China Uses Bank of Kunlun to Facilitate Yuan-Based Payments for Iranian Oil

China has been purchasing approximately $1.5 billion of Iranian crude monthly using yuan instead of dollars, circumventing US sanctions. Iranian oil shipments were reportedly relabeled as Malaysian to conceal their origin, with payments deposited into yuan accounts at Bank of Kunlun, a Chinese lender controlled by China National Petroleum Corporation. Due to sanctions limiting dollar transactions, Iran primarily uses these funds to buy Chinese goods, creating a closed payment loop that bypasses the US dollar system.