China increases oil purchases from Russia

Last year, China set a record for crude oil imports, increasing purchases from Russia by 1%. This was reported by the Reuters agency.

Oil imports from Saudi Arabia fell by 9%, as refiners sought cheaper Russian supplies to offset falling margins. 

According to data from China's General Administration of Customs, the total volume of oil received from Russia, including pipeline and maritime deliveries, amounted to 108.5 million tonnes, equivalent to 2.17 million barrels per day.

Maritime deliveries from Russia continued to be supported by high demand from independent refiners and major state-owned oil companies, as well as by a government directive to build up reserves.

Saudi Arabia, the largest oil producer in OPEC, supplied 78.64 million tonnes to China, equivalent to approximately 1.57 million barrels per day. This is lower than the 1.72 million barrels per day in 2023.

 The limitation on Saudi oil imports continued in 2024 due to the increased share of cheaper oil from Russia and Iran, which occurred against the backdrop of high prices. However, in the fourth quarter, Saudi Arabia's share rose following significant price cuts by OPEC and a reduction in supplies from Iran.

Total crude oil imports into China, the world's largest oil consumer, fell by 1.9% in 2024, marking the first annual decline not related to the pandemic. This occurred against the backdrop of slowing economic growth and declining fuel demand.

Oil imports from Malaysia, a key transit hub for sanctioned oil from Iran and Venezuela, increased by 28% to 70.38 million tonnes, or 1.41 million barrels per day, placing Malaysia in third place after Saudi Arabia.

Most of the Iranian oil purchased by China is directed to independent refiners, including large plants and smaller enterprises, which are facing difficulties due to low margins and weak demand for fuel and chemical products.

In December, an unusual shipment from Venezuela was also imported, amounting to nearly 290,000 tonnes. The total volume of supplies from this country in 2024 was 1.5 million tonnes, or 30,000 barrels per day.