Iran’s commercial exchanges with its top trading partner China stood at $11.18 billion during the first nine months of 2020 to register a 38.5% decline compared with the corresponding period of 2019.
As data provided by the China’s Customs General Administration show, Iran’s exports to China totaled $4.56 billion, indicating a 58.3% year-on-year decrease.
In return, China exported $6.62 billion worth of commodities to Iran during the first three quarters of 2020, indicating an 8.3% decrease compared with the same period of last year.
Trade between the two countries stood at $1.375 billion in September 2020, marking a 17.44 fall compared with the same period of 2019. Iran’s exports to China amounted to $666.03 million, down 20%, whereas imports totaled $709.735 million, indicating a 13.81% decline year-on-year.
Figures about the two countries' Q3 commercial exchange also indicate a 30% decline in the total value of bilateral trade, from $5.49 billion in 2019 to $3.8 billion in the third quarter of 2020.
Iran’s exports to China decreased by nearly 50%, compared with the third quarter of 2019 to $1.43 billion. A total of $2.36 billion worth of goods were shipped from China to Iran during Q3, marking an 11.5% decline, compared with the same period of last year.
Iran's trade with China in 2019 stood at $23.02 billion to register a decline of 34.3% compared to 2018. It exported $13.43 billion worth of commodities to China last year, 36.3% less compared to the year before. In return, China exported $9.59 billion worth of goods to Iran, down 31.2% YOY.
The decline in Iran-China trade is mainly due to the outbreak of the new coronavirus, but the two sides are taking measures to boost their trade turnover back to its pre-coronavirus levels.
About $27b Invested During 2005-19
According to the American Enterprise Institute, China invested $26.92 billion in Iran from 2005 to 2019.
Of the total investment, $1.53 billion were made in chemical industries, $11.1 billion in energy, $4.96 billion in metals, $160 million in real estate, $6.92 billion in transport and $2.25 billion in utilities.
The value of China’s overseas investment and construction combined since 2005 exceeds $2 trillion.
Iran-China trade has fallen recently due to the outbreak of coronavirus. However, the two sides are taking all measures to boost their trade turnover back to its pre-coronavirus levels.
25-Year Strategic Partnership
The Iranian Cabinet approved the final draft of a 25-year roadmap for Iran-China strategic relations in June.
The primary purpose of the plan is to promote bilateral strategic cooperation at regional and international levels using a win-win approach.
"This plan prepares the ground for Iran-China collaboration in key projects and infrastructural development, including the great Belt and Road Initiative. It is an opportunity to attract investment in different economic sectors such as industries, tourism, information technology and communications," President Hassan Rouhani said on June 22.
Belt and Road is a global development strategy promoted by the Chinese government.
Iran prepared the 25-year roadmap for strategic relations with China and Foreign Minister Mohammad Javad Zarif presented it to Chinese authorities during his visit to Beijing in early 2019.
The document outlines a vision for long-term cooperation between Iran and China in various sectors.
