• 3 minutes This Battery Uses Up CO2 to Create Energy
  • 5 minutes Shale Oil Fiasco
  • 9 minutes Don't sneeze. Coronavirus is a threat to oil markets and global economies
  • 12 minutes Historian Slams Greta. I Don't See Her in Beijing or Delhi.
  • 14 hours Boris Johnson taken decision about 5G Huawei ban by delay (fait accompli method)
  • 3 mins Which type of Hegemony will China follow
  • 3 hours China gets caught?
  • 4 hours Demand for Diesel vs. Oil
  • 17 hours Yesterday POLEXIT started (Poles do not want to leave EU, but Poland made the decisive step towards becoming dictatorship, in breach of accession treaty)
  • 17 mins Us Shale: Moving the US shale revolution forward
  • 2 days Here is Why People Lose Money Trading Natural Gas
  • 18 hours Environmentalists demand oil and gas companies *IN THE USA AND CANADA* reduce emissions to address climate change
  • 1 day Tesla Will ‘Disappear’ Or ‘Lose 80%’ Of Its Value
  • 2 days Let’s take a Historical walk around the Rig
  • 2 days US Shale: Technology
  • 2 days Governments that wasted massive windfalls

Breaking News:

Oil Prices Rise On Surprise Crude Draw

Alt Text

5 Reasons Why Big Oil Is Here To Stay

Big Oil has faced an…

Alt Text

Speculators Are Dragging Down Natural Gas

It seems that fundamentals can…

Alt Text

Find Gas Stations Near You On Oilprice.com

No matter where you are…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

China’s Crude Oil Throughput Hits Record High

Chinese refineries processed 102.49 million tons of crude oil during the first two months of the year, up 6.1 percent on the year, according to customs data. This translated into 12.68 million bpd, which was the highest on record, according to calculations made by Reuters.

Most of this crude oil, based on import figures, came from abroad. February marked the fourth month in a row of crude oil imports into the country exceeding the 10-million-bpd mark.

In February, China imported 39.22 million tons of crude, or 10.23 million bpd, up 21.6 percent on the year. In January, imports stood at 42.6 million tons or 10.03 million bpd, up 4.8 percent on the year.

Independent refiners, commonly called teapots, led the increase in November 2018 when the country hit an all-time high of 10.43 million bpd. That record came as a result of teapots rushing to exhaust their 2018 crude oil import quotas before the year was over.

This year, the initial round of independent refiner quotas are lower, as the local market sinks in a glut of fuels and the regional market begins to feel the margin squeeze of cheap Chinese fuel exports.

According to Bloomberg Intelligence analyst Lu Wang, some 890,000 bpd in new refining capacity will come on stream in China. Next year, the amount of new capacity to start operating will stand at 1.08 million bpd. In 2021, another 1.12 million bpd will be added.

As a result, it’s reasonable to expect an even worse glut, especially as the new emission rules of the International Maritime Organization enter into effect next year, hitting demand for high-sulfur bunkering. And yet, demand for crude oil remains strong in China, according to some industry sources.

The latest indication of its strength was the resumption of U.S. oil imports earlier this month. A tanker that can carry 600,000 bpd offloaded a crude cargo from the Eagle Ford on March 1, Reuters shipping data showed. This was the first U.S. oil cargo to reach China since August last year.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage




Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play