A Platts Data Analysis Shows China's March Oil Demand Almost Flat From Year

HONG KONG, April 22 /PRNewswire/ — Platts — China consumed 31.26 million metric tons of crude oil in March, down a minor 0.25% from the corresponding month of 2008, a Platts analysis of official data showed April 22.

However, crude and refined products demand in the world’s second-largest oil consuming nation in the first quarter was 4.8% lower versus the corresponding period of 2008, as China registered its slowest quarterly economic growth in almost a decade.

The country’s apparent oil demand was a cumulative 87.80 million metric tons for the January-March period, down 4.8% from 92.23 million metric tons in the first quarter of 2008. The decline contrasts with an increase of more than 8% in Chinese oil demand in the first quarter of 2008 versus 2007.

The rapid growth in Chinese oil consumption to fuel its economic growth in recent years has underpinned a rally in global demand since 2004, and has been widely regarded as one of the factors responsible for sending global crude oil prices rocketing to historic highs in July 2008.

As recession in major economies dampens oil appetite, China is once again in the spotlight, with market observers watching for any signs that the nation’s oil needs will put a floor under sliding global consumption figures.

Platts