The VLCC Tianjin left the Corpus Christi lightering zone in the Gulf of Mexico on June 19 with nearly 2.1 million barrels of US WTI / Midland WTI crude on board. It has just discharged its cargo at Reliance’s Jamnagar refinery in India, sneaking in before the end of the July to mark a record month of deliveries of US barrels to India.
Despite this milestone, China continues to hold the mantle as the leading Asian destination for US crude. But that could change going forward, with the growing likelihood of impending tariffs.
Based on our projections, India is going to import nearly as much US crude as China in August, as its appetite for light sweet US crude increases…just as China loses theirs.
Tariffs look set to kick in as soon as September, meaning that any barrels arriving on Chinese shores will be hit with a 25 percent tariff – taking US crude from a