Chinese refiners rush to buy Middle East crude as stocks fall, Kpler says

Chinese refiners are stepping up purchases of Middle Eastern crude as record inventory drawdowns and a recovery in refinery activity boost demand for prompt cargoes, according to analytics firm Kpler. Chinese buyers have secured at least 80 million barrels of Saudi crude since mid-September, Kpler said on X. China’s onshore crude inventories fell by about 1.6 million barrels per day in September, the fastest pace on record. Refinery throughput is projected to reach 14.2 million barrels per day by December, adding to pressure on refiners to rebuild stocks. At the same time, Chinese refiners need to replace roughly 1 million barrels per day of Iranian supply, with the US blockade still in place, according to Kpler. Stronger Chinese demand could limit further weakness in Dubai crude pricing, particularly as escalating regional tensions continue to threaten supply flows.