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China restricted fuel exports in March after the disruption of crude oil flows and refinery production due to the US and Israel's war with Iran. Although it loosens the controls in the July-September period, it keeps exports under tighter control based on monthly inspection.
China is preparing to restart refined fuel exports in October, which it briefly stopped during the Golden Week holiday.
The decision will help ease supply tightness in global diesel, gasoline and jet fuel markets, four trade sources told Reuters.
According to industry representatives, China approved the export of a total of approximately 3.7 million metric tons of gasoline, diesel and jet fuel in October. Chinese refineries were expected to export just over 4 million tons of these three products in September.
China, the world's largest oil importer, restricted fuel exports in March after crude oil flows and refinery production were disrupted due to the US and Israel's war with Iran. Although Beijing loosened controls in the July-September period, it keeps exports under tighter control based on monthly inspections.
China's export decision is influenced by the fact that the war in the Middle East and the Russia-Ukraine conflict disrupt refined fuel production and especially increase diesel prices. As countries try to procure more fuel to secure supply, the International Energy Agency (IEA) decided this week to accelerate the use of oil stocks and prioritize diesel supplies.

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