Exports of Chinese diesel increased nearly fourfold in May compared to last year

Data showed that China's exports of refined fuel products rose in May from a year earlier as weak domestic demand prompted refineries to ship surplus supplies abroad while crude imports remained high.   

Diesel exports soared nearly fourfold to 600,000 metric tons compared to last year while gasoline exports increased 67% to 1.36 million metric tons.   

Domestic demand for diesel was affected by the ongoing real estate slump in China as well as slowing industrial activity. Gasoline demand was also expected to fall in May as road travels returned to normal after the national holiday early in the month.   

Analysts said that retail sales fell after the holiday, reducing demand for gasoline and diesel and boosting exports.   

Jet fuel exports also rose to 950,000 metric tons from 810,000 tons last year amid higher demand from the aviation sector.    

Total exports of refined fuel, which also includes fuel oil, increased 49.8% from a year earlier to 4.88 million metric tons in May.   

Imports of liquefied natural gas rose 31.5% to 6.41 million metric tons in May as sharp price discounts encouraged purchases.

 

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