US oil exports to China down by nearly half

US crude exports to China have dropped by nearly 50 per cent this year, as changes in the country's economy reduced demand, leading China to purchase more oil from other nations, including Russia and Iran.

According to data from Kpler, US oil exports to China fell to 81.9 million barrels, down 46 per cent from 150.6 million barrels last year, Caliber.Az reports per foreign media.

This shift has dropped China from being the second-largest buyer of US crude to the sixth position. The country's slowing economic growth, along with increased use of electric vehicles and alternative energy sources like liquefied natural gas, has diminished its demand for crude, with total imports falling by 7.2 per cent compared to the previous year.

This decline in Chinese demand has contributed to lower global oil prices, and the oil market is now focusing on the outlook for 2025. China is diversifying its oil sources, with around 26 per cent of its seaborne crude now coming from Russia, Iran, and Venezuela, up from 24 per cent last year, according to Kpler data. 

Despite this shift, the Middle East remains China’s primary source, accounting for about 60 per cent of its seaborne oil imports. In contrast, Europe has become a more significant market for US crude, partly due to the inclusion of West Texas Intermediate (WTI) oil in the dated Brent, a European benchmark.

Europe has been the leading destination for US crude for the past three years, surpassing Asia after the start of the Russia-Ukraine war. The Netherlands remains the largest importer of US crude, bringing in 194 million barrels in 2024, a 12 per cent increase from the previous year. 

South Korea ranks as the second-largest importer, purchasing approximately 166 million barrels. South Korea is also seeking to offset a reduction in crude from Kazakhstan, which has redirected more oil to Italy.

By Naila Huseynova