China’s crude oil imports from Russia, Saudi Arabia rise, but zero-Covid chokes overall demand
- China’s demand for imported fuel has been subdued as the economy slows and Beijing clings to its zero-Covid policy
- But imports of Russian oil have remained strong, climbing 27.8 per cent in August from the same period a year ago
China’s imports of crude oil from its biggest suppliers, including Russia, climbed in August, despite subdued demand overall due to Beijing’s hardline zero-Covid policy.
The value of Russian crude imports also increased by 55 per cent in August from a year earlier.
Oil imports from Saudi Arabia recovered last month to reach 8.48 million tonnes, a rise of 5 per cent from the same time last year.
China is careful about making sure that it doesn’t become too dependent on Russia
The Middle Eastern country has long been China’s biggest crude supplier, but its monthly flows were surpassed by Russia between May and July.
Independent refineries in China have been snapping up discounted Russian commodities, which are being shunned by Western buyers following its invasion of Ukraine.
Oil flows from Iraq – China’s third largest supplier – also picked up in August, totalling 4.32 million tonnes, customs data showed.