OilChem: China refined oil shipment accelerates amidst geopilitical risks

Geopolitical tensions in the Middle East have driven international crude prices higher, lifting domestic refined oil costs in China. Shandong independent refineries led rapid price hikes post-conflict. Downstream panic-buying and improved refinery sales accelerated inventory drawdowns, reinforcing price support. However, the rally will likely be challenged by post-holiday demand remains soft and OPEC+ supply increases loomcaution is warranted on sustainability.

Amid ongoing geopolitical conflicts in the Middle East, persistently rising crude oil prices have driven up domestic refined oil prices in China on expected cost inflation. This has spurred active downstream procurement, despite relatively soft demand following the Chinese New Year (CNY) holiday. On February 28, Israel launched a military