Saudi crude share of S. Korea's imports falls below 30% for 1st time in 5 yrs

This year, Saudi crude oil has accounted for less than 30 percent of South Korea's total crude imports, according to industry data released on Monday. The shift comes as local refiners aim to diversify their sources of crude due to geopolitical risks in the Middle East. The Korea National Oil Corp. and the Korea Petroleum Association reported that Saudi crude comprised 29.9 percent of the country's crude oil imports from January to August, a decrease from 30.91 percent in the previous month.

This marked the first time in five years that the share of Saudi crude dipped below the 30 percent threshold.

Despite being South Korea's largest source of crude oil, Saudi Arabia's dominance in the market appears to be at risk. The annual share of Saudi crude last fell below the 30 percent mark in 2021, during a period of global crude oil supply disruptions due to heightened tensions in the Middle East and the COVID-19 pandemic. If the downward trend persists, Saudi Arabia's share of South Korea's crude imports could drop to third place or even lower, potentially surpassing its previous low recorded in 1986, as per industry experts. The decline is believed to reflect South Korean refiners' efforts to diversify their crude sources.