US already exports more oil than many OPEC countries and China is its best customer
China, Canada, Singapore or Japan are some of the US customers "The US has become one of the greats in the world of crude oil"
The US has managed to outperform several OPEC countries in crude oil exports and China is already its best oil customer. Beijing has been the biggest buyer of US crude in February, beating Canada, which has historically held that position. This situation occurs in a context in which OPEC is cutting oil pumping which is forcing some cartel customers to look for new places to buy.
China imported 8.08 million barrels of sweet light US crude, nearly quadrupling its January purchases, according to data released by the US Census Bureau on Tuesday. Shipments of US crude totaled 31.2 million barrels, reaching the highest level recorded in its history. Canada, the largest trading partner of the United States, imported 6.84 million barrels, 20% less than the previous month.
With this export data and data from other countries, it can be concluded that the US is selling more crude oil than several OPEC members such as Libya, Algeria, Angola or Ecuador, a milestone for a country that until two days ago was banned Oil exports.
The rise in US shipments comes as the Organization of Petroleum Exporting Countries slows production in an effort to end an oversupply that has hit hard on the economies of the world's oil and gas exporters.
US crude oil stocks rose to 535 million barrels, according to the latest government data, the highest level since 1982. Crude oil prices suffered their biggest drop since July, due to the constant oversupply of the market Of black gold.
More exports than OPEC countries "The United States exports more crude oil than many OPEC countries," said John Auers, executive vice president of energy consulting firm Turner Mason in Dallas. "That China is buying more means that the US has become a bigger player in the global crude oil export market."
US crude exports in February were up 35% from the previous month, according to the US Energy Information Administration. Although shipments are expected to remain above 2016 levels, the boom was likely boosted by seasonal maintenance at US Gulf refineries, according to Auers.
In addition, the production cuts made by OPEC countries made Dubai, an Asian referent, more expensive compared to its US counterpart. This year, West Texas Intermediate has averaged a price 49 cents below Dubai's lowest quality grade based on data from PVM Oil Associates broker contracts.
"A very strong differential between the West Texas and Dubai crude allowed open arbitrage opportunities to Asia at a time when there were many changes in the Gulf in the US in February," said Dominic Haywood, an analyst at Energy Aspects in London in A telephone interview
Singapore imported 2.03 million barrels from the US, while countries like Curacao, Italy, Japan, South Korea and the Netherlands bought more than 1 million barrels each, according to government figures. Figures include condensed hydrocarbons derived from natural gas.
