Russia becomes China’s biggest oil supplier

RT – Russia became China’s top oil supplier in May, with exports up 55% from last year, Reuters reported on Monday, citing data from China’s General Administration of Customs.

According to the report, Russian oil imports to China last month totaled nearly 8.42 million tonnes, or 1.98 million barrels per day, including volumes pumped through the East Siberian Pacific Ocean Pipeline (ESPO) and shipments from Russian ports in Europe and the Far East. The 25% increase from April allowed Russia to displace Saudi Arabia to become China’s biggest oil supplier.

China cut its Saudi oil imports to 7.82 million tonnes, or 1.84 million barrels a day, down from April’s 2.17 million bpd. Brazil’s supply dropped 19%, totaling 2.2 million tonnes. Despite the persistent drop in demand related to Covid-19, overall oil imports from China rose by nearly 12% in May from a year earlier to 10.8 million barrels a day.

The surge in China’s purchases of Russian oil comes after Moscow introduced deep discounts on its crude earlier this year, as traditional Russian buyers began to despise exports due to Ukraine-related sanctions.

CONTINUE AFTER ADVERTISING

Since the end of February, the US, the EU and their allies have introduced restrictive measures on Russian energy supplies. In early June, the EU passed a sanctions package banning the purchase of oil from Russia and banned “insurance and reinsurance of the maritime transport of such goods”. [petróleo e derivados] to third countries”.

However, the discounts offered by Moscow attracted China and India, which intensified purchases in the last two months. According to RBC, in March, the average discount on the main crude of the Urals of Russia was about 20%, in April – 33%, although in mid-May the average monthly cost of fuel increased by almost 20%.

subscribe to 247, support by pix, subscribe to TV 247in the channel cuts 247 and watch:

CONTINUE AFTER ADVERTISING