China sends mixed signals on US sanctions ahead of Trump-Xi meeting
China enacted its Anti-Sanctions Law against US penalties on refiners, then instructed banks to pause lending to them.Summary
China has invoked its Anti-Sanctions Law for the first time against US penalties targeting five Chinese refiners for allegedly buying Iranian crude oil. This law allows sanctioned entities to sue foreign parties complying with US sanctions in Chinese courts, creating a compliance dilemma for multinational corporations. However, this public defiance is contradicted by private instructions to Chinese banks to pause new lending to these same refiners, likely due to their significant dollar-denominated operations and US correspondent banking relationships. This mixed signaling is occurring just before a meeting between Presidents Trump and Xi Jinping, with analysts viewing the Anti-Sanctions Law as a bargaining chip rather than a permanent policy shift. The sanctioned refiners face significant challenges navigating conflicting directives and potential legal risks from both governments.
(Source：Crypto Briefing)