China becomes dominant buyer of Iranian oil, taking around 90% of exports in 2025
China has emerged as the overwhelming buyer of Iranian crude oil, accounting for around 90 percent of Iran’s oil exports in 2025.
China has emerged as the overwhelming buyer of Iranian crude oil, accounting for around 90 percent of Iran’s oil exports in 2025.
Back in 2017, Iran’s oil exports were spread across several major global buyers. According to trade data from Visual Capitalist, China accounted for about 26 perrcent of Iranian oil exports, followed by India at 20 percent, the European Union at 19 percent, South Korea at 12 percent, and Turkey at around 10 percent.
Other countries such as the United Arab Emirates, Japan, Syria and Taiwan also imported smaller volumes, creating a relatively diversified export market for Iranian crude.
That picture changed dramatically in 2025.
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Recent tanker tracking and trade analysis show that China now absorbs roughly 90 percent of Iran’s crude exports, making it by far Tehran’s largest energy customer. The remaining shipments are distributed among a handful of smaller buyers, including Syria, the United Arab Emirates and Venezuela, with other destinations accounting for only a small fraction of exports.
The shift toward China has been largely driven by U.S. sanctions on Iran’s energy sector, which were reimposed after Washington withdrew from the 2015 nuclear agreement in 2018. The sanctions restricted many countries and companies from purchasing Iranian oil or conducting transactions with Iranian financial institutions.
As a result, many traditional buyers, including European nations, Japan and South Korea, sharply reduced or halted imports of Iranian crude.
China, however, continued purchasing Iranian oil, often through indirect channels or discounted contracts. According to analysts at Kpler, Iranian crude has frequently been sold at significant discounts compared with global benchmark prices, making it attractive for Chinese refiners.
The growing dominance of China in Iran’s oil export market reflects a broader strategic partnership between the two countries.
In 2021, Iran and China signed a 25-year cooperation agreement aimed at expanding economic ties, including investments in energy, infrastructure and trade. While many details of the deal remain unclear, analysts say energy cooperation forms a central pillar of the relationship.
For China, securing discounted oil supplies helps meet the country’s vast energy demand. China remains the world’s largest crude oil importer, according to data from the International Energy Agency (IEA).
For Iran, China provides a critical economic lifeline at a time when sanctions limit access to many other markets.
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