China’s diesel exports fell to the lowest level in more than a year in June as refiners curbed production in favour of more lucrative gasoline and aviation fuels.

Diesel exports amounted to 290,000 metric tons last month, down from 600,000 metric tons in May and below even the weak base a year earlier at 330,000 metric tons, data from China’s General Administration of Customs showed.
That represents the lowest monthly level since May 2022, and is only a fraction of the recent peak of nearly 2.8 million metric tons last December.
China’s diesel demand has been hurt by a sluggish property sector where construction activity has slowed and sliding merchandise exports that have curtailed fuel consumption from trucks.

China’s total refined fuel exports, which also included marine fuel, reached 4.51 million metric tons, a three-month high and 40% above year-earlier levels, aided partly by strong refinery throughput.

Gasoline exports last month also slid to 950,000 metric tons, versus 1.36 million metric tons in May and 730,000 metric tons the corresponding month of 2022.

Aviation fuel exports rose to 1.08 million metric tons, versus 950,000 metric tons in May and up sharply from 520,000 metric tons in June of 2022 supported by growing outbound air traffic, data showed.

Imports of liquefied natural gas were up around 24% from a year ago at 5.96 million metric tons, though down compared to May’s 6.41 million metric tons, as sharply easing spot prices LNG-AS encouraged some purchases though overall weak industrial demand capped demand.

Piped gas imports rose to the highest level on record at 4.43 million metric tons, up from 4.23 million metric tons in May and 3.90 million metric tons in June last year.
Source: Reuters (Reporting by Aizhu Chen in Singapore and Andrew Hayley in Beijing; Editing by Stephen Coates)