Relationship Between Iran and China in Light of Economic Sanctions Essay

blood Between Iran and chinaware in Light of Economic Sanctions Imposed on Iran - Essay ExampleIndia, same(p) many former(a) countries, has invested billions of dollars in Iranian fossil oil fields towards business oil trading purposes as well as research and maturation of oil refineries in Iran. The Economics Times reported that the Indian government-owned ONGC along with the private sector Ashok Leyland Project Services Ltd of the Hinduja group won $10 billion urge for investing in Iranian oil corporation, Naftiran Intertrade Co and Petropars Ltd in 2008. However, India eventually lost this deal to mainland chinaware after the China National Petroleum Corp (CNPC) offered to contribute towards NICOs share of the $ 2.5 billion cost for exploitation the field that holds an estimated 42 billion barrels of oil reserves, one of the worlds largest finds in the last 30 days according to The Economics Times news report. Irans conduit towards Indias proposition and favoring China i s a case of international business relations between the countries, which are further shaped by their cultures, business negotiations and semipolitical positions. It is important to note that two India and China have high demand for oil in both domestic and commercial sectors (Oil Prices, 2). Moreover, China is a larger and greater potential for business compared to India. Reports from investigation agencies revealed that interior FDI into China is at least two to three times higher than what is reported and FDI is majorly from the linked States, the United Kingdom, France and other European nations. Yet, Chinas high putridness and regulations still discourage FDI by probatory amount (Wei, 200). Sources also report that corruption has been tackled to a great extent in China compared to India, where corruption still continues to haunt its economic progress (Ragunathan, para 1). Reduction in Chinese corruption... This essay offers a comprehensive analysis of the impact, that in ternational sanctions imposition on Iran would exert on the nature of the relationships between China and Iran. While most of the other nations that traded with Iran before the imposition of the sanctions, have stopped or minimized their trade, China still seemed to be inclined towards Iranian oil reserves, owing to its huge investments in Iran. In fact, Iran dismissed its deal with Indias oil company and confirmed the same with Chinas oil company few years before the sanctions were announced. China did not heed to the warnings of sanctions from the US and succeeded in this and many other business deals in order to secure its oil reserves. With China already investing in oil business at international level with Iranian companies, the proposed sanctions on Iran will result in full consequences for China. The Iran-China relationship has only intensified during last decade, despite warnings from the US to China to stay away from Iran because of Irans advent into nuclear program and re fusal to support peace projects in neighboring countries. The US had delayed sanctions on Iran for many years because of Chinas involvement with Iran, which was an obstacle to putting international pressure on Iran.China should continue to abide by its principles and norms of not seeking control, upholding principles of sovereignty, engaging in peaceful development and in being a responsible stakeholder in the international system.