WSJ: Iran orders missile fuel from China amid rising nuclear tensions

Iran has placed a significant order for thousands of tons of ballistic missile fuel ingredients from China, according to individuals familiar with the transaction, as Tehran seeks to enhance its military capabilities while navigating strained negotiations over its nuclear program with the United States.

The shipments, which include large quantities of ammonium perchlorate—a chemical essential to the production of solid propellants used in ballistic missiles—are expected to arrive in Iran in the coming months. Sources say the volume is sufficient to fuel hundreds of ballistic missiles, some of which may be transferred to Iran-aligned regional militias, including the Houthis in Yemen, Caliber.Az reports citing the Wall Street Journal.

Iran’s drive to expand its missile stockpile and strengthen its regional proxies comes as it continues to enrich uranium to levels just below weapons grade and has refused to place limits on its missile development as part of nuclear negotiations.

President Donald Trump, who has taken a hardline stance on Iran, said he discussed the issue during a phone call with Russian President Vladimir Putin. “Time is running out on Iran’s decision pertaining to nuclear weapons,” Trump wrote on June 4 in a social-media post.

Sources identified the Iranian entity behind the order as Pishgaman Tejarat Rafi Novin Co., which reportedly arranged the deal in recent months with Hong Kong-based Lion Commodities Holdings Ltd.

Responding to inquiries, a spokesperson for China’s Foreign Ministry said, “The Chinese side has always exercised strict control over dual-use items in accordance with China’s export control laws and regulations and its international obligations.” The spokesperson also said Beijing was unaware of the contract.

Ammonium perchlorate, while commonly used in fireworks, is also a critical oxidizer in the production of solid-fueled ballistic missiles. US officials have long cited Iran as possessing one of the region’s largest missile programs.

Earlier this year, two Iranian vessels docked in China loaded over 1,000 tons of sodium perchlorate—a chemical precursor to ammonium perchlorate. These shipments were delivered to Iranian ports in mid-February and late March. According to officials, this quantity was sufficient to power approximately 260 short-range missiles.

The newer, more extensive contract involving ammonium perchlorate could potentially enable Iran to produce up to 800 ballistic missiles, an official said. The deal was reportedly finalised before Trump announced in March that he had proposed nuclear talks to Iran’s Supreme Leader Ayatollah Ali Khamenei.

In May, the US Treasury Department added sodium perchlorate to its list of materials linked to Iran’s military, nuclear, and missile activities. A State Department official stated, “Chinese entities and individuals have provided support to Iran’s ballistic missile program, as well as to the Houthis’ missile and UAV production efforts, which is why we continue to identify and sanction them.”

The US Navy intercepted a vessel in November 2022 in the Gulf of Oman carrying over 70 tons of ammonium perchlorate. The ship was on a route frequently used by Iran to supply weapons to the Houthis.

Military analysts say the volume and pace of recent imports suggest Iran is trying to mitigate bottlenecks in its domestic arms production. 

“Iran likely needs material from abroad to avoid bottlenecks in its domestic production capabilities,” said Fabian Hinz, a military expert at the International Institute for Strategic Studies.

However, storing such materials poses significant risks. In April, a deadly explosion at Shahid Rajaee port, Iran’s key container hub, killed dozens. State media attributed the blast to the mishandling of explosive materials by a unit of the Islamic Revolutionary Guard Corps’ Quds Force. An official confirmed that some of the previously imported sodium perchlorate was destroyed in the incident.

“These substances are a major fire and explosive hazard,” Hinz warned. “Iran’s defence industrial complex does not have a strong track record in ensuring safety standards.”

Last month, Iranian customs authorities issued an urgent directive aimed at expediting the clearance of “hazardous materials” through customs, further underscoring Tehran’s prioritization of these imports.

By Sabina Mammadli