Wednesday, January 7, 2026- Chinese buyers are increasingly stepping back from purchasing Venezuelan crude oil, marking a notable shift driven by supply disruptions and rising costs that have made the oil less competitive.
Offers for Venezuela’s heavy Merey grade have widened as logistical constraints disrupted tanker loadings, pushing delivered prices higher and prompting many Chinese refiners to delay purchases rather than lock in costly cargoes. With sufficient inventories on hand and softer domestic demand, Chinese buyers have little urgency to accept higher-priced Venezuelan supplies.
The slowdown comes amid broader strain on Venezuela’s export system, where shipping and operational challenges have reduced flows to Asia. Shipments to China have declined as sellers raise pricing expectations, leaving fresh offers unclaimed and increasing volumes held in offshore storage. This situation weakens Venezuela’s negotiating position with what has historically been its most important oil customer.
As Venezuelan exports stall, Chinese refiners—particularly smaller independent operators—are preparing to turn to alternative heavy crude sources, including supplies from Iran and Russia. Analysts say the shift reflects both commercial caution and geopolitical risk management, highlighting how rising costs and disrupted logistics can quickly reshape global energy trade flows.
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