China’s Refined Fuel Exports Reach 13-Month High in July

China has reported a significant increase in refined petroleum product exports, reaching their highest volume since June 2024. In July, the country exported a total of 5.34 million tons of oil products, marking a 7.1% rise compared to the same month last year. This surge includes notable increases in gasoline, diesel, and jet fuel shipments, which all experienced double-digit growth.

According to customs data, diesel exports soared by 53.2% year on year in July, while gasoline shipments increased by 18.6%. Jet fuel exports also rose by 10.9%, reaching levels not seen since March 2025. Despite this strong performance in July, total exports of diesel and gasoline for the first seven months of 2024 remained lower compared to the same period in 2023.

Factors Behind the Surge in Exports

The increase in refined fuel exports can be attributed to higher refinery runs in June and July, which led to increased crude throughput and fuel output. In July, China’s oil refining throughput averaged 14.85 million barrels per day (bpd), despite a slight decline of 1.95% from June. Nevertheless, June recorded the highest oil refining levels in China since September 2023, driven by improved fuel margins and the conclusion of seasonal maintenance at refineries.

Utilization rates across refineries improved, reaching 71.84% in July, according to data from consultancy Oilchem. This rise indicates a growing capacity to process crude oil, which aligns with the increase in crude oil imports reported earlier this month. Major state refiners have ramped up processing rates, contributing to the upward trend in fuel exports.

Outlook for China’s Fuel Market

While the July figures reflect a positive trend for China’s refined fuel exports, the year-to-date performance shows a contrasting picture, especially for diesel and gasoline. The overall drop in exports during the first half of 2024 highlights the complexities of the global fuel market and China’s position within it.

As the world’s largest crude importer, China’s ability to adapt its refining capacity in response to market demands will be crucial for maintaining its export levels. The latest customs data serves as a vital indicator of the country’s refining health and its implications for both domestic and international markets.