China will use its influence over Iran to help reopen the Strait of Hormuz, U.S. Treasury Secretary Scott Bessent told CNBC on Thursday.
“It’s absolutely in their interest to reopen the strait,” Bessent told CNBC’s Joe Kernen. “I think they will work behind the scenes to ensure that anyone has a say in the Iranian leadership.”
China is the world’s largest importer of crude oil. About 10% of its imports came from Iran and more than half from the Middle East in 2024, according to the United States. Energy Information Administration. Nearly all of Iran’s crude oil exports go to China, the Treasury secretary said.
“China has a much greater interest than the United States in reopening the strait,” Bessent told CNBC.
President Donald Trump spoke with the president Xi Jinping during a two-day summit in Beijing on Thursday. A White House official said the leaders agreed on the need to reopen Hormuz.
“Both sides agreed that the Strait of Hormuz must remain open to allow the free flow of energy,” the White House official said. “President Xi has also made clear China’s opposition to the militarization of the Strait and any efforts to impose a toll for its use.”
Iran has blocked the strait since early March in response to American and Israeli airstrikes that killed many of its leaders, including its head of state, Ayatollah Ali Khamenei. The blockade disrupted oil exports from the Persian Gulf to the global market, triggering the largest supply disruption in history. Before the war, about 20% of the world’s crude oil passed through the strait.
Tehran now claims control of the narrow sea lane, which is a major sticking point in stalled peace talks with the United States. He reportedly sought to establish a toll system for ships passing through Hormuz.
However, Chinese state media did not specifically mention Hormuz as a topic of discussion between Trump and Xi. The leaders “exchanged views on major international and regional issues, such as the situation in the Middle East,” according to the official Xinhua news agency.
Iranian ports blocked The United States imposed a blockade on Iranian ports in a bid to pressure Tehran into a deal. No oil has been loaded at its main export terminal, Kharg Island, in the past three days, Bessent said. The United States estimates that Iran’s storage tanks are full, he said.
“None of the ships are going out, none are coming in, so they are not able to store oil on the water,” the Treasury secretary said. “They’re going to start shutting down production. We can see that happening from satellite photos.”
Bessent told CNBC that China wants to buy more U.S. energy in response to supply disruption in the Middle East. China and other countries are seeking more stable energy sources, the Treasury secretary said.
The United States plans to increase exports of oil and liquefied natural gas from Alaska, a natural location from which China can import energy, due to its geographic proximity, the Treasury secretary said.
“We believe that not only China, but also countries around the world are going to look to diversify outside of the Middle East to find more stable sources of energy and what better place than the United States,” Bessent said.