Oil prices rose about 2% on Thursday after China suspended exports of oil products to destinations outside Hong Kong and Macau, adding fresh pressure to fuel markets already facing tight global supplies.
The December Brent crude futures contract climbed 2.1%, or $2.06, to $100.09 a barrel at 0829 GMT. US West Texas Intermediate crude also gained $2.06, or 2.28%, reaching $92.48 a barrel. Prices remained volatile, falling more than 1% early in the session before recovering.
Four people familiar with the matter said Chinese refiners had halted exports of oil products until further notice. The move could reduce supplies to international markets at a time when global diesel availability has already been squeezed by disruptions to refining capacity linked to conflicts in the Middle East and Ukraine.
UBS analyst Giovanni Staunovo said the export restrictions pointed to concerns about fuel supplies inside China. However, it remained unclear whether the decision would lead Chinese refiners to increase crude imports after recent declines in the country’s oil and fuel stocks.
Markets were also watching diplomatic efforts surrounding the US-Iran conflict. Iran said it had received a US response to its latest proposal to revive a collapsed ceasefire, while US President Donald Trump rejected reports that he was prepared to offer Iran sanctions relief and release frozen funds in exchange for steps on its nuclear programme.
Meanwhile, Saudi Arabia has resumed oil tanker loadings from Yanbu after restarting its East-West Pipeline.
Goldman Sachs estimated that Gulf oil exports had recovered to about 23.3 million barrels per day, close to their 2025 average, after exports doubled in September.
