TEHRAN – New freight train connections usually only have a limitedpotential to make global headlines, but a new service launched from Chinaon Thursday could be different. Its cargo – 1,150 tons of sunflower seeds -may appears unremarkable, but its destination, however, is far moreinteresting: Tehran, the capital of Iran.
The launch of a new rail connection between Bayannur in China’s InnerMongolia Autonomous Region and Iran was announced by the official newsagency Xinhua on Thursday. Its exact path was not described in thedispatch, but travel times will apparently be shortened by at least 20 daysin comparison to cargo shipping. The sunflower seeds are now expected toarrive in Tehran in about two weeks.
While the seeds are making their steady progress across Asia, there’s a growingrisk of Iran and Israellink>breakinginto open conflict in the meantime. French President Emmanuel Macron hasalready predicted that the U.S. decision to pull out of the Iran deal wouldlead to war, especially after Iranian Foreign Minister Mohammad Javad Zarifwarned that the country may restart its nuclear program if U.S. sanctionsare imposed. Iranian rocket attacks on Wednesday and the subsequent Israeliretaliatory attacks on Thursday indicated how quickly the situation couldindeed escalate.
While the United States is now urging foreign companies to wind down theiroperations in Iran, China appears to be doing the opposite. Thursday’sfreight train connection launch was only the latest measure Beijing hastaken to intensify trade relations with Iran and there seem to be no plansso far to give in to U.S. demands.
China has indicated it might defy US President Donald Trump’s sanctions onIran by doing business with it.
During a press briefing on Wednesday, Chinese Foreign Ministry spokesmanGeng Shuang said that Iran and China would “maintain normal economic tiesand trade.”
“We will continue with our normal and transparent practical cooperationwith Iran on the basis of not violating our international obligations,” hesaid. China faces the same problem U.S. allies in Europe are currentlyfacinglink>:Even if European governments are opposed to new sanctions on Iran, Europeancompanies would have to abide by those rules or risk severe fines by theUnited States.
Even though they have expressed their outrage, some high-ranking Europeanofficials have already acknowledged that they would have few options torein in the United States if it decided to punish European companies forcontinuing to trade with Iran.
China, however, appears more defiant.
Iran’s Hassan Rouhani had established a track record for bridge-building innuclear talks with European powers
When asked whether China would order its companies to withdraw from Iran toavoid U.S. sanctions, the Chinese Foreign Ministry spokesman indicated thatBeijing might defy the Trump administration. “I want to stress that theChinese government is opposed to the imposition of unilateral sanctions andthe so-called long-arm jurisdiction by any country in accordance with itsdomestic laws,” he said.
China has to some extent managed to circumvent U.S. sanctions in the pastand may be able to do the same again this time. Some analysts have evensuggested that Chinese entities could act as intermediaries for Europeancompanies that want to continue trading with Iran, but fear violating U.S.sanctions. Such sanctions would be particularly damaging to Europeanbusinesses operating in the United States, such as plane manufacturerAirbus.
Speaking to CNBC, former U.S. diplomat Carlos Pascual said that oil salesfrom Iran via China or Russia to the rest of the world could circumventU.S. measures.