Private ports in China are receiving oil from US-sanctioned tankers, allowing major buyers of Iranian and Russian crude to avoid restrictions at larger ports, Bloomberg reported on Tuesday.
Dongying, a port in eastern Shandong province, has become a key entry point for sanctioned oil after state-run Shandong Port Group sold at least one terminal to a private company, the report said citing traders familiar with the matter.
The Si He, a tanker blacklisted by the US on January 10, discharged over 744,000 barrels of Russian ESPO crude at Dongying last week, the report added citing the traders and data from commodities-tracking firm Kpler.
Other recently privatized berths, including in Yangshan near Shanghai and Huizhou in Guangdong province, have also handled shipments of sanctioned oil. Last month, Huizhou’s Huaying Petrochemical terminal received nearly 1 million barrels of Iranian crude from Suezmax Nichola, which in turn took them from an Iran-owned tanker Salina, according to Bloomberg citing ship-tracking data.
The shift toward private operators follows Shandong Port Group’s recent move to block sanctioned tankers under US pressure. However, Bloomberg said the continued use of blacklisted vessels highlights both the financial pressures on China’s independent refiners and Beijing’s apparent willingness to allow the trade to continue.
China’s imports of Russian and Iranian crude accounted for a quarter of its total crude imports in 2024, Bloomberg calculated based on official customs data.
Findings by Iran International show that while Iran’s oil sales to China dropped sharply last month, the decline in export revenues began months earlier, coinciding with US sanctions on dozens of tankers carrying Iranian crude.
