China’s exports of diesel fuel in October were nearly double the year-ago level though less than in September, while aviation fuel exports jumped 39%, thanks to new official quotas.

Diesel fuel exports last month totaled 1.06 million tonnes, well below September’s 1.73 million tonnes but up from 560,000 tonnes a year earlier, according to customs data.

Rapid growth in diesel exports since August has thinned domestic inventories of the fuel. Refiners have been raising diesel production in November both to replenish stocks and in order to take advantage of still robust export margins.

Exports of aviation fuel, including refuelling at Chinese airports for airlines plying international routes, reached 1.16 million tonnes and compared with 1.23 million tonnes in September.

Gasoline exports were largely flat at one million tonnes, the General Administration of Customs’ data showed.

Total exports for refined fuel last month grew 13%, the third straight month of year-on-year growth, due to Beijing’s release of a large set of export quotas.

Friday’s data also showed China’s liquefied natural gas (LNG) imports sank to 4.03 million tonnes, down 34% from a year earlier and the lowest monthly LNG imports since June 2018.

The depressed imports of LNG in October, which followed a brief rebound in September, came as national producers ramped up domestic gas production to meet demand for winter heating in northern China.

Pipeline gas imports rose 11.5% from a year earlier to 3.58 million tonnes, the data showed. Year-to-date imports gained 10.6% from a year earlier to 38.23 million tonnes.
Source: Reuters (Reporting by Chen Aizhu; Editing by Simon Cameron-Moore)