---
title: "Iran uses barter system to buy Chinese goods, bypassing sanctions"
publication: "MediaBias News"
url: "https://mediabias.news/business/iran-uses-barter-system-to-buy-chinese-goods-bypassing-sanctions"
api: "https://mediabias.news/api/v1/stories/iran-uses-barter-system-to-buy-chinese-goods-bypassing-sanctions"
markdown: "https://mediabias.news/business/iran-uses-barter-system-to-buy-chinese-goods-bypassing-sanctions.md"
audio: "https://mediabias.news/api/audio/iran-uses-barter-system-to-buy-chinese-goods-bypassing-sanctions"
category: "Business & Economy"
area: "Middle East"
published: "2026-09-10T13:05:15.273Z"
source_reported: "2026-09-10T12:14:10.856Z"
updated: "2026-09-10T13:05:15.273Z"
trust_score: 60
critic_score: 65
hype_score: 45
assessment_type: "coverage-and-source-reporting-analysis"
fact_check_status: "not-performed"
coverage_measured: "2026-09-10T14:15:06.722118+00:00"
---

# Iran uses barter system to buy Chinese goods, bypassing sanctions

*Tehran converts oil revenues into credits to purchase items from China, avoiding international banking.*

**Scores for the source reporting** (0-100, assessing the original journalism this article was written from, not this write-up): 

- Trust 60 of 100, higher is better. Central claims attributed to Reuters and named sources, with some details on financial mechanisms.
- Craft 65 of 100, higher is better. Reporting is largely based on a single Reuters investigation, with limited independent verification.
- Hype 45 of 100, lower is better. Headlines use strong verbs like 'evade' and 'dodge' but the body provides detailed explanations.

Scored by MediaBias News; method at https://mediabias.news/methodology.

**The short version**

- Iran is using a barter-like system to exchange oil for goods from China, circumventing US sanctions.
- Oil revenues are converted into credits, enabling purchases of items like medicines, vehicles, and air-defence equipment.
- The arrangement involves a China-based entity called ChuXin and a Special Purpose Vehicle (SPV).
- China accounted for over 80% of Iran's oil shipments in 2025, averaging 1.4 million barrels per day.

Iran has implemented a barter-like mechanism to bypass US sanctions on its oil exports and acquire goods from China. This system converts oil revenues into credits, which are then used to pay Chinese suppliers, thereby avoiding direct international banking transfers. The arrangement has facilitated the purchase of various goods, including medicines, vehicles, communications equipment, and air-defence equipment.

The mechanism reportedly involves a China-based financial entity named ChuXin and a Special Purpose Vehicle (SPV). This structure is designed to shield Iranian banks and exporters from international scrutiny. China has become Iran's primary oil customer, accounting for more than 80 per cent of its oil shipments in 2025, with imports averaging approximately 1.4 million barrels per day. This significant trade volume underscores the importance of alternative payment mechanisms for Tehran.

## Disagreement on the value of funds moved

Sources familiar with the arrangement provided differing estimates for the total funds that have moved through the Special Purpose Vehicle. Some sources indicated that between $2 billion and $2.5 billion had flowed through the SPV over the past year, as reported by India Today. Other reports, such as those from The Straits Times and WTVB, mention a "billion-dollar sanctions dodge" without specifying a range.

## What the coverage left out

None of the left-rated or centre-rated digests mention the specific financial entity known as ChuXin or the Special Purpose Vehicle (SPV) that are described as key components of the arrangement in the right-rated and unrated reports. Additionally, the left-rated digest does not specify the average daily oil shipments from Iran to China in 2025, a detail present in the right-rated India Today report.

## Who covered it

Shares of the 10 covering outlets with a published leaning rating:

- Left: 10% (1)
- Centre: 30% (3)
- Right: 60% (6)

14 of 24 covering outlets carried no usable leaning rating and were excluded from those percentages. Coverage measured 2026-09-10T14:15:06.722118+00:00.

**Coverage watch:** developing. Checked 6 times; 0 checks found a material change. Most recently checked 2026-09-10T14:30:07.664Z.

## How the sides framed it

### Left

- The single left-rated report from Haaretz highlighted that Iran has long relied on China as its main oil customer. It noted that Tehran has converted oil revenues into Chinese goods, including millions of dollars' worth of air-defense equipment, while evading international scrutiny. The report framed this as a revelation from an investigation.

