InvestorQ : Is it true that China is also looking to buy crude in bulk from Russia?
Riya Dwivedi made post

Is it true that China is also looking to buy crude in bulk from Russia?

Answer
image
shrinidhi Rajan answered.
9 months ago
Follow

With India continuing to procure cheap crude from Russia at a discount, China too plans to jump into the fray and enhance its oil relationship with Russia in the current context. While it is not clear how much longer the war would continue, China is looking to leverage on discounted Russian crude oil to replenish its strategic stockpiles. The strategic reserves are the oil stocks maintained by the government to help stabilize oil prices domestically.

India has increased its oil imports from Russia four-fold and now China also wants to make the most of the sanctions imposed by the US and the EU. Oil prices have been rallying since the Russian invasion of Ukraine. However, due to the tough sanctions, Russia is currently being compelled offer a discount to buyers. China had sold stocks from its SPR last year to stabilize rising prices. China recently gave up oil cargoes from Iran and Venezuela.

4 Views