Trump Sanctions Revive Barter Trade: China's Chery Trades Half-Built Cars for Iran's Copper

Core Insights - Barter trade activities between Chery Automobile and Iran have increased due to U.S. sanctions, allowing Chery to supply vehicles in exchange for metal ores from Iran [1][2][5] Group 1: Trade Dynamics - Chery, the largest vehicle exporter in China, has engaged in barter trade with Iran, supplying semi-knocked-down vehicles, which accounted for over half of its exports by 2016 [3] - The trade is facilitated through a separate company that routes the vehicles to Chery's local partner in Iran, MVM, for assembly [4] Group 2: Sanctions Compliance - Chery's trade does not involve U.S. dollars, thus avoiding violations of the sanctions imposed by the Trump administration on Iran [5] Group 3: Financial Performance - Chery's recent IPO on the Hong Kong stock exchange raised $1.2 billion, with its share price increasing by 11% to HK$34.16 from an initial price of HK$30.75 [8]