Posted on 06/07/2022 8:23:52 PM PDT by MinorityRepublican
TOKYO -- China and India have increased Russian oil purchases as prices decline due to Western import bans, the latest data shows, creating a loophole that allows Moscow to secure export revenue.
China imported 800,000 barrels of Russian petroleum daily by sea last month, according to data from Refinitiv, a figure that does not include oil delivered via pipelines. The volume has soared by more than 40% from January.
The number indicates that China is deliberately going after cheap Russian crude. India's marine imports of Russia's oil also spiked from zero in January to nearly 700,000 barrels a day in May.
China and India have expanded imports because "Western sanctions have reduced the number of buyers, meaning Russian crude oil can be purchased cheaply," said Takayuki Nogami, chief economist at Japan Oil, Gas and Metals National Corp., the state-backed energy explorer known as JOGMEC.
Following similar action by the U.S., the European Union agreed to ban imports of Russian oil last week, immediately halting imports on two-thirds of the petroleum. The bloc plans to end roughly 90% of purchases by year's end. More companies in Western economies are shying away from procuring Russian oil as well.
As a result, Russia's Urals crude, mostly bound for the European market, currently trades around $90 a barrel. In contrast, the Brent crude international benchmark sells about $35 higher.
Russia's ESPO crude -- mostly exported to Asia -- costs around $94 per barrel, roughly $20 below Dubai crude, which serves as Asia's benchmark. The prices differed by just a few dollars at the start of the year.
(Excerpt) Read more at asia.nikkei.com ...
Easy fix; say we will stop all imports from nations that do this.
Biden, of course, will kowtow.
Crude Oil is fungible? Who knew?
The “sanctions” were and are a deliberate economic attack on Americans.
The POTUS hates us.
Time to return the vibe.
Did anyone with two brain cells to rub together think that this *wasn’t* going to happen?
Especially after the emerging BRICS economic alliance of the past couple decades...
Once processed, how will anyone tell?
As demonstrated in an article from yesterday, they’re filtering oil through other countries and still (indirectly) selling to Europe. Whoopsie.
😂 👍🏼
To help people with the numbers here, China had been importing about 550,000 barrels per day from Russia, and now has increased it by 250,000 (to the 800,000 number mentioned here).
India will be importing just short of a million barrels per day from Russia in June, up from almost zero at the beginning of the year.
So the total increase is about 1.25 million barrels between those 2 countries...and both are likely to increase, once the Russian EU-bound oil is freed up to send to Asia.
Considering that the total EU imports of Russian oil were 2.3 million per day last year, it seems that Russia has already made up for at least half of the EU oil, even months before the ‘sanctions’ start.
Net result - With plenty more countries waiting in the wings, Russia will likely be able to sell most of what they produce, maybe all, albeit at a discount, but still far above their break-even cost ($44 per barrel), while Europe will pay through the teeth as they bid up the prices on the remaining oil available.
So yet another example of the Europeans STICKING IT TO PUTIN!!!
The Indians are not stupid. They are purchasing highly discounted Russian oil, relabeling it and selling it back to the EU at world market prices. Doubt that oil ever reached Indian ports.
Almost correct, they are refining it and then selling the refined products to Europe and elsewhere (including USA I think)
Time to play economic Cowboys and Indians!!!
Please re-read my comment.
The word “say” should not be underestimated. It is what we SHOULD do within a short span of years.
Yeah?
Just how is America going to survive without Chinese imports? With all the iPhone's, iPad's, most laptops, HDTVs, Android phones, shoes, clothes etc etc mostly imported from China?
Even sanctions against Russia are crippling the American economy. You think an economic war with China and India will not cripple the American economy?
It’s even worse than that, the discount oil that Russia is going to sell to India and China well enable them to prepare for a large scale war more cheaply than the United States or Europe can. so they’re going to advance while the West is set back
LOL. India and China are buying some of it, at a big discount.
The sanctions mean US Citizens are funding Russia’s war through high energy prices while simultaneously funding Ukraine’s war through military contractors.
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