Iran War, Energy Shortages Boost China's Influence in Asia
The Iran war and closure of the Strait of Hormuz have created energy shortages, bolstering China's influence in Asia. Beijing is leveraging its strategic oil reserves and clean energy investments to offer relief and promote renewable technology to fuel-strapped Asian nations.
📋 Article Processing Timeline
- 📰 Published: May 8, 2026 at 11:40
- 🔍 Collected: May 8, 2026 at 12:01 (21 min after Published)
- 🤖 AI Analyzed: May 9, 2026 at 02:35 (14h 33m after Collected)
Central News Agency
(Central News Agency, reporter Li Yawen, Taipei, May 8) The Iran war and the closure of the Strait of Hormuz have created energy shortages. With China accumulating vast strategic oil reserves and investing in clean energy technology, many Asian countries are seeking Beijing's help to alleviate the impact of the war, and China's influence in Asia is continuously increasing due to the ongoing Iran war.
China is exerting influence over neighboring countries suffering from fuel shortages, pledging to ease energy supply difficulties and promote Chinese renewable energy technology. After the outbreak of the Iran war and the closure of the Strait of Hormuz, China halted refined oil exports, which put Asian countries relying on Chinese refineries for aviation fuel, gasoline, and diesel in a difficult situation.
According to a report by The New York Times Chinese Website on May 8, China is the world's largest crude oil importer, has accumulated vast strategic oil reserves, has been continuously reducing its reliance on overseas oil for decades, and has invested hundreds of billions of US dollars in the clean energy technology sector. After the outbreak of the Iran war, many Asian governments turned to Beijing, hoping it would alleviate the impact of the war.
Since the outbreak of the war, Beijing has held high-level talks with officials from the Philippines, Australia, Vietnam, Cambodia, Laos, Thailand, Myanmar, and Bangladesh.
Announcements issued by various governments show that through these diplomatic contacts, China has pledged to address regional energy security issues, and the countries involved have promised to advance diplomatic dialogue with Beijing, with some stating they will cooperate on renewable energy projects. These diplomatic efforts ensure China continues to provide some fuel, helping the Asian region avert the worst-case scenario at the initial stage of the war.
Beijing positions itself as a leader in the era of renewable and indigenous energy drivers, which stands in stark contrast to former US President Donald Trump's stance on promoting oil and gas energy. Trump's energy policies exposed most countries globally to the risk of instability in regions like the Middle East.
Michal Meidan, China Energy Research Director at the independent research institution Oxford Institute for Energy Studies, stated that China is cautiously intervening, providing support to neighboring countries as a tool of soft power, sending a signal that "we will do our best to ensure your energy security, provided that China's interests come first," while laying the foundation for a future model of energy security guaranteed by green technology exports.
Dan Wang, China Director at Eurasia Group, believes that Chinese officials are aware of the negative reputational impact brought by lending under the "Belt and Road Initiative," and Beijing views clean energy as a remedial measure to repair the negative image of the Belt and Road Initiative.
Asian economies are still enduring the economic impact of the war, reaching levels not seen since the global trade halt caused by the COVID-19 (2019 novel coronavirus disease) pandemic. Economists warn that the longer the Strait of Hormuz remains closed, the more severe the long-term damage will be to the Asian region, which is highly dependent on Middle Eastern oil.
Analysts and energy experts said that China's continued supply of some petroleum products to specific countries not only alleviates immediate local needs but also highlights how Beijing uses a "carrot" strategy to win goodwill during times of crisis. Wang Dan mentioned that China's refined oil export ban is not a complete prohibition; "it is more selective, and good diplomatic relations clearly play an important role in it."
For China, this war also creates an opportunity to promote its renewable energy technology in Asia. China holds a dominant global position in solar power plants, wind farms, smart grid equipment manufacturing, and electric vehicle production. Exporting these products overseas helps maintain China's strong export momentum, and exports are the core engine driving economic growth in the context of sluggish domestic economic growth in China. (Editor: Chen Kaiyu) 1150508
(Central News Agency, reporter Li Yawen, Taipei, May 8) The Iran war and the closure of the Strait of Hormuz have created energy shortages. With China accumulating vast strategic oil reserves and investing in clean energy technology, many Asian countries are seeking Beijing's help to alleviate the impact of the war, and China's influence in Asia is continuously increasing due to the ongoing Iran war.
China is exerting influence over neighboring countries suffering from fuel shortages, pledging to ease energy supply difficulties and promote Chinese renewable energy technology. After the outbreak of the Iran war and the closure of the Strait of Hormuz, China halted refined oil exports, which put Asian countries relying on Chinese refineries for aviation fuel, gasoline, and diesel in a difficult situation.
According to a report by The New York Times Chinese Website on May 8, China is the world's largest crude oil importer, has accumulated vast strategic oil reserves, has been continuously reducing its reliance on overseas oil for decades, and has invested hundreds of billions of US dollars in the clean energy technology sector. After the outbreak of the Iran war, many Asian governments turned to Beijing, hoping it would alleviate the impact of the war.
Since the outbreak of the war, Beijing has held high-level talks with officials from the Philippines, Australia, Vietnam, Cambodia, Laos, Thailand, Myanmar, and Bangladesh.
Announcements issued by various governments show that through these diplomatic contacts, China has pledged to address regional energy security issues, and the countries involved have promised to advance diplomatic dialogue with Beijing, with some stating they will cooperate on renewable energy projects. These diplomatic efforts ensure China continues to provide some fuel, helping the Asian region avert the worst-case scenario at the initial stage of the war.
Beijing positions itself as a leader in the era of renewable and indigenous energy drivers, which stands in stark contrast to former US President Donald Trump's stance on promoting oil and gas energy. Trump's energy policies exposed most countries globally to the risk of instability in regions like the Middle East.
Michal Meidan, China Energy Research Director at the independent research institution Oxford Institute for Energy Studies, stated that China is cautiously intervening, providing support to neighboring countries as a tool of soft power, sending a signal that "we will do our best to ensure your energy security, provided that China's interests come first," while laying the foundation for a future model of energy security guaranteed by green technology exports.
Dan Wang, China Director at Eurasia Group, believes that Chinese officials are aware of the negative reputational impact brought by lending under the "Belt and Road Initiative," and Beijing views clean energy as a remedial measure to repair the negative image of the Belt and Road Initiative.
Asian economies are still enduring the economic impact of the war, reaching levels not seen since the global trade halt caused by the COVID-19 (2019 novel coronavirus disease) pandemic. Economists warn that the longer the Strait of Hormuz remains closed, the more severe the long-term damage will be to the Asian region, which is highly dependent on Middle Eastern oil.
Analysts and energy experts said that China's continued supply of some petroleum products to specific countries not only alleviates immediate local needs but also highlights how Beijing uses a "carrot" strategy to win goodwill during times of crisis. Wang Dan mentioned that China's refined oil export ban is not a complete prohibition; "it is more selective, and good diplomatic relations clearly play an important role in it."
For China, this war also creates an opportunity to promote its renewable energy technology in Asia. China holds a dominant global position in solar power plants, wind farms, smart grid equipment manufacturing, and electric vehicle production. Exporting these products overseas helps maintain China's strong export momentum, and exports are the core engine driving economic growth in the context of sluggish domestic economic growth in China. (Editor: Chen Kaiyu) 1150508