China Draws Down Crude Inventories Amid 32% Quarter-Over-Quarter Import Slump
China's crude oil imports fell by 32% quarter-over-quarter, according to data from the US Energy Information Administration (EIA). This significant drop led to a drawdown in inventories as higher oil prices due to disruptions through the Strait of Hormuz curbed buying.
The country imported 8.1 million barrels per day (b/d) during the second quarter, down from the previous quarter's imports. In May and June, imports fell below 8.0 million b/d, marking the lowest level since 2016.
China had previously set a record with 11.6 million b/d in imports as lower prices encouraged stockpiling. However, imports averaged 12.0 million b/d during the second half of 2025 through February 2026, before the Iran conflict led to disruptions in the Strait of Hormuz.
The EIA noted that Chinese imports fell by 3.9 million b/d between the first and second quarters, while refinery throughput dropped by 2.2 million b/d. This indicates that crude inventories were drawn down to help cover the shortfall.