Chinese refiners are well-prepared for short-term disruptions from the Iran conflict, backed by strong stockpiling and record crude purchases.
Chinese oil refiners have sufficient supply to withstand short-term disruption from the Iran conflict, reports Reuters.
The resilience is supported by record purchases of Iranian and Russian crude in recent months, along with strong government stockpiling. China holds about 900 million barrels in strategic reserves, which is equal to 78 days of imports, according to Vortexa and traders.
"The market is on edge and the situation could change by the day," a senior trader at a large independent refiner told Reuters.
A second trader at a Shandong-based plant processing Iranian oil mentioned that he could not bid as the outlook was unclear. However, he noted that supplies for March and April deliveries were secure, with abundant Russian and Iranian barrels available.
