Chinese crude oil imports from Russia soared from a year earlier to a record 55% in May, unseating Saudi Arabia as the country’s leading supplier. China took advantage of bargain reserves as Western countries imposed sanctions over Moscow’s invasion of Ukraine.
China is the world’s largest petroleum importer.
Beijing has not condemned Russia’s invasion but has instead reaped financial returns from its secluded ally, importing about 8.42 million tons of petroleum from Russia last month.
According to data from the Chinese General Administration of Customs, China imported approximately 1.98 million barrels per day (bpd) of Russian oil in May, up a quarter from 1.59 million bpd in April.
With May volumes up 9% year-over-year, totaling 7.82 million tons of crude, Russia has graduated from China’s second-biggest supplier.
Customs data from China also showed the country imported 260,000 tons of Iranian petroleum in May, its third purchase of Iranian crude since December last year. Iran, also under U.S. sanctions, has continued to sell oil to China, accounting for approximately 7% of China’s total imports.
Although Chinese demand for oil has been reduced due to COVID constraints, recent improvements show that restrictions are easing after the nation’s most alarming spike in cases of the pandemic. Government data shows that new supply chain problems are improving, and industrial production is picking up.
China’s overall crude oil imports rose nearly 12% last month to 10.8 million bpd, slightly up from last year’s average of 10.3 million bpd.
India has also begun importing more Russian oil since the start of the Ukrainian invasion.
From March to May, India bought six times more Russian oil compared to the same period last year, while Chinese imports during that span tripled, research from Rystad Energy shows.
India has overtaken Germany in the last two months as the second-largest importer of Russian crude, International Energy Agency‘s latest global oil report said.