Malaysia Reclaims Second Oil Supplier Spot in China
Malaysia surpasses Saudi Arabia as China’s second-largest crude oil supplier, with imports rising by 28% in the latest data.
Malaysia’s Crude Oil Exports Surge SINGAPORE:
In a major shift, Malaysia has returned to its position as China’s second-largest crude oil supplier, after a notable 28% rise in exports last month. This surge was driven by independent Chinese refiners seeking to capitalize on cheaper sanctioned oil amidst supply issues in the Middle East.
Malaysia’s Contribution to China’s Oil Imports
China imported 7.51 million metric tons of crude oil from Malaysia in October, the equivalent of almost 1.5 million barrels per day (bpd), according to the General Administration of Chinese Customs. This move follows a month where Saudi Arabia took over as the second-largest supplier to China.
Future Outlook: Iranian Oil Discounts
Although Malaysia has reclaimed its position, the narrowing of Iranian oil discounts may result in a slight decline in the coming months, experts have warned.
Russia’s Position as Top Supplier
Russia remained China’s top oil supplier, with shipments rising 15% to 9.83 million tons, or 2.3 million bpd. Overall, China’s total crude oil imports decreased by 9% last month, continuing a trend that has persisted for six months. Meanwhile, Saudi Arabia’s imports dropped by nearly 13% year-on-year, despite still holding on to its second-largest position year-to-date.
