Iran’s Oil Export Distribution by Country in 2024

Iran's 2024 oil export trends show a highly specific and planned-out trade structure. Due to ongoing international sanctions and geopolitical pressures, the country has limited access to global markets. As a result, Iran relies heavily on a small number of trading partners, with one country, China, dominating its export landscape. 

Dependence on China

In 2024, Iran exported around 1.6 million barrels of crude oil per day, totaling approximately 587 million barrels for the year. A large portion of these exports was sent to China, making it by far Iran’s largest and most important customer. In volume terms, China imported approximately 1.4 million barrels per day of Iranian crude.

This dominance shows Iran’s restricted market access due to sanctions, especially those imposed by the United States. Many countries avoid purchasing Iranian oil to prevent legal and financial risks, leaving China as a key buyer willing to continue trade. Over time, this dependence has grown significantly, with China’s share rising from around 80% in earlier years to over 90% in 2024.

China benefits from this arrangement by purchasing Iranian oil at discounted prices. Much of this oil is processed by smaller independent refineries, often called “teapot” refineries, which are more flexible in sourcing crude. Additionally, trade between Iran and China often bypasses traditional global financial systems. Instead, transactions are conducted using alternative methods such as yuan-based payments or informal banking channels.

While this partnership helps Iran maintain steady export volumes and generate revenue in 2024, it also creates a major vulnerability. Any change in China’s energy policy or external pressure on Chinese buyers could significantly impact Iran’s oil income.

Limited Diversification

Apart from China, Iran’s oil exports are distributed among several countries, but in very small proportions. Syria accounts for about 3.3% of exports, followed by the United Arab Emirates at 2.0%, Venezuela at 1.2%, Iraq at 0.9%, and Turkey at 0.6%. Other countries such as Malaysia (0.4%), Oman (0.3%), Sri Lanka (0.2%), and Lebanon (0.2%) receive even smaller shares.

Most of these countries are not major long-term buyers. Instead, some act as intermediaries, facilitating indirect trade or re-exporting Iranian oil to other markets. Others are politically aligned partners that maintain economic ties despite sanctions.

This fragmented distribution shows the challenges Iran faces in expanding its customer base. Unlike major oil exporters with diverse markets, Iran’s reliance on a few small partners limits its bargaining power and increases exposure to market and political risks.

Impact of Sanctions and Trade Mechanisms

International sanctions have not stopped Iran’s oil exports but have significantly changed how the trade operates. To maintain shipments, Iran uses complex and often less transparent methods. These include a “shadow fleet” of tankers, ship-to-ship transfers, and tactics such as disguising the origin of oil.

Hundreds of vessels and entities linked to this trade have been sanctioned, yet Iran continues to export large volumes. At times, the country has also stored oil offshore, with estimates suggesting up to 200 million barrels held in floating storage. This allows Iran to manage supply flexibly and respond to market conditions when opportunities arise.

Geography also plays a key role in Iran’s export strategy. Most shipments pass through the Strait of Hormuz, one of the world’s most critical oil transit routes, handling nearly 20% of global oil supply. Iran’s main export terminal, Kharg Island, remains central to its oil logistics, enabling the country to stay active in global energy markets despite restrictions.

Iran’s oil export distribution in 2024 clearly shows a highly concentrated and constrained trade system. Although Iran has shown resilience by maintaining export volumes under sanctions, the current structure carries significant risks. Limited diversification, reliance on complex trade networks, and exposure to geopolitical shifts make the system fragile. Going forward, Iran’s ability to stabilize and expand its oil exports will depend on both changes in global politics and its success in finding new, reliable markets.