Category: Economics, Finance, and Political Economy

WHO IS CURRENTLY SUPPLYING OIL TO CHINA?

As of December 2024, China sources its crude oil from a diverse range of suppliers. The approximate percentages of total imports from key countries are as follows:

50%:
Russia: Approximately 15% of China’s crude oil imports originate from Russia. In July 2024, imports from Russia were about 1.76 million barrels per day, reflecting a 7.4% decrease compared to the same period in the previous year.Reuters
Saudi Arabia: Accounting for around 13% of China’s imports, Saudi Arabia remains a significant supplier. In July 2024, imports from Saudi Arabia increased by 13% year-on-year to 1.51 million barrels per day. Reuters
Malaysia: Imports from Malaysia have surged, with some estimates suggesting it accounts for over 10% of China’s crude oil imports. Notably, the volume of imports from Malaysia exceeds its total production, indicating that some of this oil may be transshipped from other countries, such as Iran, to circumvent sanctions.U.S. Energy Information Administration
Iran: Despite sanctions, China continues to import Iranian oil, often through indirect channels. Estimates indicate that Iranian oil constitutes about 13% of China’s imports. However, these imports are subject to fluctuations due to geopolitical factors and enforcement of sanctions.Reuters

50%:
Other Suppliers: China also imports oil from countries like Brazil, the United States, and various African nations, each contributing smaller percentages to the overall import portfolio.

As of December 2024, several European Union countries continue to import Russian oil, primarily through the Druzhba pipeline, which remains operational despite EU sanctions targeting seaborne imports. The main importers are:

Hungary: Hungary relies significantly on Russian oil delivered via the Druzhba pipeline. Hungarian officials have emphasized the importance of this supply route for the country’s energy security.Reuters

Slovakia: Slovakia continues to receive Russian crude oil through the southern branch of the Druzhba pipeline, maintaining its energy imports from Russia.

Czech Republic: The Czech Republic also imports Russian oil via the Druzhba pipeline. Recent reports indicate that oil flow to the Czech Republic through the pipeline resumed after an unexplained shutdown, highlighting ongoing dependence.

The Druzhba pipeline is one of the world’s largest oil pipeline networks and a key component of the Soviet-era energy infrastructure. It transports crude oil from Russia to several European countries, including members of the European Union.
Length: The pipeline spans approximately 4,000 kilometers.
Capacity: The pipeline has an estimated capacity of over 1 million barrels of oil per day.
It originates in Russia and splits into two branches:
Northern Branch: Supplies Poland and Germany.
Southern Branch: Supplies Hungary, Slovakia, and the Czech Republic.