royalharris
Registered Member
China ranks as the world’s largest importer of crude oil, yet it boasts abundant crude oil stockpiles combining national strategic reserves and commercial inventories held by domestic enterprises.Financial Times spoke with energy traders at the end of the week who warned that slowing tanker traffic through the Strait of Hormuz could trigger a more severe supply crunch than the first round of the US-Iran war because emergency reserves and stockpiles around the world that cushioned the earlier disruption have been mostly depleted.
"We've burned through all of the buffers we had. Everything," said one trader. "All of that's now gone.
"We've Burned Through All Buffers": Oil Traders Warn Market Running On Fumes<!-- --> | ZeroHedge
ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zerowww.zerohedge.com
The country could sustain its oil demand for at least six months without importing a single drop of crude oil over the next half year. I fail to understand how the commentator arrived at such an absurd conclusion.
As the world’s largest crude oil importer, China stands to suffer severe harm from sky-high oil prices. It is certain that China will leverage its petroleum reserves to stabilize oil prices going forward.
Oil is of great significance, but with the advancement of new energy, the global oil market currently faces oversupply as a whole.
Meanwhile, China boasts highly sophisticated technologies for producing refined oil products via coal chemical processes. Once crude oil prices climb above USD 85 per barrel, coal-to-liquids production in China gains distinct cost advantages. Furthermore, China holds the world’s largest coal reserves.
Today’s global oil prices cannot be dictated merely by several oil exporters or a few strategic straits.
Right now, Russia, the U.S. and Saudi Arabia are all courting China’s government to boost China’s purchases of their oil.
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