A Glance of China Oil Market 20260518

On the demand end, high oil prices continue to cap demand despite gas stations' promotional discounts. Separately, gasoil sees support from wheat harvest in northern China but is weighed down by rains in the southern and the coastal fishing ban, leading to weaker overall demand.

A Glance of China Oil Market 20260518

Weekly News

Trade-in policy boosts new energy heavy trucks, widening gap with LNG rivals

China's heavy-duty truck market saw a robust recovery in April, driven by seasonal demand and accelerated elimination of old vehicles. However, a newly introduced subsidy policy, which strongly favors battery-electric trucks over LNG-powered ones, is set to reshape the market landscape, leading to a clear divergence between the two segments in the coming months. In April 2026, benefiting from the dual tailwinds of high oil prices and a trade-in policy, sales of new energy heavy-duty trucks are estimated at 25,500 sets, representing a 25% month-on-month increase and a 61% year-on-year increase. The new energy heavy-duty truck market is currently showing strong performance, exhibiting a robust upward trajectory. Read Full Story

Geopolitical turmoil slashes China's LPG imports in April-May

China's liquefied petroleum gas (LPG) imports via VLGCs are expected to hit a five-year low in April and to keep low in May, as the blockade in the Strait of Hormuz disrupted Middle East shipments and forced Asian buyers to scramble for replacement cargoes from the U.S. and Africa. OilChem's data showed that China's VLGC arrivals totaled just 1.301 million tonnes in April, down 50.96% from March and 58.42% year on year. The country's total LPG imports for April are estimated at around 1.4 million tonnes, a low level not seen since 2017-2018. All major receiving areas saw double-digit percentage drops in April volumes compared with the same month last year. Read Full Story

China Apr refined oil exports nearly halved on export control

According to OilChem's continuous tracking of the shipping fixture, China's exports of refined oil, namely gasoline, gasoil, and kerosene, totaled merely 0.68 million tonnes, which consisted of 0.13 million tonnes gasoline, roughly 80,000 tonnes gasoil, and 0.47 million tonnes kerosene, a collective contraction of 44% from exports in March based on shipping fixture. (including exports under general trade mode, and excluding those exported to bonded zone) Read Full Story