September 28, 2022 13:50 GMT
Asian refiners have more capacity than the West to increase refinery runs according to S&P Global.
- Asia is expected to add 1mbpd to net CDU capacity over 2019-2022 while North America, Europe and Africa are seeing a contraction during the same period.
- Weak domestic demand in China and limited export quotas are likely to limit refining growth.
- Asian refiners are expecting changing crude flows as Europe withdraws from Russian supplies but remain focused on Middle East supply with long term sour crude contracts.