China Diesel Exports Projected to Drop in November
China's diesel exports are expected to fall to 800,000 metric tons in November despite a government increase in refined product export quotas.
Diesel exports from China are projected to decline to approximately 800,000 metric tons in November. This represents a sharp decrease from 1.8 million tons in September and 1.33 million tons in August, following a period of high summer shipments that depleted domestic inventories.
The Government of China recently expanded the refined product export quota for the fourth quarter to 20.44 million tons, marking a 44% increase year-over-year. However, GL Consulting noted that this additional quota headroom does not guarantee an immediate increase in physical exports, as November plans were expected to decline month on month prior to the allocation.
Export policies have remained volatile throughout the year. Between April and July, Beijing restricted fuel exports in response to crude and fuel supply disruptions caused by a crisis in the Middle East and a blockage of the Strait of Hormuz.
