Report lists ten firms increasing China's presence in Iran's energy sector

[ErnstBlofeld]

East Asia Intel:

leading Washington think tank has appealed to the White House to sanction Chinese companies that work with Iran's energy sector.

The Foundation for Defense of Democracies identified 10 Chinese companies that were developing or purchasing from Iran's crude oil and natural gas industries.


"The growing presence of Chinese companies in the Iranian energy sector," the report said, "presents the Obama administration with a difficult choice: to sanction any Chinese company found in violation of Iran sanctions laws, or ignore the most flagrant violators of these laws, and in so doing, reduce the likelihood that the EU, Canada, Japan, South Korea, Australia and other countries will enforce their own energy sanctions."
Titled "Iran's Chinese Energy Partners Companies Eligible for Investigation Under U.S. Sanctions Law," the report said Beijing has responded to U.S. pressure and reduced purchases of Iranian crude oil by 31.2 percent in the first half of 2010. At the same time, China increased its oil procurement from Saudi Arabia by nearly 25 percent.

Still, China has increased its presence in Iran's energy sector, the third largest supplier to Beijing. The report, authored by analysts Mark Dubowitz and Laura Grossman, said China has become one of the few countries intent on maintaining operations in Iran's energy sector.

"Persuading Chinese companies to end their business in Iran should be a top priority for the Obama administration," the report said. "The administration should continue encouraging China's other energy partners to help the Chinese meet their energy needs through other means."
Edited October 2, 2010 by clearvision
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