China's Oil Imports Plunge Amid Strait of Hormuz Tensions
China's oil imports saw a record drop in June, falling by 41% compared to the same period last year. The country imported 29.27 million metric tons of crude oil, which is also 12% lower than May's figure, one of the lowest in the past eight years.
The decline came amid tensions surrounding the Strait of Hormuz following the breakdown of the truce between the US and Iran. China traditionally sources about half of its imported oil through Gulf countries, but domestic demand remains weaker than expected.
Market participants are closely monitoring whether June will mark the low point before imports recover. Meanwhile, natural gas imports rose by 3.7% compared to June last year, reaching a five-month high of 10.93 million metric tons.
Coal imports showed even more significant growth, increasing by 30% to 42.78 million metric tons, the highest level in the past five months. This is linked to restrictions on domestic production following a major accident in Shanxi Province.