Tankers carrying Russian oil rejected by India idle off China's coast – Bloomberg

Bloomberg reported this, citing data from Kpler, according to Ukrinform.

As of Wednesday, at least five vessels carrying about 3.4 million barrels of oil were idling in the Yellow Sea. The ships are located near Shandong province, a hub for independent refineries.

The buildup of Urals crude off China is a unique situation that has drawn the attention of oil traders worldwide, as Chinese refineries are not typical buyers of this grade, which is loaded at distant western Russian ports. They usually prefer Russian crude from eastern terminals due to proximity and higher diesel quality. However, tighter US oversight of Russian oil shipments to India, along with sanctions on Rosneft and Lukoil, have forced Urals sellers to seek alternative buyers in East Asia. According to local officials, India's imports are expected to total about 800,000 barrels per day in December, down from a peak of 2 million barrels per day in June.

As the outlet notes, while tankers can make long voyages from western Russia without a prearranged buyer, the growing fleet may signal a shift in trade flows.

As Ukrinform reported, Indian Prime Minister Narendra Modi and Kremlin leader Vladimir Putin have said they plan to expand and diversify trade beyond oil and defense.

 Illustrative photo: Stefan Sauer/dpa/picture alliance