China, US face off on Iranian crude flows, with risks to global economy

China and the US are in an intense standoff over Iranian crude oil, with China indicating they may continue to import those medium and heavy barrels even after a sanctions waiver expires next week and the US threatening potentially severe consequences if they do.

"Really, we're now in a pretty serious poker game," said Richard Nephew, the principal deputy coordinator for sanctions policy at the US State Department during the Obama administration.

"It's a game of chicken, where neither side is prepared to fully concede, but each recognizes mutual interest in avoiding a collision," said Suzanne Maloney, deputy director of the Foreign Policy program at the Brookings Institution.

Read the full article and more in S&P Global Platts.