**China’s Oil Companies Reduce Russian Crude Purchases**
China’s state-owned oil companies are buying less crude oil from Russia. This is because they are worried about US sanctions. Reuters reported this on March 14.
Chinese firms don’t want to buy oil from suppliers that have been hit by US sanctions. “They’re taking a break for now, thinking about how to work around the problem,” said one source to Reuters.
Russia still provides China with the most crude oil, making up 20% of its total imports. Despite strengthening ties with Russia since the Ukraine invasion, China has denied supporting Russia’s war efforts.
**Growing Pressure**
Many Chinese financial institutions are reducing their dealings with Russia because they’re worried about US sanctions. This is putting pressure on China to scale back trade with Russia.
State-run oil companies Sinopec and Zhenhua Oil have stopped buying Russian crude altogether. PetroChina and CNOOC, two other major buyers, continue shipments but at lower volumes.
**Sinopec Stops Buying**
A Sinopec source said the company is checking if it complies with US sanctions. They’re waiting for a clear picture of what’s happening in US-Russia talks about ending the Ukraine war. If talks lead to easing or lifting sanctions, Sinopec may start buying Russian crude again.
**PetroChina and CNOOC Reduce Shipments**
PetroChina, which buys oil from Russia’s state energy company Rosneft, continued offshore shipments but at lower volumes in March. CNOOC also reduced its shipments of Russian crude.
US President Joe Biden imposed sanctions on Russia’s energy sector in January, targeting companies like Gazprom Neft and Surgutneftegaz. Over 180 oil tankers transporting crude from Russia, Iran, and Venezuela were also targeted, as well as insurance firms involved in Russian oil logistics.
Read More @ kyivindependent.com