Bunker Fuel

JLC China Bunker Fuel Market Monthly Report (September 2023)

Country sold approximately 1.67 million mt of bonded bunker fuel in the month, with the daily sales decreasing by 4.23% to 55,610 mt from August, JLC’s data shows.

Published

3 years ago

October 13, 2023

Admin

Beijing-based commodity market information provider JLC Network Technology Co. recently shared its JLC China Bunker monthly report for September 2023 with Manifold Times through an exclusive arrangement:

Bunker Fuel Demand

China’s bonded bunker fuel sales retreat in September

China saw a drop in its bonded bunker fuel sales in September, due to tightening supply and some policy factors.

The country sold approximately 1.67 million mt of bonded bunker fuel in the month, with the daily sales decreasing by 4.23% to 55,610 mt from August, JLC’s data shows. The sales by Chimbusco, Sinopec Zhoushan, SinoBunker and China ChangJiang Bunker (Sinopec) were respectively 550,000 mt, 620,000 mt, 75,000 mt and 35,000 mt, while those by suppliers with regional bunkering licenses dropped to 388,300 mt.

Despite relatively stable shipping demand, China’s bonded bunker fuel sales fell back amid tightening supply. Meanwhile, the barging capacity at ports in Shenzhen, Guangzhou and Xiamen became inadequate, adding to the downward pressure on the sales.

China’s bonded bunker fuel exports rally in August

China’s bonded bunker fuel exports rallied modestly in August, mainly due to a slight increase in domestic fuel oil output.

The country exported roughly 1.63 million mt of bonded bunker fuel in the month, inching up by 0.84% month on month, JLC estimated, with reference to data from the General Administration of Customs of PRC (GACC).

Among these exports were 1.55 million mt of heavy bunker fuel and 79,600 mt of light bunker fuel, which accounted for 95.12% and 4.88% of the total, respectively.

Enterprises with national bunkering licenses exported about 1.17 million mt of bonded bunker fuel in the month, accounting for 71.99% of the country’s total, with Sinopec Fuel Oil and Chimbusco taking 64.35%. Meanwhile, suppliers with regional licenses exported 456,600 mt, occupying 28.01%, with PetroChina Fuel Oil (Zhoushan, Shanghai, Guangzhou and Shenzhen) supplying 234,600 mt, accounting for 14.39% of China’s exports and 51.38% of regional enterprises’ total.

Larger bonded bunker fuel exports were ascribed to faster fuel oil production. China’s daily fuel oil output settled at 146,839 mt in August, a boost of 3.31% month on month, according to data from the National Bureau of Statics (NBS). Meanwhile, bunkering business at Chinese ports recovered to some degree when typhoons weakened, which also lent some support to the exports.

Capping the upside, however, some refiners and traders ran short of quotas on low-sulfur fuel oil (LSFO) exports.

On a year-on-year comparison, China’s bonded bunker fuel exports plunged by 19.65% in August. Underlying the slump was a relatively high base in August 2022 when refiners hiked exports sharply amid new quotas.

China recorded a total of 13.66 million mt of bonded bunker fuel exports in the first eight months of this year, growing by 2.42% from the corresponding months in 2022, decelerating from a boost of 6.38% in January-July.

Heavy bunker fuel exports totaled 12.97 million mt in the eight months, making up 94.97%, while marine gas oil exports amounted to 687,400 mt, accounting for 5.03%. Enterprises with national bunkering licenses tallied about 10.97 million mt of bonded bunker fuel exports in this period, accounting for 80.32%, while those with regional licenses exported 2.69 million mt, nearly one fifth of the country’s total exports.

Domestic-trade bunker fuel demand rises in September

Domestic-trade bunker fuel demand rose in September, amid lingering bullish sentiment and pre-holiday restocking.

Domestic-trade heavy bunker fuel demand climbed to 360,000 mt in the month, an increase of 30,000 mt or 9.09% from August, JLC’s data shows. In the meantime, domestic-trade light bunker fuel demand rose to 140,000 mt, up by 10,000 mt or 7.69% from the previous month.

Though downstream buyers increased purchases to meet rigid demand, their acceptance of high prices was still limited.

Bunker Fuel Supply

China sees a drop in its August bonded bunker fuel imports

China’s bonded bunker fuel imports dropped in August, as import costs surged and domestic fuel oil production sped up.

The country imported approximately 306,500 mt of bonded bunker fuel in the month, a cut of 8.23% from the previous month and 8.48% from a year earlier, JLC estimated, with reference to data from the General Administration of Customs of PRC (GACC).

