil trade with Iran, Beijing said that it does not recognise Washington’s claimed jurisdiction over financial transactions it is not involved in.

“China opposes illicit unilateral sanctions that have no basis in international law,” said Chinese Foreign Ministry spokesperson Lin Jian.

He added:

US-China relations

The emerging tensions over Iran follow a period of warming ties between China and the US after the two countries reached a preliminary trade deal late last year.

For years, the US has portrayed China as its top global competitor, laying out plans to counter Beijing’s growing economic, geopolitical and military power.

The relationship between the two countries soured in recent years over issues including trade disputes, Beijing’s claims to the South China Sea, and the status of Taiwan, the self-governed island China claims as its own.

But since returning to the White House in January 2025, Trump and his administration have said that Washington aims to shift its foreign policy resources to focus on the Western Hemisphere, rather than the competition in the Asia-Pacific region.

Bessent said on Monday that the summit next week will allow Trump and Xi to exchange views in person.

“We’ve had great stability in the relationship, and again, that comes from the two leaders having great respect for each other,” he said.