Iran is close to finalising a deal with China to purchase advanced anti-ship cruise missiles, according to six people familiar with the negotiations. The talks are nearing completion at a time when the United States is deploying major naval forces near the Iranian coast in preparation for possible military action against the Islamic Republic.

The deal involves the Chinese-made CM-302 supersonic anti-ship cruise missiles. These missiles can travel at very high speeds and have a range of about 290 kilometres. They are designed to fly low over the sea, making them difficult for ship defence systems to detect and intercept. According to two weapons experts, if Iran receives these missiles, it would greatly strengthen its ability to strike ships in the region, especially U.S. naval vessels.

Sources said that although the agreement is almost complete, no delivery date has been decided. Reuters was not able to confirm how many missiles Iran plans to buy, how much it will pay, or whether China will go ahead with the deal given the current tensions in the region.,

Negotiations between Iran and China began at least two years ago but sped up after a 12-day conflict between Israel and Iran in June. Among the six people who spoke about the talks were three officials briefed by the Iranian government and three security officials. They said that as discussions entered their final stages last summer, senior Iranian military and government leaders travelled to China. One of them was Massoud Oraei, Iran’s deputy defence minister. His visit to China had not been reported before.

Danny Citrinowicz, a former Israeli intelligence officer and now a senior Iran researcher at the Institute for National Security Studies, said the deal could change the balance of power in the region. “It’s a complete game-changer, if Iran has supersonic capability to attack ships in the area,” he said. “These missiles are very difficult to intercept.”

An Iranian foreign ministry official told Reuters, “Iran has military and security agreements with its allies, and now is an appropriate time to make use of these agreements.”

After the report was published, China’s Ministry of Foreign Affairs said it was not aware of the talks about a possible missile sale. China’s defence ministry did not respond to requests for comment.

The White House did not directly answer questions about the negotiations. However, a U.S. official referred to recent comments by President Donald Trump, saying he has made it clear that “either we will make a deal or we will have to do something very tough like last time,” referring to the ongoing standoff with Iran.

The possible missile transfer would be one of the most advanced weapons deals between China and Iran in recent years. It would also challenge a United Nations arms embargo first imposed in 2006. The sanctions were lifted in 2015 under a nuclear agreement between Iran, the U.S., and other world powers, but they were reimposed last September.

At the same time, the U.S. is building up its military presence near Iran. The aircraft carrier USS Abraham Lincoln and its strike group are already in the region. The USS Gerald R. Ford and its escort ships are also on their way. Together, the two carriers can carry more than 5,000 personnel and around 150 aircraft. Reuters earlier reported that the U.S. is preparing for the possibility of weeks-long military operations if President Trump orders strikes against Iran.

China, Iran, and Russia regularly conduct joint naval exercises. Last year, the U.S. Treasury Department placed sanctions on several Chinese entities for allegedly supplying chemical materials to Iran’s Islamic Revolutionary Guard Corps for use in its ballistic missile programme. China denied the accusations, saying it was unaware of the cases mentioned in the sanctions and that it strictly controls exports of dual-use goods.

During a military parade in Beijing in September, Chinese President Xi Jinping told Iranian President Masoud Pezeshkian that “China supports Iran in safeguarding sovereignty, territorial integrity and national dignity.”

On October 18, China joined Russia and Iran in sending a joint letter stating that they believed the decision to reimpose sanctions was flawed.

One official briefed on the missile talks said, “Iran has become a battlefield between the U.S.” on one side and Russia and China on the other.

Experts say Iran’s missile arsenal was weakened during last year’s conflict. Pieter Wezeman, a senior researcher at the Stockholm International Peace Research Institute, said buying the CM-302 missiles would significantly strengthen Iran’s capabilities.

The missiles are produced by the state-owned China Aerospace Science and Industry Corporation (CASIC). The company promotes the CM-302 as one of the world’s most powerful anti-ship missiles, capable of sinking large vessels such as aircraft carriers and destroyers. The missile system can be launched from ships, aircraft, or mobile ground vehicles. It can also strike land targets. CASIC did not respond to requests for comment.

Sources also said Iran is discussing the purchase of other Chinese military systems. These include surface-to-air missiles, known as MANPADS, anti-ballistic missile systems, and anti-satellite weapons.

China was one of Iran’s main arms suppliers during the 1980s. However, large-scale weapons sales decreased in the late 1990s due to international pressure. In recent years, U.S. officials have accused Chinese companies of supplying missile-related materials to Iran, but they have not publicly accused China of providing complete missile systems.

The potential deal shows growing military cooperation between China and Iran. It also adds to tensions in a region already facing serious uncertainty as the U.S. increases military pressure and Iran looks to strengthen its defence capabilities.