Record deliveries: why Americans got hooked on Russian fuel oil
Over the course of the current year, global demand for fuel oil has been sharply declining, pending the entry into force of an environmental requirement that provides for a seven-fold reduction in sulfur content in marine fuel. Our country, which is the main seller of fuel oil, which ranks 4th in Russian exports, has been hit hard by the aforementioned “innovation.”
It will not be possible to quickly bring the product into compliance with the new standards, since this will require colossal investments in the oil refining industry. However, oddly enough, from large economic The United States saved Russia’s losses by purchasing 1,35 million tons of fuel oil in October. At the same time, supplies continue to grow in November. But why would the Americans need it?
The thing is that in the USA there is a developed sphere of oil refining, which, one of the few in the world, is capable of processing high-sulfur hydrocarbons. Its main supplier was Venezuela, which is currently under US sanctions.
Thus, the US refining industry was on the verge of closure, which will inevitably lead the country to the largest losses. As a result, demand for Russian heavy oil soared, which the European Union was not averse to acquiring, which lost supplies from Iran, again, because of sanctions imposed against the country. In addition, in order to save their refineries from ruin, the Americans began to buy fuel oil from us, using it as a raw material for processing.
Thus, to some extent, Russia saved the American refineries from ruin, and the USA, in turn, saved us from falling demand and inevitable losses. However, the most ridiculous thing in this situation is that Venezuela seems to continue to supply its oil bypassing restrictions. In particular, to Russia. Thus, it is likely that the Americans are purchasing the same Venezuelan raw materials, only now they are more expensive through a chain of intermediaries.
It will not be possible to quickly bring the product into compliance with the new standards, since this will require colossal investments in the oil refining industry. However, oddly enough, from large economic The United States saved Russia’s losses by purchasing 1,35 million tons of fuel oil in October. At the same time, supplies continue to grow in November. But why would the Americans need it?
The thing is that in the USA there is a developed sphere of oil refining, which, one of the few in the world, is capable of processing high-sulfur hydrocarbons. Its main supplier was Venezuela, which is currently under US sanctions.
Thus, the US refining industry was on the verge of closure, which will inevitably lead the country to the largest losses. As a result, demand for Russian heavy oil soared, which the European Union was not averse to acquiring, which lost supplies from Iran, again, because of sanctions imposed against the country. In addition, in order to save their refineries from ruin, the Americans began to buy fuel oil from us, using it as a raw material for processing.
Thus, to some extent, Russia saved the American refineries from ruin, and the USA, in turn, saved us from falling demand and inevitable losses. However, the most ridiculous thing in this situation is that Venezuela seems to continue to supply its oil bypassing restrictions. In particular, to Russia. Thus, it is likely that the Americans are purchasing the same Venezuelan raw materials, only now they are more expensive through a chain of intermediaries.
Information