China’s oil refinery throughput edged up 0.4% in March from a high base a year earlier, data showed on Wednesday, supported by production increases at small independent plants and higher operations at a new plant.
Refineries processed 63.06 million metric tons of crude oil last month, according to data from the National Bureau of Statistics (NBS). That was equivalent to 14.85 million barrels per day (bpd), up slightly also from 14.74 million bpd during the January-February period.
The daily processing rate is the highest in a year, according to Reuters’ records of the agency’s data.
First-quarter throughput totalled 182.25 million tons, or 14.78 million bpd, up 1.6% over the corresponding period of 2024.
However, Reuters’ calculations based on figures NBS published a year ago showed crude runs in March dipped 1% on the year and the January-March volumes largely flat versus a year earlier, suggesting the agency tweaked last year’s numbers lower.
Despite tougher U.S. sanctions on Russian and Iranian oil sales, China’s crude oil imports last month rose to the highest in nearly 20 months driven by a surge in discounted Iranian oil that goes to feed small independent processors known as teapots.
Teapots lifted throughput in March in the first increase in three months, while newest refiner Shandong Yulong Petrochemical maintained operation at about 90% and began test run at its second crude unit in late March.
Diesel demand may have received some support from better-than-expected Chinese merchandise exports in March, but broadly Chinese oil demand remained lacklustre under a struggling economy that faces further headwinds amid an escalating tariff war with the U.S.
NBS data also showed China’s crude oil production in March gained 3.5% to 19.03 million tons, or about 4.48 million bpd, which was the highest since at least the middle of 2011 based on Reuters’ records.
Output during the first quarter was up 1.1% on the year at 54.09 million tons, or 4.39 million bpd.
Natural gas production grew 5% year-on-year to 22.7 billion cubic metres (bcm) and first-quarter output expanded 4.3% at 66 bcm, data showed.
Source: Reuters