"We have agreed to fully apply maximum pressure on Iran, for example regarding Iran's oil sales to China," a senior official told Axios.
The announcement comes after Trump met with Netanyahu on Wednesday. Trump has issued an executive order allowing the U.S. to impose 25 percent tariffs on countries doing business with Iran.
Over 80 percent of Iranian oil exports go to China. If these exports decline, the economic pressure on Iran will increase significantly.
On Tuesday, U.S. envoy Steve Witkoff and Trump's son-in-law, Jared Kushner, will meet with Iranian representatives in Geneva, Switzerland.
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