China Pivots From US to Canada for More Oil as Trade War Worsens

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1. Chinese refiners have significantly increased their imports of Canadian crude oil, with a record 7.3 million barrels imported in March, as they reduce their reliance on US oil due to escalating trade tensions. The expansion of the Trans Mountain Pipeline, which began operating in May, has provided China with greater access to Canada’s oil reserves, particularly the dense, high-sulfur grades of crude found in Alberta’s oilsands region. As a result, Chinese imports of US oil have plummeted by roughly 90%, from 29 million barrels in June to just 3 million barrels per month. The shift towards Canadian crude is seen as a strategic move by China to reduce its dependence on US oil and mitigate the impact of trade tensions. Canada’s oil sands offer a relatively cheap source of crude that is well-suited to China’s advanced refineries, making it an attractive alternative to more expensive Middle Eastern crude.

2. Canada is probably breathing a sigh of relief that they’ve expanded oil pipelines from cowboy country to the west coast given that previously something like 96% of their exported oil went to the states.

3. Is watching someone shoot themself in the foot really a war ?

4. Hmm, wonder if we’ll hear a change in tone towards China from Ms Smith

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