China oil majors halt seaborne Russian crude after new US sanctions

China’s state oil giants have paused purchases of seaborne Russian crude after the United States sanctioned Rosneft and Lukoil, according to multiple trading sources. The temporary suspension by PetroChina, Sinopec, CNOOC and Zhenhua Oil comes as refiners assess exposure to tightened measures targeting Moscow’s energy revenues.

The shift coincides with indications that India, another major buyer of Russia’s seaborne crude, is preparing to sharply cut imports to remain compliant with sanctions. A drop in demand from China’s state firms and Indian refiners would pressure Russian revenues and likely reprice competing barrels from the Middle East, Africa and Latin America.

Estimates vary on how much seaborne Russian oil China’s state refiners have been taking—analytics firms peg flows in recent months between roughly a quarter-million and half-a-million barrels per day—while total Chinese seaborne imports stand near 1.4 million barrels per day. Pipeline deliveries of about 900,000 barrels per day to PetroChina are expected to remain unaffected.

Traders said the market has already reflected uncertainty: offers for November-loading ESPO crude slipped to around a $1 premium to ICE Brent, compared with $1.70 earlier in October. Some independent refiners, while cautious, may still seek Russian supplies depending on risk appetite and pricing.