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China Boosts Fuel Exports as Domestic Stockpiles Swell

Tue, August 18, 2026 at 11:05 AM GMT+3 2 min read

China exported 6.7% more fuel last month than it did in June, although on an annual basis fuel exports dropped by 12.9%, Reuters reported today, citing Chinese customs data.

In absolute terms, Chinese refiners exported 4.65 million tons of refined products including gasoline, diesel, jet fuel, and bunkering fuel. Diesel exports totalled 810,000 tons last month, up by 88% amid a global squeeze on diesel stocks because of the wars in the Middle East and Ukraine. This puts them on par with July 2025 export levels and 50% higher than the average monthly so far this year.

Exports of other refined oil products, however, remain substantially lower than they were before the United States and Israel launched the February 28 strikes on Iran that started the war. Gasoline exports in July were 55.3% lower than a year earlier but up by a massive 320% from June as the Chinese government relaxed fuel export curbs imposed in March. Jet fuel exports were down 33% on an annual basis but up 42% on a monthly basis.

In early March, days after the conflict in the Middle East erupted and led to the closure of the Strait of Hormuz, the Chinese government moved to ban all fuel exports amid a worsening supply crunch, with the exception of some volumes shipping out to certain countries in Southeast Asia.

Beijing began to relax the curbs later, with the latest easing announced earlier this month, totalling 2.7 million tons of refined products, to be in effect until the end of August. However, refiners would be allowed to roll over some of those volumes to September if they cannot find buyers for the full amount. The easing of the curbs was prompted by abundant domestic stocks that, according to analysts, helped the world avoid a sharper oil price spike because of the Iran war.

By Irina Slav for Oilprice.com

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