China ramps up Middle East crude purchases as OPEC+ lifts output

China has markedly increased its crude oil purchases from the Middle East, securing at least 26 million barrels for July‑August deliveries from Qatar, Saudi Arabia, the United Arab Emirates and Iraq. The volume far exceeds its usual levels after the country cut Gulf imports during the conflict to keep global prices stable. Saudi Aramco’s deep discount on Arab Light for Asian buyers is expected to spur further Chinese buying, while informal export controls on refined products remain in place.

In parallel, OPEC+ members agreed on a fifth consecutive monthly increase in supply, adding 188 000 barrels per day to the market starting in August. The decision, taken by the seven‑country alliance of Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman, continues the gradual reversal of voluntary cuts announced in April 2023. The output boost is aimed at stabilising the market and may temper price pressures that affect global consumers, including China’s refining sector.