China's oil imports continue to decline as volumes in May hit an eight-year low
China's crude imports in May fell 29%, to the lowest level?in 8 years. This is a continuation of a sharp drop that has been seen by the world's largest oil importer. Customs data on Tuesday showed that imports fell to 33.08 millions tons or 7.79 billion barrels per day - the lowest since February 2018. Imports in April fell to a multiyear low of 9.3 millions bpd. Chinese refiners had to draw on their reserves to compensate for a?even greater decline than the average of 11million bpd before the U.S. and Israeli war?on Iran.
India's palm oil imports in May improve; soyoil increases on shrinking premium
Five dealers said that India's imports of palm oil rose modestly from the previous month's low but remained below average. Refiners switched to soyoil as palm's price edge over competing oils shrank, they said. Imports of palm oil from the world's largest importer could be lower than usual, which would increase stocks in major producers Indonesia and Malaysia. This could also weigh on futures contracts for Malaysian benchmark palm oil. Dealer estimates show that palm oil imports increased to 551,000 tons in May from 513 403 tons in April.
VEGOILS - Palm oil records a second consecutive weekly gain
Malaysian palm oils futures reversed gains and closed lower on Friday, but they still booked their second consecutive weekly gain of 1.09%. The benchmark palm oil contract for August delivery at Bursa Derivatives Exchange fell 2 ringgit or 0.04% to 4,535 Ringgit ($1,144.34). Futures trading will be suspended on June 1, and 2?. Trading will resume Wednesday, June 3. Dalian's palm oil contract grew by 0.37%, while the most active soyoil contract rose by 0.75%. Prices of soyoil on the Chicago Board of Trade rose 0.1%.
Palm oil companies on Dalian's stronger Dalian set to gain for the second consecutive weekly gain
The price of Malaysian palm oil futures increased on Friday as they tracked a stronger rival edible oil at the Dalian Market. They were also on track to achieve their second consecutive weekly gain. By midday, the benchmark palm oil contract on Bursa Derivatives Exchange for August delivery had gained 15 ringgit or 0.33% to 4,552 Ringgit ($1,148.62). Futures are up 1.47% this week. Trading will resume on Wednesday June 3, after the?futures are closed for two days. Dalian's palm oil contract gained 0.24%, while the most active?soyoil contract increased by 0.68%.
India's ethanol push leads to a big increase in land used for fuel production
In just four years, the land used for ethanol production has increased eight-fold. India imports 85% of its crude oil. Using more ethanol made from sugarcane, maize and rice is one way to increase its energy security. The state-run oil companies mix 20% ethanol into each litre of petrol before it reaches the pump. Data presented this month by Delhi-based Arcus Policy Research showed that the area of land used for ethanol feedstocks has increased from 0.7m hectares to 5.7m hectares between 2024-25. This reflects a rapid increase in grain-based production.
Saudi Arabia will burn more oil to generate electricity this summer, as gas production falls
Analysts say that Saudi Arabia will burn more fuel oil imported for power generation in the summer due to a lack of natural gas from oilfields which have been closed?after Iran war curtailed its?oil?exports. Fuel oil consumption at power plants is on the rise just as summer cooling demands are increasing. This is a setback to the Kingdom's efforts to switch to cleaner fuels. After an Iranian blockade of the Strait of Hormuz, the world's largest oil exporter was forced to close more than 3,000,000 barrels of oil per day of production.
China's oil throughput in April is the lowest since August 20, 22. Inventories rise.
China's crude oil throughput in April fell to its lowest level?since August 20, 2022, according to official data released on Monday. The Iran war has curtailed refinery operations in the second largest oil consumer of the world. The National Bureau of Statistics reported that the refinery's throughput dropped 5.8% compared to a year ago, falling to 54.65 millions metric tons or approximately 13.3 million barrels a day. The data shows that the output in the first quarter of the year dropped by 0.5% to 238.95?million metric tonnes, or 14.54 millions bpd.
Palm extends its losses into a second day due to weak demand
Malaysian palm oil futures fell more than 1% in price on Wednesday as the prices were pressured by a subdued demand. By midday, the benchmark?palm-oil contract?for delivery in July on the Bursa Malaysia Derivatives Exchange had fallen 62 ringgit (1.38%) to 4,419 Ringgit ($1,125.86). The previous session saw a drop of 0.78%. Paramalingam Supramaniam, Director at brokerage Pelindung Bestari, says that the market is concerned about the lack demand from India and China. He said that "Indian buyers have switched to Argentinian soybean oil…
Russell: Hormuz's impact on China's commodity imports is evident in the oil and metals prices.
China's imports of commodities are being influenced by the Iran conflict. April data shows a sharp drop in crude oil, but a rise in trade in metals. Customs figures last week showed a sharp decline in crude oil arrivals, the lowest level in nearly four years. Imports in April were down by?20% compared to the same period in 2025, as seaborne imports?declined dramatically?amid a sharp decline of Middle East imports?amid an effective closure of Strait of Hormuz following the U.S. attack on Iran on February 28, 2019.
Deal between Trump and Xi could boost US energy exports in China
U.S. president Donald Trump is expected to arrive in Beijing on May 14-15 for a meeting with President Xi Jinping. U.S. officials'say that a deal could be considered for Beijing to purchase more U.S. Energy. Tariffs on U.S. LNG and oil imports from China have been halted. These imports were worth $8.4billion in 2024 - the year Trump entered his second term. Here's a brief summary of its major components. Analysts say that China's imports from the United States of liquefied gas (LNG), have been influenced by geopolitical developments, and could be a sign of improvement if relations improve.
