China exported a record volume of refined oil products in December, but the oil price rally has been driving refining margins down in recent weeks. These falling margins mean January’s oil product exports may be lower as its production falls, Reuters columnist Clyde Russell writes. China’s commodity trade data for December showed that the country exported 6.17 million tons of refined oil products, equal to about 1.6 million bpd using the BP conversion factor of 8 barrels of product/ton. Chinese fuel exports in December increased by 6.6 percent compared to November. The record December fuel exports—including gasoline, diesel, and jet fuel—were the result of near-record imports of crude oil in November and strong refining margins, according to Russell. In November, China had imported crude oil at a rate of 9.01 million bpd—the second-highest on record . But since then, the oil price rally has weakened refining margins, and with […]