Iran exported approximately 70 million barrels of crude oil valued at up to $6 billion to China between mid-June and mid-July 2026 during a roughly one-month window when the US temporarily lifted sanctions on Iranian oil exports [1, 2, 3, 4, 5]. About 50 million barrels were shipped in the last half of June alone, matching Iran’s pre-war monthly export level to China [1, 2, 3, 4, 5].
Most of the oil was sold at a discount to Chinese private "teapot" refineries. To evade US sanctions, Iran used ship-to-ship transfers near Malaysia’s Eastern Outer Port Limits outside territorial waters for onward shipments, with around 20 Iranian tankers arriving offshore between June 30 and July 15 [1, 2, 3, 4, 5].
This export surge followed a temporary agreement signed on June 17, 2026, between the US and Iran that led to the lifting of the blockade. The US Commerce Department briefly exempted Iranian oil exports from sanctions on June 22 for 60 days to facilitate shipments. However, rising political tensions caused the US to reimpose sanctions on July 7, 2026 [1, 2, 3, 4, 5].
The increase in Iranian oil shipments into Asian waters in July suggests Iran may earn billions more in oil revenue in the coming months [1, 2, 3, 4, 5]. Analysts note the Iranian economy is suffering its worst crisis since the 1979 Islamic Revolution, making every dollar of oil revenue critical. Jonathan Panikoff of the Atlantic Council said, "The regime is likely to prioritise revenue for their own strategic purposes — chief among them right now is fighting the US" [2, 5].
Charlie Brown, an analyst at United Against Nuclear Iran, explained that without the temporary lifting of sanctions, Iran would have faced much greater economic pressure. He said, "If the US had maintained the blockade, the economic tightening pain would probably have erupted by now. Because the US lifted the blockade, Iran rapidly expanded exports during that window and now has a significant buffer fund again" [1, 4].
The next significant date in this timeline is the July 7 reimposition of US sanctions, marking an end to Iran’s brief sanctioned export window [1, 3].
