MOSCOW (MRC) -- Russia reclaimed its position as China's biggest crude oil supplier in March, customs data showed on Tuesday, displacing Saudi Arabia after two months in second place as Moscow fights to hang on to its slice of the Chinese market, reported Reuters.
Russian shipments grew nearly 1% to 1.104 MMbpd from the same month a year earlier, as China's private refineries maintained high processing rates and restocked inventories after receiving fresh 2017 import quotas. China's crude imports rose to a record in March, overtaking the United States and shattering expectations.
Saudi shipments were 1.072 MMbbl in March, up nearly 15% from a year ago, the General Administration of Customs said. For the first three months, Saudi arrivals stood at 1.165 MMbpd, making it the top supplier on a quarterly basis.
March's record arrivals came as Saudi Arabia cut April prices of light crude as Europe and the United States ramped out supply to Asia.
The Organization of Petroleum Exporting Countries (OPEC) agreed to curb its output by about 1.2 MMbpd from January to support prices. Non-OPEC producers, including Russia, agreed to cut another 600,000 barrels, but both OPEC and non-OPEC countries continued efforts to keep Asian markets vital for growth well supplied.
March also saw the United States ramp up shipments to 45,057 bpd. A year ago, China did not import US crude.
Imports from Iran meanwhile rose 5.97% to 626,200 bpd.
We remind that, as MRC informed earlier, in September 2016, Russia's Rosneft signed a contract to supply 96 MMt of crude oil to PV Oil, an affiliate of state oil and gas PetroVietnam, starting 2017. The contract, signed on the sidelines of an international economic forum in Russia's St Petersburg, will last between 2017 and 2040.
MRC