Xi Wants US Oil, Trump Agrees Hormuz Must Stay Open
SkimNews Take
Xi's interest in US oil, framed as diversification from the Hormuz Strait, implicitly signals China's acknowledgment of its own growing strategic vulnerability in key global shipping lanes.
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- Xi expressed interest in buying more U.S. oil to cut China’s reliance on the Strait of Hormuz, per a White House readout of his May 14 summit with Trump.
- Trump and Xi agreed the Strait of Hormuz must stay open for free energy flow and opposed any militarisation or tolls.
- China has not imported any U.S. crude since May 2025 because of a 20 % tariff, making U.S. light sweet crude uncompetitive despite the expressed interest.
- White House called the Trump‑Xi meeting “good,” a view echoed by The Hindu.
- Globe and Mail reported that Trump invited Xi to a White House visit in September, signaling a potential follow‑up.
Why it matters: The 20 % tariff blocks U.S. crude imports, which in 2024 were worth $6 billion; lifting it would let China resume buying U.S. oil, expanding U.S. refinery sales and keeping the Hormuz Strait open for global energy flow.
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