China’s state-owned oil refiners are reportedly weighing the possibility of resuming crude oil imports from the United States after halting purchases for about nine months, as the ongoing Middle East crisis threatens global energy supplies.
According to market sources cited by S&P Global’s Platts, the move is being considered despite the additional 20% tariff on U.S. crude imposed during trade tensions between Beijing and Washington.
Industry analysts say the tariffs could temporarily become less important if disruptions in the Middle East continue to tighten supply.
One Beijing-based analyst told Platts that China could even temporarily waive extra tariffs on U.S. energy imports in the event of a prolonged supply emergency, noting that U.S. ethane is already exempt because China relies heavily on American shipments.
The discussion comes as the conflict in the Middle East raises fears of a global energy shortage. Chinese authorities have already taken steps to protect domestic supply.
Last week, officials reportedly instructed the country’s largest refiners to halt exports of diesel and gasoline, according to a Bloomberg report, in order to ensure sufficient fuel for domestic consumption.
Shipping data reviewed by Platts suggests around eight crude cargoes from the U.S. Gulf Coast could potentially be shipped to China, most likely consisting of light sweet crude such as WTI Midland. One shipment was reportedly loaded on March 7, though traders say the cargoes could still be redirected if market conditions change.
The crisis has also pushed global oil prices sharply higher. Front-month NYMEX crude surged by more than $20 to about $111 per barrel on March 8, reflecting concerns about damaged energy infrastructure in the Middle East.
Shipping costs have also fluctuated. Freight rates for very large crude carriers (VLCCs) traveling from the U.S. Gulf Coast to China recently eased to about $26 million per voyage, down from earlier record levels above $29 million.
Previously, Chinese refiners largely avoided U.S. crude because the combination of tariffs and shipping costs made the trade unprofitable.
However, refinery strategists now say the priority has shifted to securing supply.
One procurement strategist from a state-run refining company said tariffs are becoming less significant as freight costs and supply risks increase, adding that China is evaluating “every available barrel” on the global market.
Another industry strategist noted that while China can temporarily rely on commercial inventories, those reserves are limited if the conflict continues.
China’s government requires its state-owned refineries to prioritize national energy security over profit, according to market sources.
Imports of U.S. crude had dropped sharply after trade tensions escalated in 2025, with shipments declining by more than 70% year-on-year to about 2.29 million metric tons.
Despite reduced imports, China’s crude stockpiles remain high. Data from Ursa Space shows the country’s onshore crude inventories reached a record 1.32 billion barrels in early March.
If disruptions in Middle Eastern supplies persist, Chinese refiners may rely on these reserves while continuing to evaluate the possibility of bringing U.S. crude back into their supply mix.