Global seaborne oil flows decline as key Russian exports plummet

Russia’s crude exports from key western ports slumped to a 19-month low in July, underpinning an overall decline in seaborne oil flows worldwide.

Global shipments dropped by about 586,000 barrels a day last month, tanker-tracking data compiled by Bloomberg show. Total flows to China plunged by more than 1.4 million barrels a day, the biggest observed drop this year, though the figures may change as more vessels indicate their final destinations. 

An increase from top exporters Saudi Arabia and the US helped offset lower shipments from Russia, Brazil, Venezuela and Qatar.

Russian exports — mainly of the flagship Urals grade — from the Baltic ports of Primorsk and Ust-Luga, and Novorossiysk on the Black Sea, dropped to almost 1.8 million barrels a day last month. That compares with 2.2 million observed in June.

Russia has been improving compliance with its OPEC+ output target, and it’s seeing a recovery in domestic refining, which could reduce the amount of oil it ships abroad. A separate analysis this week showed the nation’s total seaborne crude exports at the lowest in almost a year, while confirming shipments from Baltic ports at the lowest since December 2022.