### Centre

- The centre-rated reports from Jerusalem Post and WTVB focused on Iran dodging sanctions through a barter system to buy billions of dollars of Chinese goods. The Jerusalem Post described the secretive trade mechanism as a financial lifeline for Tehran in recent years. WTVB, in an exclusive report, highlighted how a "billion-dollar sanctions dodge" kept Chinese goods flowing to Iran.

### Right

- The right-rated reports from India Today, VINnews, Korrespondent.net, Yonhap News Agency, and The Straits Times all led with Iran's use of a secret barter-like system to circumvent US sanctions on its oil exports and purchase Chinese goods. India Today's headline stated, "How Iran's secret barter trade with China helps evade US sanctions," and detailed the mechanism, including the purchase of air-defence equipment. VINnews reported that the system has been operating since at least 2021. Yonhap News Agency described it as a "secret 'Barter' Trade Network." The Straits Times noted that "a billion-dollar sanctions dodge kept Chinese goods flowing to Iran."

**Provisional coverage gap:** left. The watch is not closed, so this is not yet a settled blindspot finding.

## Factuality profile of the covering outlets

These are published factuality ratings of the outlets, not a verdict on whether this story or its claims are true.

- mixed: 2
- high: 7
- unknown: 14
- veryHigh: 1

## Verification scope

This page compares coverage and scores the source reporting. It is not a ClaimReview verdict on whether the underlying event or claim is true.

