US Blockade Cuts Off Iranian Oil Exports to China
Iran's oil exports to China have taken a hit due to the US blockade. According to Reuters, Iranian crude oil offers to Chinese buyers have declined since the blockade was reinstated on July 13th. The data from Kpler shows that the volume of Iranian crude stored on tankers outside the blockade zone has fallen to around 80 million barrels, down from approximately 105 million barrels.
The price of Iranian crude has surged as a result, with some lots being offered at a premium of $2 per barrel over Brent. This is unusual, given that Iranian crude typically sells at a discount. China remains Iran's largest crude oil customer, accounting for more than 80% of its seaborne oil exports last year.
However, Chinese imports of Iranian crude have dropped significantly since the blockade was reinstated. According to Kpler data, Chinese imports of Iranian crude averaged around 1.4 million barrels per day in 2025, but have since fallen to about 534,000 barrels per day so far in August.