China’s bonded bunker fuel imports continue to fall in May – JLC

China’s bonded bunker fuel imports declined in May as domestic HSFO inventories were still high and VLSFO supply increased, market intelligence provider JLC reported.

PHOTO: The Chinese flag. Getty Images

China’s bonded bunker fuel imports stood at about 310,000 mt in May, down 9% from the previous month and 12% compared to the same period last year, JLC reported citing data from China’s General Administration of Customs (GACC).

Chinese buyers continued to reduce bonded HSFO imports in May as downstream HSFO consumption “continued to decelerate” amid high inventory pressure and relatively tight barge capacity, in major bunker hubs in East China , JLC said.

The country's bonded VLSFO imports also decreased in May, as domestic refiners increased production after the government announced new export quotas in early May, JLC said. China's total VLSFO output in May stood at 1.31 million mt, with the daily output at 42,268 mt, up 3% on the month, JLC’s data showed.

Malaysia (32%) became China's biggest bonded bunker fuel supplier in May by shipping 100,400 mt of bonded bunker fuel, followed by Singapore (32%) and Russia (22%).

China’s bonded MGO imports “did not change much” in May, JLC said. The country mainly imports HSFO and MGO for its bonded bunker fuel market, according to JLC.

Its total bonded bunker fuel imports in the first five months of this year were about 1.62 million mt, a surge of 15.46% from the same period last year.

By Aparupa Mazumder 

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