South Korea became the largest supplier to China by exporting about 111,600 mt of bonded bunker fuel, accounting for 36.4% of the latter’s total imports. Oman ranked second with 100,600 mt, accounting for 32.8%, while Russia slipped to the third place with 91,300 mt, making up 29.8%. There were also 3,000 mt of bonded bunker fuel coming from Singapore, occupying 1.0%.

Domestic importers showed lower buying interest, as high-sulfur bunker fuel prices in Asia soared amid surging international crude and imported low-sulfur bunker fuel prices still lacked price advantages. Meanwhile, freight rates for imported cargoes stayed firm, adding to the downward pressure on the imports.

The drop in the imports was also because of larger domestic production. Chinese refiners raised their daily fuel oil output to 146,839 mt in August, an increase of 3.31% month on month, according to data from the National Bureau of Statics (NBS).

China’s bonded bunker fuel imports totaled about 2.49 million mt in January-August, diving by 20.58% from the same months in 2022, slowing down from a plunge of 22.02% in January-July.

Chinese blenders supply more domestic-trade heavy bunker fuel in Sept

Chinese blenders supplied more domestic-trade heavy bunker fuel in September, as they raised output when refineries increased low-sulfur residual oil supply. Meanwhile, terminal buyers placed more orders for bunker fuel towards the public holiday for the Mid-Autumn Festival and the National Day.

Chinese blenders supplied about 390,000 mt of domestic-trade heavy bunker fuel in the month, a boost of 20,000 mt or 5.41% from August, JLC’s data shows.

On the contrary, domestic-trade marine gas oil (MGO) supply dropped to 160,000 mt, a cut of 10,000 mt or 5.88% month on month. Coking margins were squeezed by rising feedstock prices, forcing refineries to reduce their light bunker fuel supply.

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Yvette Luo
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Sales (Beijing)
Tony Tang
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Sales (Singapore)
Ginny Teo
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JLC Network Technology Co., Ltd is recognized as the leading information provider in China. We specialized in providing the transparent, high-value, authoritative market intelligence and professional analysis in commodity market. Our expertise covers oil, gas, coal, chemical, plastic, rubber, fertilizer and metal industry, etc.

JLC China Bunker Fuel Market Monthly Report is published by JLC Network Technology Co., Ltd every month on China bunker market, demand, supply, margin, freight index, forecast and so on. The report provides full-scale & concise insight into China bunker oil market.

Note: China-based commodity market information provider JLC Technology has been providing Singapore bunkering publication Manifold Times China bunker volume data since 2020. Data from that period is available here.

Photo credit: JLC Network Technology
Published: 13 October, 2023

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Mass Flowmeter

Hong Kong backs MFM adoption with voluntary scheme to boost bunkering competitiveness

Hong Kong’s Marine Department launched the Quality Bunker Operator Scheme to encourage bunker operators to install and use mass flow meter systems on their bunker vessels.

Published

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June 4, 2026

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Hong Kong’s Marine Department (MD) on Wednesday (3 June) launched the Quality Bunker Operator Scheme to encourage bunker operators to install and use mass flow meter systems (MFM systems) on their bunker vessels.

MD said the scheme aims to enhance Hong Kong’s bunkering service quality and the competitiveness of Hong Kong ports, thereby further consolidating Hong Kong’s position as an international maritime centre and a major bunkering port.

Under the Scheme, bunker operators of traditional maritime fuel and biodiesel that install and use MFM systems on their bunker vessels, with the MFM systems inspected and certified by an accredited body in accordance with the International Organization for Standardization’s ISO 22192 Standard or equivalent requirements, can apply to the MD for inclusion in the scheme’s “List of Quality Bunker Vessels”, provided they meet the relevant technical and operational requirements.

Details of the bunker vessels successfully included in the List will be published on a dedicated page on the MD’s website for reference by shipping companies and relevant stakeholders.

Participation in the Scheme is voluntary. In addition to receiving recognition from the MD, participating bunker operators will benefit from enhanced corporate image and competitiveness through the adoption of MFM systems, thereby boosting customers’ confidence and helping to create new business opportunities.

A spokesman for the MD, said: “As an international maritime centre supported by our country, Hong Kong has a strategic location adjacent to major international fairways. Coupled with years of development in marine fuel bunkering, Hong Kong possesses rich experience and talent in the field. For many years, Hong Kong has consistently ranked as the seventh-largest bunkering port globally, the second-largest in our country, and the largest in the Greater Bay Area, providing reliable and competitive fuel bunkering services to ocean-going vessels from around the world.

“As the international shipping industry has an increasing demand for accuracy and transparency in bunkering services, service quality and measurement precision in bunkering operations have become important indicators of a bunkering port’s competitiveness. The Scheme will enhance bunkering accuracy and transparency, further enhancing the quality of Hong Kong’s bunkering services.

