Russia remains China’s top oil supplier at the expense of Angola and Brazil

Russia held its spot as China’s top oil supplier for a third month in July as independent refiners stepped up purchases of discounted supplies while cutting shipments from rival suppliers such as Angola and Brazil.

Imports of Russian oil totaled 7.15 million tonnes, up 7.6% from a year ago, data from the Chinese General Administration of Customs showed. Still, Russian supplies in July, equivalent to about 1.68 million barrels per day (bpd), were below May’s record of close to 2 million bpd.

Imports from second-ranking Saudi Arabia rebounded last month from June, the lowest in more than three years, to 6.56 million tonnes, or 1.54 million bpd, but still slightly below the year-ago level.

Year-to-date imports from Russia totaled 48.45 million tonnes, up 4.4% on the year, still trailing behind Saudi Arabia, which supplied 49.84 million tonnes, or 1% below the year-ago level.

In July, China’s crude oil imports fell 9.5% from a year earlier, with daily volumes at the second lowest in four years. Refiners drew down inventories, and domestic fuel demand recovered more slowly than expected.

The solid Russian purchases squeezed out competing supplies from Angola and Brazil, which fell 27% year-on-year and 58%, respectively.

Imports from Angola, China’s fourth biggest oil supplier, reached 19.3 million tonnes since January, 15.5% less than in 2021.

Also, since the beginning of the year, oil imports from Brazil reached 14 million tonnes, 27% less, making the South American country the fifth largest supplier to China.

With information from CLBrief