MARKET STRUCTURE · ASIA
Saudi Aramco cuts crude supply to Asian buyers
Change
Saudi Aramco cut crude oil supply to Asian buyers for April, marking a second consecutive monthly reduction.
Why it matters
Saudi Aramco limited April shipments to Asian customers and supplied only Arab Light exported from the Red Sea port of Yanbu. The company shifted exports toward Yanbu as an alternative route following disruptions via the Strait of Hormuz. Supplies to Asian refineries are being kept tight, constraining refinery run rates and refined-products output. Loading schedules and customer allocations have been adjusted to reflect the new export routing.
Implications
- · Reduced crude feedstock availability for Asian refiners, constraining refinery throughput and refined-product production.
- · Concentration of exports on Arab Light via Yanbu narrows grade and routing options for buyers, limiting sourcing flexibility.
- · Buyers and logistics teams must accept adjusted loading schedules and reallocate cargoes to the Yanbu export route.
Who is affected
- · Refiners
- · Operators
What to watch
- · April loading schedules and deliveries
- · April export volumes from Yanbu
Source
Topics
Business & Markets Supply Chain & Logistics Energy & Power Oil & Gas