China’s imports of Iraqi oil have fallen sharply to 60,000 barrels per day.

Recent data shows a significant decline in China’s imports of Iraqi oil during May, amid global energy market turmoil resulting from tensions in the Middle East and the closure of the Strait of Hormuz.

According to an analysis published by Reuters on Monday, China’s imports of Iraqi oil fell to just 60,000 barrels per day in May, compared to 790,000 barrels per day in February, reflecting a sharp drop in Iraqi crude flows to the world’s largest oil importer.

The data indicated that China’s total imports of seaborne crude oil fell to 6.36 million barrels per day in May, the lowest level in nearly ten years, compared to 8.10 million barrels per day in April.

The report attributed this decline to the rise in global oil prices following the escalation of tensions in the Middle East, along with supply disruptions resulting from the disruption of shipments from some major producers, including Iraq and Kuwait.

He added that Chinese refineries have reduced their purchases as prices have risen, and supplies have been affected by logistical constraints and the closure of key shipping lanes, prompting Beijing to rearrange energy sources and reduce imports from a number of producing countries.

The report also suggested that China may resort to increasing its imports again, reducing refinery operations, or drawing from its strategic reserves in the coming period to compensate for the shortage in supplies.

Shafaq.com