US may become majority source for China’s crude imports after trade deal

The first phase trade deal between the US and China will need China to heavily expand purchases of US crude oil, and that could mean potentially over 60% of China’s additional crude imports in 2020 will be grabbed by the US, according to ICIS analysts. Under the phase one deal signed on Wednesday, China will increase imports of US energy products by $52.4bn in two years, with around 35% ($18.5bn) for 2020 and some 65% ($33.9bn) for 2021. That gives energy a share of 26% in the total $200bn of additional imports China has committed to purchase.