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China Diesel Stocks to Fall Further in October

OIL PRODUCTS

China’s diesel stockpiles have dropped to a “low level” with some supply tightness according OilChem.

  • Inventories could decrease by 0.4m tons to 16.14m tons in October from 16.54m tons at the end of September and 17.7m tons in August.
  • Diesel demand is expected to rise 0.95m tons to 19.6m tons on increased agricultural, infrastructure and mining activities.
  • Major refiners such as by PetroChina and Sinopec have increased diesel yields with runs rates at 76%.
  • China can export 1.47m tons of diesel in October if available after domestic supplies.

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