China cuts diesel imports, waits to boost oil reserves

Beijing announced that it will cut diesel imports for August, as domestic supplies increased due to refinery upgrades, state media reported. Unipec, China’s largest oil trader, will stop buying diesel in August and September, acording to sources familiar with the situation. Separately, an official at the National Energy Administration announced at a conference in Thailand that China will continue to expand oil reserves, but would wait to see if global oil prices continue to fall before buying. Benchmark oil prices fell to below US$120 a barrel this week, down from a high of US$147.27 a barrel in mid-July. China has been building its oil reserves since 2006.