US crude exports down in October, China top buyer
US crude exports fell by about 10pc in October with China as the top buyer for the sixth consecutive month.
Total US crude exports averaged 2.91mn b/d in October, down from 3.24mn b/d in September, according to trade data released today by the US Census Bureau.
China was the top destination for US crude loaded in October taking about 679,000 b/d. Canada was the second top destination at about 407,000 b/d, and the Netherlands was third with 258,000 b/d. India came in fourth taking about 245,000 b/d of US crude. The exports to India included about 66,000 b/d of heavier crude, possibly Western Canadian Select (WCS) or Western Canadian heavy sour Cold Lake.
Total US crude exports in October were down from 3.4mn b/d a year earlier.
China was the top destination for US crude exports in May-October in part because Beijing has leaned on state-owned enterprises to keep buying US crude in compliance with the countries' "phase one" trade deal signed in January. This commits China to buying $69bn of US energy commodities in 2020-21.
The future of the trade deal is uncertain as a new US administration is set to take over next month. Neither president-elect Joe Biden nor his team has given a clean signal on the intention for the deal which is set to expire in late 2021.
Since the US lifted 40-year-old restrictions on most oil exports in December 2015, US crude has been exported to countries around the globe.
For the full year of 2019, US crude exports averaged 2.98mn b/d, an annual record.
The monthly trade data comprises several categories of oil, including crude under 25°API, crude that is 25°API or higher, and condensate derived wholly from natural gas.
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