China has ordered its citizens and companies not to comply with United States sanctions against five Chinese refineries accused of handling Iranian oil, deploying a law intended to counteract “extra-territorial” punitive measures for the first time.China’s Ministry of Commerce issued the “prohibition order” after the US Department of the Treasury last month announced sanctions targeting one of China’s biggest independently run “teapot” refineries.Recommended Stories list of 4 itemsend of listThe move marks a significant escalation in Beijing’s efforts to counter what it views as the unjustified “long-arm jurisdiction” of US laws and regulations.Here is what we know about China’s order and its anti-sanctions regime:What does China’s order say?In its announcement on Saturday, China’s Ministry of Commerce stipulated that the US sanctions on Hengli Petrochemical (Dalian) refinery and four other refineries previously targeted by Washington “shall not be recognised, enforced or complied with”.The ministry said the sanctions “improperly” restricted normal trade and business activities in violation of international law, and it issued its order to safeguard China’s “national sovereignty, security, and development interests”, as well as the “lawful rights and interests of Chinese citizens”.“The Chinese government has consistently opposed unilateral sanctions that lack authorisation from the United Nations and a basis in international law,” the ministry said in a statement.The US Treasury Department imposed the latest sanctions after accusing Hengli of generating hundreds of millions of dollars in revenue for Iran’s military via crude oil purchases, calling the refinery “one of Tehran’s most valued customers”. Advertisement China is Iran’s largest trade partner and by far the biggest buyer of Iranian oil.Chin …
