China’s April oil imports drop

China’s imports of crude oil slipped for the first time this year in April, official data showed on Friday, with a 1.8 percent fall from a year earlier that may dent hopes of firmer demand growth.

Refinery losses and anticipation of government economic tightening were likely partly responsible for the turnaround, analysts said, but imports in April 2005 hit a then-record near 3.0 million barrels per day (bpd), giving a high base for comparison.

..“Refinery margins are bad. People have no incentive to run more (crude),” said one Beijing-based Chinese trader.

Worries of a government clampdown after economic growth hit a roaring 10.2 percent in the first quarter may also have tempered demand for oil from some sectors. Beijing in late April raised interest rates for the first time in 18 months, and many analysts expect it to follow up with further tightening measures.

Daily Times