China Imports Less Crude Oil in May – Trade War Effect?

In May, China's crude oil imports fell by 8% after hitting a record high in April.

Arslan Butt•Monday, June 10, 2019•1 min read

Has the Chinese economy started feeling the impact of Trump’s tariffs? In May, China’s crude oil imports fell by 8% after hitting a record high in April. One of the possible reasons behind this is China’s decision to halt imports of crude oil from Iran over the US sanctions.

According to data released by the General Administration of Customs, crude imports declined to 40.23 million tons in May, from 43.73 million tons in April. On a daily basis, this figure works out to 9.47 million bpd in May, down 11% since April.

In addition to curbs on Iranian oil imports, several leading state refineries closed down for regular overhauls last month, which could also have contributed to the decline in crude imports.

So far this year till May 2019, China’s crude imports have gone up to 205 million tons, 7.6% higher than they were during the corresponding time in 2018. Meanwhile, WTI continues to trade at over $53 per barrel at the start of the new trading week.

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ABOUT THE AUTHOR See More

Arslan Butt

Index & Commodity Analyst

Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics. His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker. His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.