US President Donald Trump has warned China of 'big problems' if it engages in supplying weapons to Iran. The US-Israel war on Iran is currently paused following a fragile ceasefire announced after six weeks of fighting.
Pakistan had mediated talks in Islamabad, but both countries failed to reach an agreement, raising fresh fears that the war could resume.
Trump was responding to a journalist's question on Saturday about reports that China could deliver air defence systems to Iran, possibly through a third country, even when the peace talks were on in Islamabad.
China has denied claims of supplying weapons to Iran, with its defence ministry rejecting reports that Chinese firms provided satellite imagery and semiconductor manufacturing equipment to the Iranian military during the US-Israel war.
US trade representative Jamieson Greer had said that ties between the world's two largest economies are stable, but warned China against moving closer to Iran amid the Middle East conflict.