Brent crude rises to USD 107 per barrel as geopolitical risks and China’s declining imports tighten supply dynamics.
Brent crude prices climbed USD 7 to USD 107 per barrel amid escalating Iran-US tensions and uncertainty over a potential gasoline tax suspension in the US. The move reflects market concerns over prolonged supply disruptions and demand-side policy shifts.
China’s crude oil imports fell sharply in April, with further declines expected as shipments from Saudi Arabia and Iran drop. May shipments from Saudi Arabia halved to 20 million tons, and June volumes may shrink to 13-14 million tons. Beijing is tapping reserves and curbing fuel exports to stabilize domestic supply.
The National Development and Reform Commission instructed refineries to maintain 2025 production quotas despite cost pressures. An export ban on diesel and gasoline was imposed to secure domestic fuel availability, adding to the mixed outlook for global energy markets.