China and the Middle Eastern Oil

In the past few dependence of China on Middle Eastern crude oil has increased. Though almost the globe is dependent on China for many products, and the middle east depends on it. But Chinese dependence on crude oil from the middle east can hugely impact geopolitics. Crisis can be increased until China finds any other bowl of oil, as a companion.

In December 2021 a report published showed how the dependence of China’s increasing on the crude oil of the middle east. 

China purchases more than 70% of its oil from abroad and it is the largest importer of oil in the globe. Around 50% of oil in China arrives from the Middle East in 2020 reports say $176 billion was expended by China and 47% of the oil they imported. The main supplier of oil was Saudi Arabia. The Saudis exported oil worth $28.1 billion to China which is around 15.9 percent of the total oil export in 2020. And the remaining quantity of oil was exported by other middle eastern boss- Kuwait, Oman, Iraq, and the United Arab Emirates. China is also ignoring the sanctions of Iran for oil fulfillment of its oil needs.

Although China is trying to boost its oil production to reduce the import of oil it is not able to do so for the needs of its country. But he is working on renewable sources. China National Offshore Oil Corporation projects a remarkable peak in gas production in 2022. China is focusing on the upcoming 3 years in which it will increase gas production and green energy.

But China is also planning to increase its relationship with Saudi Arabs. Saudi is one of his close partners in terms of oil supply, Recently Xi Jinping visited there to sign a comprehensive strategic partnership. He is very cleverly planning for the future of oil and gases, you must remember China’s Belt and Road Initiative.

But what is the tension here?

China is a country on which the world is dependent in many ways, and China's dependence on Saudi Arabia for oil or a region is making it vulnerable in some quarters. And it will affect the whole world in one way or the other.

As you see OPEC countries are calling for stricter export quotas. The US openly criticized Saudi Arabia for taking complete control of the world's oil. And if China Xi also depends on them then it will surely suck the world differently. We're watching the trailer too - as Xi tries to try and maintain a close relationship and good friendship with Crown Prince Mohammed bin Salman. 

And the second problem is China is trying to attack Taiwan and the world is against it. And chances are more oil tankers of China can get stuck in between the oceans Straits of Malacca by sanctions. So, China is trying to be close to Saudi. 

Geopolitics is going to some more instability on Oil!