China’s June diesel exports halve as demand picks up

China’s diesel fuel exports slumped to about 270,000 tons in June, the lowest volume since January 2009 and less than half the amount exported in each of the previous two months, data showed. Shipments of Chinese diesel fuel have ballooned since the start of last year as domestic consumption failed to keep pace with a wave of expansion in China’s refining sector, which churned out a record 13.338 million tons of diesel fuel last month. The June slowdown in exports adds to evidence of strengthening Chinese demand for the fuel, following a 3% cut in retail prices at the end of May. China’s two oil giants, Sinopec Corp. and PetroChina, drained 6.3% of their diesel stockpiles during June, the fourth consecutive monthly stock draw. (July 21, 2010)