Xi Jinping Vows to Enhance Trade Relations with Iran and Revive Nuclear Deal

China's President Xi Jinping has pledged to increase trade and investment cooperation with Iran and "constructively participate" in efforts to revive its nuclear deal with world powers, during a meeting with Iranian President Ebrahim Raisi in Beijing on Tuesday.

Xi said: "No matter how the international and regional situation changes, China will unswervingly develop friendly cooperation with Iran and promote the development of the China-Iran comprehensive strategic partnership."

Raisi's three-day visit to China comes as a 25-year co-operation deal signed between the two countries in 2021 failed to deliver the expected economic benefits to Tehran. Xi's efforts to deepen ties with Iran's regional rivals, such as Saudi Arabia, have also made Iran nervous.

The meeting with his Chinese counterpart was Raisi's first visit to China, and according to Iranian media, Raisi said the two countries' relations were "moving forward" but that "what has been done is still behind what should have been done."

Fan Hongda, an Iran expert at Shanghai International Studies University, said: "After the two countries signed this agreement in 2021, the relationship has not yet achieved a breakthrough. Some Iranian officials have expressed dissatisfaction with China's investment in Iran. At present, the most urgent need in Iran is economic development. Therefore, the more Chinese investment the better."

During the meeting with Raisi, Xi reiterated China's willingness to work with Iran to implement the 2021 deal, "deepen practical cooperation in trade, agriculture, industry, infrastructure and other fields, and import more high-quality Iranian agricultural products."

China's increasing tensions with the US also provide an incentive for Beijing to strengthen its ties with Tehran. Xi said: "China supports Iran in safeguarding national sovereignty and resisting unilateralism and bullying."

While China and Iran are expected to sign economic agreements in Beijing, Chinese analysts doubt whether they will bring firm commitments. Ma Xiaolin, director of the Institute for Studies on the Mediterranean Rim at Zhejiang International Studies University, said: "Chinese companies and the Chinese government cannot not be cautious when it comes to violating US sanctions because China-US relations are the most important."

On the 2015 nuclear accord between Tehran and world powers, Xi said China would "continue to constructively participate in the negotiations" on reviving "the implementation of the comprehensive agreement on the Iranian nuclear issue, support Iran in safeguarding its legitimate rights and interests and promote the early and proper resolution of the Iranian nuclear issue".

The EU has been brokering indirect talks between the US President Joe Biden's administration and Tehran in the hope of saving the nuclear pact. There have been no discussions since September when Iran was blamed for rejecting a draft proposal to revive the agreement that had been agreed by other signatories. Western diplomats have been sceptical about the prospects of reviving the deal, but Chinese analysts say there is an opportunity.