Oil prices rose on Thursday after China halted oil-product exports to destinations outside Hong Kong and Macau, adding pressure to global fuel markets already dealing with supply disruptions.
The front-month December Brent crude contract stood at $100.09 a barrel at 0829 GMT, up $2.06, or 2.1%, from Wednesday’s close. The November Brent contract expired the previous day at $103.50 a barrel after climbing around 14% during September.
U.S. West Texas Intermediate crude increased $2.06, or 2.28%, to $92.48 a barrel.
Prices had initially moved lower during Thursday’s session, falling more than 1% before reversing course.
China’s decision is particularly significant for refined fuels. Four people briefed on the matter said Chinese refiners had stopped shipping oil products beyond Hong Kong and Macau until Beijing provides further instructions. The suspension comes as global diesel supplies have already tightened because of reduced refining capacity linked to disruptions in the Middle East and Ukraine.
The United States has also asked Germany and France to release emergency diesel stocks. Three people familiar with the discussions said Washington was seeking additional supplies from Europe as governments contend with tighter fuel markets.
European diesel refinery margins were around $80.05 a barrel at 0829 GMT, about 4% lower than the previous session. The margins had reached an all-time high of $95 a barrel on September 23.
Oil traders were also monitoring developments involving Middle Eastern exports and efforts to restore the U.S.-Iran ceasefire. Saudi Arabia has restarted tanker loadings from Yanbu after bringing its East-West Pipeline back into operation, while Iran said it had received a U.S. response to its latest proposal related to the collapsed ceasefire.
Goldman Sachs estimated that Gulf oil exports, including so-called dark exports involving vessels with their location transponders turned off, had risen to 23.3 million barrels per day during the previous week. That was roughly consistent with the 2025 average, while exports had doubled in September.
Tight refined-product supplies, China’s export suspension and uncertainty surrounding Middle Eastern diplomacy have continued to drive significant volatility in oil markets as traders gauge how much fuel will be available to major consuming regions.
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