The US Treasury Department has imposed sanctions on Hengli Petrochemical (Dalian) Refinery Co., a Chinese oil refinery identified as a significant buyer of Iranian oil. In addition, approximately 40 shipping companies and vessels involved in the covert transport of Iranian oil have been penalized. This move is part of the Trump administration's strategy to increase economic pressure on Iran, particularly as the US implements a naval blockade against vessels linked to Iran in the Strait of Hormuz. Treasury Secretary Scott Bessent stated that the US will continue to target the network facilitating Iran's oil trade. These sanctions were announced on the same day that US officials, including special envoy Steve Witkoff and Jared Kushner, are set to meet with Iranian representatives in Pakistan for diplomatic discussions. The US has previously criticized China's role in supporting Iran's military efforts, further complicating the geopolitical landscape.