Brent crude oil climbed above $100 a barrel on Thursday after Chinese refiners suspended fuel exports for October, according to Reuters, piling pressure on energy markets already disrupted by the U.S.-Iran war and Ukraine's attacks on Russian refining infrastructure.
Beijing began a week-long national holiday on Thursday without issuing export permits to major refiners, allowing shipments only to Hong Kong and Macau, according to Reuters, citing four unnamed sources.
PetroChina, the state-owned oil giant, scrapped several October cargo commitments for gasoline and jet fuel, Reuters reported. Privately held Zhejiang Petrochemical Corp also scheduled no oil product shipments during the holiday week.
Beijing restricted fuel exports in March after the Iran war disrupted Middle Eastern crude supplies, then relaxed those curbs in July and began managing diesel, gasoline, and jet fuel shipments on a monthly basis.
The suspension follows Chinese President Xi Jinping's trip to Washington, during which President Donald Trump pressed Xi to help bring global fuel supplies under control. The Trump administration has told Germany and France to draw down emergency diesel inventories or face a potential U.S. diesel export ban.
According to the outlet, Energy Secretary Chris Wright said diesel exports from the Middle East and China had been lost to global markets, and that Washington was anticipating announcements from Europe regarding new diesel supplies.
Full article China halts fuel exports, pushing Brent crude above $100
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