• 4 minutes Energy Armageddon
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 10 minutes Russia Says Europe Will Struggle To Replace Its Oil Products
  • 12 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 2 days Reality catching up with EV forecasts
  • 4 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 3 days A Somewhat Realistic View of the Near Future for Electric Vehicles Worldwide
  • 14 days US Oil Independence is a myth and will always be a myth
  • 9 days The Federal Reserve and Money...Aspects which are not widely known
  • 14 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 17 days "Biden Is Running U.S. Energy Security Into The Ground" by Irina Slav
  • 17 days *****5 STARS - "The Markets are Rigged" by The Corbett Report
Oil Gains Momentum On Strong U.S. Economic Data

Oil Gains Momentum On Strong U.S. Economic Data

Oil continued to gain momentum…

Citi: European Oil Majors Could Become Acquisition Targets

Citi: European Oil Majors Could Become Acquisition Targets

Citi analysts are suggesting that…

Oilfield Firms See Highest Profit In Nearly A Decade

Oilfield Firms See Highest Profit In Nearly A Decade

The world’s largest oilfield services…

Michael Kern

Michael Kern

Michael Kern is a newswriter and editor at Safehaven.com and Oilprice.com, 

More Info

Premium Content

Why Are China’s Diesel Exports Surging?

  • China’s diesel exports are soaring.
  • Since last year, China’s diesel exports have nearly doubled. 
  • Most Chinese exports are expected to remain within the Asian region.

China’s diesel exports nearly doubled in October from a year earlier, although they were lower than in September, Chinese customs data showed on Friday.  

Last month, a month after China issued a fresh batch of export quotas to its refiners, shipments of diesel stood at 1.06 million tons, almost double from October 2021, but lower than the September 2022 exports that hit a 15-month high 

Some September cargoes of Chinese oil products may have been actually shipped in October, which could explain the lower October export data on diesel and other fuels, Emma Li, an analyst at Vortexa, told Bloomberg.

ADVERTISEMENT

In November, total Chinese oil product exports could be as high as 6 million tons, which would be 37% higher than in October, OilChem told Bloomberg.

Most Chinese exports are expected to remain within the Asian region. So it’s unlikely that China’s higher fuel exports will directly impact the European and U.S. diesel supply, but other refiners in Asia could boost exports to Europe in the coming months as the EU would be looking to replace its diesel imports from Russia ahead of the embargo beginning on February 5.

ADVERTISEMENT

In September, the highest Chinese exports of fuels in 15 months came just as Beijing issued its biggest fuel export quotas to its refiners for this year at the end of September. Chinese authorities have allocated 15 million tons of new fuel export quotas to its major refiners, and the quota could be rolled over into early next year.

China’s diesel exports more than doubled in September from the same month last year, to stand at 1.73 million tons, and were also significantly higher than the August exports, according to data from the Chinese General Administration of Customs. The volume of diesel exports in September was the highest monthly figure since July 2021, per Reuters estimates. To compare, China exported 830,000 tons of diesel in August 2022 and 780,000 tons in September 2021.  

By Michael Kern for Oilprice.com 

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage


ADVERTISEMENT


ADVERTISEMENT



Leave a comment
  • Mamdouh Salameh on November 18 2022 said:
    It is because there are major global shortages of diesel particularly in the United States and the EU.

    That is why China’s diesel exports have nearly doubled in October from year earlier to reach 32.67 million barrels (mb) and they are expected to hit 44.76 mb in November or 37% higher than October. This means that China's crude oil imports must be rising proportionately.

    How did the author reach the conclusion that most Chinese exports are expected to remain within the Asian region when both the US and EU markets are facing serious shortages of diesel?

    My well-informed guess is that the bulk of Chinese and also Indian exports of petroleum products are heading towards the United States and the EU.

    Dr Mamdouh G Salameh
    International Oil Economist
    Global Energy Expert

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News