US Pushes China to Use Economic Leverage to End Iran’s Strait of Hormuz Blockade

By Maria Petrova | Editor, World | May 14, 2026 | Sofia, Bulgaria

The United States is quietly escalating diplomatic pressure on China to use its economic ties with Iran to end Tehran’s blockade of the Strait of Hormuz, according to senior US officials and analysts. With global oil markets under strain and shipping lanes disrupted, Washington appears willing to offer concessions on Taiwan in exchange for Beijing’s help in de-escalating the crisis. The approach comes as President Donald Trump prepares to meet with Chinese President Xi Jinping in Beijing this week, where Iran’s regional aggression is expected to feature prominently on the agenda.

Senator Marco Rubio, a key voice in US foreign policy discussions, confirmed in recent remarks that the administration is exploring ways to leverage China’s position as Iran’s largest trade partner. “China has significant economic influence over Iran, and we believe they can play a constructive role in persuading Tehran to lift its blockade,” Rubio said during a Senate hearing on Tuesday. “This isn’t about asking China to take sides, but rather to use its economic relationships to encourage de-escalation.”

The Strait of Hormuz, a critical chokepoint through which roughly 20% of the world’s oil supply passes daily, has been partially blocked since Iran escalated tensions in April following a series of drone strikes attributed to Israel. The blockade has sent global oil prices surging by nearly 15% in the past month, according to the International Energy Agency, while shipping insurance premiums for vessels transiting the region have tripled.

Why China’s Role Is Critical—and Contentious

China’s economic relationship with Iran is unparalleled. According to the latest trade data from China’s Ministry of Commerce, bilateral trade reached $87.2 billion in 2025, with Iran supplying nearly 12% of China’s crude oil imports. Beijing has also invested heavily in Iran’s energy sector, including a $400 million deal signed last year to develop the South Pars gas field—a project that would make China Iran’s primary energy partner for decades to come.

However, China’s willingness to intervene is far from guaranteed. Analysts point to Beijing’s careful balancing act: while publicly calling for “dialogue and restraint” in the Gulf, China has avoided direct criticism of Iran’s actions, instead framing the conflict as a regional issue that should be resolved through “multilateral diplomacy.” This approach has frustrated US officials, who argue that China’s economic leverage could be the key to ending the blockade.

Christopher Heurlin, an associate professor of government and Asian studies at Bowdoin College, warned that China will likely demand significant concessions in return for any intervention. “Beijing has made it clear that Taiwan is a red line,” Heurlin told World Today Journal. “If the US wants China to pressure Iran, it will need to be prepared to discuss Taiwan’s status—or at least signal a willingness to explore new frameworks for cross-strait relations.”

Diplomatic Chessboard: Taiwan vs. Hormuz

The potential trade-off between Taiwan and Hormuz reflects the deepening strategic competition between Washington and Beijing. US officials have privately acknowledged that China may view Iran’s actions as a distraction from Taiwan—a region Beijing considers its core sovereignty issue. By linking the two, the US hopes to create an incentive for China to prioritize de-escalation in the Gulf.

Yet the strategy carries risks. Some analysts warn that pushing China too hard on Iran could backfire, emboldening Beijing to take a harder line on Taiwan. “This is a high-stakes game of chicken,” said Elizabeth Economy, director of the Asia Studies program at the Council on Foreign Relations. “If China perceives the US is desperate, it may raise its demands.”

Iran’s Growing Isolation—and Beijing’s Dilemma

While China remains Iran’s closest ally in the region, Tehran’s blockade has isolated it further on the global stage. The United Nations Security Council held an emergency session on May 12, where US Ambassador Linda Thomas-Greenfield accused Iran of “economic terrorism,” citing the blockade’s impact on global food and energy supplies. Russia, a traditional Iranian ally, abstained from the vote, signaling its reluctance to fully back Tehran’s actions.

Iran’s Foreign Minister, Hossein Amir-Abdollahian, met with Chinese officials in Beijing last week to discuss the crisis, though no details of the discussions have been made public. Iranian state media reported that Amir-Abdollahian emphasized “the importance of maintaining stability in the region,” while Chinese Foreign Minister Wang Yi stressed the need for “all parties to exercise restraint.” The meeting came as Iran’s Ambassador to China, Mehdi Sanaei, publicly stated that ties between Tehran and Beijing would “enter a new phase” post-blockade, though he did not elaborate on what that might entail.

What’s Next: Trump-Xi Summit and the Hormuz Deadline

President Trump and President Xi Jinping are expected to discuss the Strait of Hormuz during their summit in Beijing on May 15-16. While Iran is unlikely to be the central focus—Taiwan, tariffs, and semiconductor restrictions will dominate—the Hormuz blockade could emerge as a litmus test for US-China cooperation. Analysts suggest three possible outcomes:

• China agrees to “quiet diplomacy”: Beijing may privately urge Iran to ease the blockade in exchange for US assurances on Taiwan, without making a public statement.
• No deal, but de-escalation talks: The two sides may agree to a UN-brokered dialogue involving Iran, Saudi Arabia, and regional powers, though progress would be slow.
• China sides with Iran: If the US pushes too hard, Beijing may publicly defend Iran’s actions, further isolating Washington and complicating global efforts to stabilize oil markets.

The next critical checkpoint will be the May 18 meeting of the Joint Commission on the Implementation of the Iran Nuclear Deal, where US and Iranian representatives are expected to discuss broader regional security concerns. Meanwhile, the US Navy has increased patrols in the Gulf, with Admiral Michael Gilday warning that “any attack on commercial shipping will be met with a decisive response.”

As global markets brace for further volatility, the coming days will reveal whether economic diplomacy—or military posturing—will prevail in the Strait of Hormuz. With the Trump-Xi summit looming, the world watches to see if Beijing will step into the breach or let the crisis deepen.

What do you think will be the outcome of the US-China talks on Iran? Share your analysis in the comments below—or suggest additional angles we should cover in our follow-up report.