China hesitant over J-10C barter deal with cash-strapped Iran: experts
- Tehran is said to be interested in buying 36 of the advanced Chinese fighter jets but finding the cash could be difficult
- Military analysts say now is not the time to exchange weapons for oil but believe Beijing is considering the move
Reports of Tehran’s interest in the jet have been circulating on Chinese social media platforms for months, with the expiry in October last year of the UN’s 13-year arms embargo which prohibited Iran from buying foreign weapons like tanks and fighter jets.
“The key problem is Iran can’t pay dollars or euros in cash to China, they prefer using oil and natural gas to exchange weapons,” said Zhou Chenming, a researcher with the Yuan Wang think tank, a Beijing-based military science and technology institute.
“However, China has accumulated too much energy reserves… business is business, all arms deals want to make money. It’s impossible for China to get a bad bargain.”
Zhou said the dramatic deflation of Iran’s official currency, the rial, in recent years had forced the Tehran government to hold on to as many foreign currencies as possible.
An earlier report from online media platform Sina News said Iran might buy 36 Chinese fighter jets using half of the US$3 billion in financial help from Qatar. The money was offered by the Emir of Qatar Sheikh Tamim bin Hamad Al Thani when he met Iranian President Hassan Rowhani in Tehran in January last year.