CHINA DATA: Pakistan receives nearly half of all gasoline exports in March

Pakistan was the top destination for China's gasoline exports in March, taking almost half of the outflows for the month, data from the General Administration of Customs showed April 20.

The exports of 574,000 mt to Pakistan -- a record high which accounted for 49.6% of the combined gasoline exports from China in March-- was up 202.7% from February and 980% higher than a year earlier.

The last record for gasoline exports to Pakistan was 460,072 million mt in October 2021.

The strong imports from the South Asian country also propelled the combined gasoline exports to Pakistan to 970,000 mt in Q1. This translated to a year-on-year increase of 164.6%, the only growth recorded among the top five recipients of China's gasoline.

The increase in imports was in line with the country's growing demand. Pakistan's gasoline consumption growth is expected to be in near double digits over the next three years due to rising auto sales despite the push toward cleaner fuels, CEO of Pakistan State Oil Syed Muhammad Taha told S&P Global Commodity Insights in an interview.

Over the next two to three years, motor gasoline demand is expected to increase 8%-10% per annum owing to the sharp increase in economic activity, according to Taha.

However, Chinese analysts questioned the actual volume of the outflows to Pakistan in March as shipping trackers showed around 488,000 mt of gasoline flows to the country in Q1 from PetroChina Dalian, Zhejiang Petroleum & Chemical, Sinochem Quanzhou and Sinopec Hainan.

Overall exports of the fuel from China, meanwhile, was down 40.3% year on year to just 3 million mt over the first quarter, according to the GAC data.

Among this, the exports to the traditional top destination of Singapore fell 51.7% on the year to just 1.124 million mt over January-March.

China's gasoline exports are likely to increase to around 1 million-1.1 million mt in April amid weak domestic demand amid the resurgence of COVID-19 cases.

Gasoil exports

China's oil companies also boosted gasoil exports in March amid better margins.

The overall volume rose 241.3% on the month to 673,000 mt in March from a multi-year low of 197,000 mt.

Most of those barrels landed in Southeast Asian countries, with Singapore, Australia and Malaysia taking most of the incremental barrels.

The exports of 138,400 mt to Singapore was up 224.7% from 42,600 mt in February.

Australia and Malaysia received about 80,000 mt of the exports each in March, compared with almost none a month earlier.

More barrels also landed in South Africa, which received 80,600 mt in March, up 102.6% from February.

The country imported 120,000 mt of gasoil from China in January-March, compared with none a year earlier.

Top destinations for China's gasoline exports (Unit: '000 mt)

Top destinations for China's gasoil exports (Unit: '000 mt)

Source: General Administration of Customs

Notes: *including exports to other countries