29 April | Oil

China ignores risks of confrontation with US and steadily replenishes oil reserves — FT

China ignores risks of confrontation with US and steadily replenishes oil reserves — FT

The Financial Times (FT) reports that Chinese oil traders are betting on cheap crude, disregarding the long-term risks of a trade confrontation with the United States.

According to the analytics provider Kpler, China's oil imports reached a record 11 million barrels per day in March and April — the highest in 18 months.

Active purchases began with Iranian oil due to the threat of new restrictive measures. These buys quickly escalated into the widespread replenishment of strategic reserves. A combination of tariff threats from US President Donald Trump and increased production in OPEC+ countries caused prices to plummet to a four-year low, providing China with the opportunity to buy cheaper crude.

Analysts at UBS and Morgan Stanley note that China traditionally uses periods of low prices to build up oil inventories, despite the threat of slowing consumption in the second half of the year.

Restrictions against Shandong refineries have already reduced crude imports from Iran from a record 1.8 million to 1.2 million barrels per day. Still, demand for supplies from Iran will remain resilient due to competitive costs, the FT concludes.

Elena Dorokhina MarketCheese
Period: 19.09.2025 Expectation: 950 pips
GBPUSD is correcting after testing resistance
Today at 10:29 AM 39
Gold buy
Period: 31.12.2025 Expectation: 2400 pips
Buying gold from $3,450 support
Today at 09:29 AM 27
Period: 19.09.2025 Expectation: 1000 pips
AUDCAD poised for further gains after brief consolidation
Today at 08:42 AM 48
Period: 31.10.2025 Expectation: 6000 pips
Selling SPX prior to seasonal correction
Today at 08:27 AM 40
Brent sell
Period: 19.09.2025 Expectation: 188 pips
Supply glut puts pressure on Brent prices
Today at 07:20 AM 51
Period: 18.09.2025 Expectation: 160 pips
Buying gas with $3.150 target amid completing correction
Yesterday at 11:58 AM 162
Go to forecasts