Oil Daily | Asian Countries Boost U.S. Energy Imports Amid Trade Tariffs; Turkey Resumes Russian Crude

【Oil-Producing Countries Dynamics】

Most Asian countries are pledging increased imports of U.S. energy to avoid high tariffs. Thailand is considering higher American energy imports to avert tariffs on its goods. Indonesia plans to buy $10 billion worth of American oil and LPG, while Pakistan and South Korea are exploring U.S. crude and LNG imports.

Turkey’s major oil refiner, Tupras, has resumed Russian Urals crude purchases after U.S. sanctions. Despite geopolitical constraints, Tupras is driven by favorable pricing. Urals crude prices hit their lowest point since 2023. The European Commission plans to phase out Russian oil and gas by 2027.

【Latest Oil Policies】

The U.S. issued new sanctions on Iran’s oil industry, targeting Chinese importers. The Treasury Department sanctioned Shandong Shengxing Chemical Co., Ltd. for buying Iranian crude oil. The push aims to reduce Iran's exports to zero. Despite this, China’s oil imports from Iran rose in March.

Mexico has temporarily suspended U.S. fuel imports by truck to combat illegal fuel trades. Inspections have halted diesel and gasoline trucks at the Texas border, but railway and seaborne deliveries remain unaffected. Mexico's decision follows several fuel seizures to curb illicit trade.

【Industry News】

The Department of the Interior halted construction at Empire Wind offshore project in New York due to insufficient environmental assessment. Empire Wind was set to power 500,000 homes, but its future is uncertain. Offshore wind faces challenges like higher borrowing costs and overcapacity.

U.S. LNG exporter Venture Global began deliveries from Calcasieu Pass amid a dispute with major oil firms about delays to commercial operations. Venture Global sold LNG on the spot market, causing lawsuits from companies like BP and Shell for not honoring long-term contracts.

【Others】

Thailand plans to increase U.S. LNG imports to avoid high tariffs. The Finance Minister stated intentions to raise LNG imports over five years. Thailand already has deals worth $600 million for LNG and $100 million for ethane. Other countries like Indonesia and India are also negotiating energy purchases.