Demand Rebound Gains Momentum
China's oil demand growth has accelerated beyond analyst forecasts, with refinery throughput reaching record levels as government stimulus measures boost industrial activity and transportation fuel consumption.
Import Surge
Crude oil imports rose 12% year-over-year in December, with Chinese refiners ramping up operations to meet improving domestic demand and rebuild depleted product inventories.
Economic Indicators
- Manufacturing PMI: 51.2 (expansion)
- Road freight activity: +8% YoY
- Jet fuel demand: +22% vs 2024
The recovery has been most pronounced in transportation fuels, with domestic air travel now exceeding pre-pandemic levels and road traffic indicators showing sustained improvement.
Global Impact
Strong Chinese demand is providing crucial support to global oil prices, offsetting concerns about weaker consumption growth in Europe and the potential for increased supply from non-OPEC producers.