## Original reporting this was written from

- [Haaretz](https://haaretz.com/middle-east-news/iran/2026-09-10/ty-article/iran-used-oil-for-goods-deals-with-china-to-bypass-sanctions-sources-say/000001a0-8a5c-d9dc-a9a9-8ade0f160000) — Iran used oil-for-goods deals with China to bypass sanctions, sources say
- [VINnews](https://vinnews.com/2026/09/10/report-iran-uses-secret-barter-like-system-to-bypass-sanctions-and-buy-chinese-goods) — Report: Iran Uses Secret Barter-Like System To Bypass Sanctions and Buy Chinese Goods
- [Korrespondent.net](https://korrespondent.net/business/economics/4910648-yran-obkhodyt-sanktsyy-obmenyvaia-neft-na-kytaiskye-tovary-smy) — Iran Circumvents Sanctions by Exchanging Oil for Chinese Products
- [Ukrainian Shipping Magazine — Новости судоходства Украины и мира](https://usm.media/reuters-iran-obhodit-sankcziyi-cherez-barternu-shemu-obminu-nafti-na-tovari-kitayu) — Reuters: Iran Bypasses Sanctions Due to “Barter Scheme” of Exchanging Oil for Chinese Goods
- [DiarioBitcoin](https://diariobitcoin.com/china/iran-sortea-sanciones-con-trueques-para-comprar-miles-de-millones-de-dolares-en-bienes-chinos) — Iran Tributes Bargaining Sanctions to Buy Billions of Dollars in Chinese Goods · Global Voices
- [Roze News](https://rozenews.com.pk/archives/170073) — Iran Breaks US Sanctions, Starts Trading Goods
- [KAYHAN LIFE](https://kayhanlife.com/business/exclusive-how-a-billion-dollar-sanctions-dodge-kept-chinese-goods-flowing-to-iran) — EXCLUSIVE—How a Billion-Dollar Sanctions Dodge Kept Chinese Goods Flowing to Iran
- [Aktuality.sk](https://aktuality.sk/clanok/fFfloOK/iran-vyuziva-tajny-barterovy-mechanizmus-s-cinou-na-obchadzanie-sankcii-na-predaj-svojej-ropy) — Iran Uses Secret Barter Mechanism with China to Circumvent Sanctions to Sell Its Oil
- [Economy.pk](https://economy.pk/international/iran-reportedly-uses-barter-style-system-with-china-to-bypass-oil-sanctions) — Iran Reportedly Uses Barter-Style System with China
- [The Zambian Observer](https://zambianobserver.com/iran-reportedly-uses-alternative-trade-system-to-bypass-western-sanctions) — Iran Reportedly Uses Alternative Trade System to Bypass Western Sanctions
- [Hospodárske Noviny](https://hnonline.sk/finweb/zahranicna-ekonomika/96301582-iran-obchadza-sankcie-vymenou-ropy-za-cinsky-tovar-ziskal-takto-uz-miliardy-dolarov-pise-reuters) — Iran Bypasses Sanctions by Exchanging Oil for Chinese Goods, Has Already Raised Billions of Dollars, Writes Reuters
- [연합뉴스-Yonhap News Agency](https://yna.co.kr/view/AKR20260910142400079) — Iran Establishes Secret 'Barter' Trade Network with China to Circumvent US Sanctions
- [nafeza2world.com](http://nafeza2world.com/Msr/2777038) — News of Egypt: an Iranian Trick to Fool Washington, Tehran, Resorting to Trade with China to Escape Sanctions on Oil.
- [India Today](https://indiatoday.in/world/story/iran-china-oil-sanctions-barter-trade-chinese-goods-sources-2991382-2026-09-10) — How Iran's secret barter trade with China helps evade US sanctions
- [Forbes Georgia](https://forbes.ge/reuters-rogor-inarchunebs-chineththan-vatchrobas-irani-sanqtsiebis-gverdis-avlith) — Reuters: How Does Iran Maintain Trade with China While Bypassing Sanctions?
- [Reuters](https://reuters.com/world/asia-pacific/how-billion-dollar-sanctions-dodge-kept-chinese-goods-flowing-iran-2026-09-10) — EXCLUSIVE: How a billion-dollar sanctions dodge kept Chinese goods ...
- [Jerusalem Post](https://jpost.com/middle-east/iran-news/article-908205) — Iran dodges sanctions using barter system to buy billions of dollars of Chinese goods
- [IMLebanon](https://imlebanon.org/2026/09/10/iran-china-876) — Iran Is Circumventing the Oil Sanctions with a Trade-Off Mechanism with China.
- [Cryptocurrency News | Cryptocurrency Prices | Market Cap](https://cryptocurrency.com.tr/iran-dodges-sanctions-using-barter-system-to-buy-billions-of-dollars-of-chinese-goods-372321) — Iran dodges sanctions using barter system to buy billions of dollars of Chinese goods
- [Crypto Briefing](https://cryptobriefing.com/iran-dodges-sanctions-using-barter-system-to-buy-billions-of-dollars-of-chinese) — Iran dodges sanctions using barter system to buy billions of dollars of Chinese goods
- [Unknown](https://aajtak.in/world/story/iran-china-oil-for-goods-barter-deal-bypass-sanctions-air-defense-equipment-us-trump-ntc-agkp-rpti-2640032-2026-09-10) — Instead of Oil, Air Defense and weapons... Iran's Secret Barter System with China Betrayed US-Western Sanctions
- [The Straits Times](https://straitstimes.com/asia/how-a-billion-dollar-sanctions-dodge-kept-chinese-goods-flowing-to-iran) — How a billion-dollar sanctions dodge kept Chinese goods flowing to Iran
- [WTVB](https://wtvbam.com/2026/09/10/exclusive-how-a-billion-dollar-sanctions-dodge-kept-chinese-goods-flowing-to-iran) — Exclusive-How a billion-dollar sanctions dodge kept Chinese goods flowing to Iran
- [BizToc](https://biztoc.com/x/75307b673b57bd61) — Exclusive-How a billion-dollar sanctions dodge kept Chinese goods flowing to Iran

## Questions

**How does Iran use oil revenues to buy Chinese goods?**

Iran converts its oil revenues into credits through a barter-like mechanism. These credits are then used to pay Chinese suppliers, bypassing direct international banking transfers and circumventing US sanctions on its oil exports.

**What kind of goods does Iran purchase from China using this system?**

Purchases through this mechanism include a range of items such as medicines, vehicles, communications equipment, and air-defence equipment. The system allows Iran to acquire these goods despite international sanctions.

**What entities are reportedly involved in this trade arrangement?**

The arrangement reportedly involves a China-based financial entity known as ChuXin and a Special Purpose Vehicle (SPV). These entities help manage the flow of funds and facilitate payments between Iranian oil revenues and Chinese suppliers.

---

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