Backed by the strong demand, China saw an increase in both the imports and exports of No.5- No.7 fuel oil in March, according to OilChem.
Based on data from the General Administration of Customs of the People's Republic of China (GACC), China's No.5- No.7 fuel oil import volume stood at 1.98 million tonnes in March, up 535,800 tonnes, or 37.16% month-on-month, on the improvement in high-sulfur bonded bunker fuel demand and a decline in International tanker freight. The figure totaled 5.57 million tonnes over January – March, up 173,400 tonnes or 3.21% from last year.
GACC's data showed that the No.5- No.7 fuel oil export volume stood at 1.32 million tonnes in March, up 141,800 tonnes, or 12.08% month-on-month, as China's bunker fuel enterprises, especially those in Zhoushan City, attracted the international ship-owners for low prices, in spite of sluggish demand in March international shipping market.
China's bonded bunker fuel consumption stood at 1.84 million tonnes in March, up approximately 460,000 tonnes or 31% month-on-month and up 2.90% year-on-year, data from OilChem showed. Compared with last month, the bonded bunker fuel consumption in Zhoushan port, in particular, gained 50.50% to 680,000 tonnes in March, and the volume in Shanghai port also climbed 71% to nearly 400,000 tonnes. The consumption in other ports rose with a range of 3%-46%.
Given the stable demand in international shipping market and a robust demand for high-sulfur bunker fuel, No.5- No.7 fuel oil import volume is predicted to reach 2 million tonnes in April, up 1.12% from a month ago. The export volume is estimated to be around 1.40 million tonnes in April, up 6.45% month-on-month, owing to a slow rally in international shipping market demand and price advantage for domestic enterprises.
Written by Catherine Sun, sss@oilchem.net
Edited by Aggie Hu, huchenying@mysteel.com
