China's government has directed its largest oil refiners to immediately suspend exports of diesel and gasoline, according to reports from Bloomberg and Reuters citing sources familiar with the matter.
The National Development and Reform Commission (NDRC) met with refinery representatives and verbally instructed them to halt refined product shipments right away. This includes stopping new export contracts and attempting to cancel or negotiate out of already-committed shipments.
The decision stems from escalating conflict in the Middle East, particularly disruptions in the Persian Gulf and Strait of Hormuz—that threaten crude oil supplies to China, the world's top oil importer.
The Middle East supplied 57% of China's direct seaborne crude imports in 2025, per analytics firm Kpler. With shipping through this vital chokepoint severely restricted or blocked, authorities are prioritizing domestic fuel availability to prevent shortages.
Affected refiners include major players such as PetroChina, Sinopec, CNOOC, Sinochem Group, and private giant Zhejiang Petrochemical, which typically receive government-issued export quotas.
Exemptions reportedly apply to bonded aviation fuel for international flights, marine bunkering, and certain supplies to Hong Kong and Macau.
While most March export volumes are already committed, the curbs are expected to sharply reduce China's refined fuel exports from April onward. Some refineries have begun cutting throughput amid tighter crude access, and the move aligns with broader Asian efforts to secure domestic stocks during the crisis.
China's foreign ministry spokesperson indicated no awareness of the directive when questioned. The step highlights Beijing's focus on energy security for its huge domestic market as global uncertainty intensifies.
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