China’s Teapots Look Beyond Iranian Oil amid U.S. Blockade
China’s refiners have imported lower volumes of Iranian crude in August compared to July as the U.S. blockade reinstated in mid-July is squeezing crude supply to Iran’s top oil customer. So far this month, China is estimated to have imported about 534,000 barrels per day (bpd) of Iranian crude oil, down from an estimated 823,000 bpd in July, according to preliminary data by Kpler cited by…
China's oil refineries have seen a decline in the amount of Iranian crude oil they imported in August, following the reinstatement of the U.S. blockade on Iranian oil exports in mid-July. In August, China is expected to have imported around 534,000 barrels of Iranian crude oil per day, a significant drop from the 823,000 barrels per day imported in July.
The U.S. blockade, along with dwindling Iranian oil shipments beyond the Gulf of Oman, has led to a shortage of Iranian crude oil, forcing Chinese refiners to look for alternative sources. Sun Jianan, a senior oil analyst, stated that Chinese refiners are now considering options beyond Russia and Iran. Industry sources reveal that Iran's oil availability has rapidly decreased, with only a few tankers available for sale.
Consequently, Chinese independent refiners, known as "teapots," are now exploring alternatives like Russian crude or fuel oil to meet their needs, as their current supplies are nearly depleted.
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