Russell: Hormuz's impact on China's commodity imports is evident in the oil and metals prices.
China's imports are being influenced by the Iran war. April data shows a sharp drop in crude oil, but a rise in trade of metals. Customs figures last week showed a sharp decline in crude oil arrivals, the largest in nearly four years. Imports in April were down by?20% compared to the same period in 2025, as seaborne imports from the Middle East dropped sharply due to the closure of the Strait?of?Hormuz? since the U.S. & Israel attacked Iran on 28 February. According to Kpler's data, China only received 648,000 bpd through the Strait of Hormuz during April.
China's energy imports fall in April amid the Iran War as fuel exports reach a decade-low
China's oil exports dropped to their lowest level in nearly four years as the Strait of Hormuz was closed in April, cutting off the oil supplies to the world's largest oil importer. According to data released by the customs on Saturday, crude oil imports fell?20% to 38.5 millions metric tons in April compared to one year ago, reaching their lowest level since 2022. China imports about half its crude oil from Middle East. The closure of the strait in the Middle East has reduced the number of oil tankers that can transport oil and refined products around the world.
Even if the conflict ends, oil supply shock will worsen due to further decline in inventories
Even if U.S.-Iran reach a peaceful agreement to end their war, oil supplies will tighten in the coming weeks. It will take weeks before oil shipments from the Middle East Gulf can be resumed and reached refiners around the world. Oil companies will therefore continue to deplete the storage tanks they have to meet the 'peak summer demand. World has used temporary buffers to absorb the shock of the Middle East war. These include commercial stocks, oil in transit or stored at sea, and emergency reserves.
Even if the conflict ends, oil supply shock will worsen due to further decline in inventories
Even if U.S. and Iran reach a peaceful agreement to end their conflict, oil supplies will tighten in the coming weeks. It will take weeks for oil to be shipped from the Middle East Gulf to refiners around the world. Oil companies will therefore continue to deplete the storage tanks they have to meet the peak summer demand. World has temporarily buffered the impact of the Middle East war by using?commercial stocks, oil in transit and stored at sea as well as emergency?reserves. Markets and global economies have yet to feel the full impact of the disruption to oil supplies.
Palm oil falls nearly 3% due to weak crude and Chicago soyoil
The ringgit gained against the dollar and crude oil prices fell. The benchmark July palm oil contract on the Bursa Derivatives exchange fell 133 ringgit or 2.82% to 4,577 Ringgit ($1,176.16). Oil prices continued to fall, falling to two-week lows following Axios' report that Washington was nearing a framework agreement of one page with Iran. Palm oil is less appealing as a biodiesel feedstock due to weak crude oil futures. Crude palm oil prices fell below?4,600 as oil prices increased. "The contract's weakness...
Palm oil falls by over 1% as crude and Chicago soyoil weaken.
After two sessions of gains on Tuesday, Malaysian palm oil futures dropped more than 1% Wednesday, as lower crude oil prices and Chicago soyoil prices impacted the market. By midday, the benchmark palm 'oil 'contract for July delivery at the Bursa Derivatives Exchange had fallen 63 ringgit or 1.34% to 4,647 Ringgit ($1,176.16). David Ng, a proprietary trading at Kuala Lumpur's trading firm 'Iceberg X Sdn Bd,' said that the crude palm oil price fell during Asian trading hours due to lower crude oil and soybean oil prices. "We see prices above 4,600 Ringgit and resistance at 4,750 Ringgit," he added.
Oil price rises bolster India's ethanol push despite drawbacks
India's plan to reduce emissions and cut costs from transport is based on ethanol, which can be made from sugarcane, maize and rice. State-run oil companies are required to mix 20% ethanol into each litre before it is sold at the pump. India achieved its 20% ethanol target, also known as E20 last year five years before schedule. This was despite complaints from drivers about reduced fuel efficiency and increased wear on engines. In March, Prime Minister Narendra Modi stated that the blending of ethanol with crude oil during the U.S.-Israeli war against Iran had reduced dependence on imported crude.
India's green energy plans clash with farmers' fears about water
India, which imports 80 percent of its oil and natural gas, has made ethanol a central part of its clean energy plans. Delhi increased the percentage of ethanol in petrol last year from 1% to 20%. Most ethanol is made from sugarcane and maize, which require a lot of water and land. This has caused some resistance in rural areas. A small town in Rajasthan's northwestern state, Tibbi, is a good example. Hundreds of farmers protested against an ethanol plant proposal late last month. This factory will steal our water.
Palm oil drops over 1% due to crude weakness and softer competitor oils
Malaysian palm oil futures dropped more than 1% Tuesday, due to lower crude oil prices and competition from edible oils. By midday, the benchmark palm oil contract for June delivery on the 'Bursa Malaysia derivatives exchange had fallen 81 ringgit or 1.78% to $4,474 ringgit (1,132.66 USD) per metric ton. A Singapore-based analyst who is not authorized to speak to the media said that the market was softer because of external pressures. Crude oil fell due to easing geopolitical risks as discussions around a potential?Iran agreement raised expectations about supply disruptions being resolved.
Takaichi, the PM of Japan, says that Japan will release an extra 20 days of oil reserves in May.
Sanae Takaichi, the Prime Minister of Japan, announced at a cabinet meeting held on Friday that Japan will release 20 days worth of oil reserves in May to ensure stable supply domestically while also searching for barrels from outside the Middle East as the conflict in this region disrupts global supplies. Japan depends on the Middle East for 95% of its crude oil. On March 16, it began unilaterally and in coordination with other countries to release reserves to provide enough oil for 50 days. The 20-day supply is an additional amount.
