China Eases Fuel Export Curbs as Global Supply Crunch Deepens
China has partially lifted fuel export restrictions imposed earlier this year, allowing refiners to export 2.7 million tons of oil derivatives to destinations excluding Hong Kong and Macau, Reuters has reported, citing unnamed sources with knowledge of the matter. The temporary easing of export caps
Source: OilPrice.com
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DW NOTE
China ran an export quota system for two years, claiming it managed domestic supply. It didn't. Domestic refiners overbuilt capacity chasing state subsidies, then sat idle when the export taps closed. Now Beijing issues new quotas and calls it policy flexibility. It's a bailout for state refiners dressed up as crisis management—one that happens to arrive exactly when Brent sits 33% below its one-year high and every importer is desperate for barrels.