China Daily Oil Summary: China 78% of Global Oil Demand Growth in 2023

In the IEA’s monthly oil report, world oil demand growth in 2023 has been adjusted lower by 90 kb/d from last month’s Report to 2.3 mb/d. China accounts for 78% of this year’s increase.

• China’s crude storage capacity utilisation rate was largely flat on the week to Dec. 13, down just 0.05 percentage points to 56.6%, according to OilChem.
• CDU capacity utilisation rates at China’s teapot refineries averaged 64.3% in the week to Dec. 14, up 0.95 percentage points on the week, according to OilChem.
• Among independent refineries in the Shandong region, CDU capacity utilisation rates averaged 59.78% in the week to Dec. 14, up 1.81 percentage points on the week.
• Asia-Pacific international air travel is catching that of other regions despite the continued slow pace of China recovery according to Association of Asia Pacific Airlines (AAPA) figures.
• China’s international passenger demand was at 34% of 2019 levels for the nine months through 30-Sep-2023 and reached 54% for the month of Sep-2023.
• Implied jet fuel demand in China for the week Dec. 12-18 is forecast at 0.739m b/d, according to BNEF, down 0.7% on the previous week.
• YUAN: The currency strengthened to 7.1301 against the dollar from 7.1836 on Wednesday.
• China’s property sector demand should adjust to reflect changes in population, according to Dong Jianguo, deputy minister at the Ministry of Housing.