The spokesman added that comprehensive port services are one of Hong Kong’s key advantages as an international maritime centre.

“We will also mandate the use of MFM systems on all methanol bunker vessels this year to ensure that Hong Kong continues to provide high-quality bunkering services in the era of green maritime fuels.”

Note: The application form for the Scheme can be found on the MD’s website. Interested bunker operators can download the application form from the website or contact the MD’s Green Maritime Fuel Team via email ([email protected]) for details.

Photo credit: Manifold Times
Published: 4 June, 2026

Alternative Fuels

MPA and MSC ink MoU to support adoption of alternative bunker fuels

MPA and MSC will explore new routes and services to strengthen connectivity, support the adoption of alternative marine fuels such as bio-LNG, and advance technologies to improve vessel energy efficiency.

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June 4, 2026

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MPA and MSC ink MoU to support adoption of alternative bunker fuels

The Maritime and Port Authority of Singapore (MPA) on Wednesday (3 June) said it signed a Memorandum of Understanding (MoU) with MSC Mediterranean Shipping Company to strengthen collaboration in maritime decarbonisation, digitalisation, innovation, and manpower development.

The MoU was signed on 25 May 2026 by Mr Ang Wee Keong, Chief Executive of MPA, and Mr Soren Toft, Chief Executive Officer of MSC.

The MoU underscores the shared commitment of MPA and MSC to foster a sustainable, digital, and future-ready maritime sector, while enhancing MSC’s operational and business activities in Singapore. This year also marks the 30th anniversary of MSC establishing its Asia Regional Office and local office in Singapore.

Under the MoU, MPA and MSC will explore new routes and services to strengthen connectivity, support the adoption of alternative marine fuels such as bio-LNG, and advance technologies to improve vessel energy efficiency and operational performance.

MPA and MSC will also collaborate on maritime digitalisation initiatives to improve operational efficiency, including streamlining vessel arrivals and port operations.

On manpower development, MSC will support internship and scholarship opportunities through Singapore Maritime Foundation’s Maritime Outreach Network (MaritimeONE) platform, an industry-led tripartite partnership comprising industry, government and institutes of higher learning that aims to raise awareness of the maritime industry and attract quality talent into the maritime sector.

Mr Ang Wee Keong, Chief Executive of MPA, said: “This partnership reflects the strong collaboration between MPA and MSC in driving sustainability and digitalisation in the maritime sector. By working together on decarbonisation, operational efficiency and talent development, we aim to strengthen Maritime Singapore’s position as a trusted and future-ready global maritime hub.”

Mr Soren Toft, Chief Executive Officer of MSC, said: “Singapore is a strategically important hub for MSC and a key gateway to the broader Asia region. As we mark 30 years in Singapore, this MOU reinforces our long-term commitment to strengthening our presence here. MSC and Singapore are closely aligned on the priorities shaping the future of global shipping, and we look forward to deepening this partnership to drive the continued growth and resilience of the maritime industry.”

Photo credit: Maritime and Port Authority of Singapore
Published: 4 June, 2026

Methanol

Seaspan and Hapag-Lloyd complete first of five methanol vessel retrofit

Following “Seaspan Yangtze”, the remaining vessels planned for retrofit under the methanol retrofit programme are “Seaspan Amazon”, “Seaspan Ganges”, “Seaspan Thames”, and “Seaspan Zambezi”.

Published

14 hours ago

June 4, 2026

Admin

Seaspan and Hapag-Lloyd complete first of five methanol vessel retrofit

Seaspan Corporation (Seaspan) and Hapag-Lloyd on Wednesday (3 June) announced the successful completion of the first of the five vessel conversions under their methanol retrofit programme with the delivery of Seaspan Yangtze.

From the early SAVER (Seaspan Action for Vessel Energy Reduction) programme to today’s CleanBlue initiative, Seaspan has committed over USD 230 USD million across 86 vessels, executing more than 550 efficiency and retrofit projects.

Following Seaspan Yangtze, the remaining vessels planned for retrofit under the programme are Seaspan Amazon, Seaspan Ganges, Seaspan Thames, and Seaspan Zambezi. Each retrofit is expected to reduce well-to-wake CO₂e emissions by approximately 30,000 to 50,000 metric tonnes per vessel annually when operating on low-carbon methanol, while also extending vessel lifespan and enhancing fuel flexibility.

“Decarbonisation is not just about building the fleet of tomorrow, it is also about unlocking the full potential of the fleet we have today. Retrofitting and upgrades on existing fleets play a practical, immediate, and economical role in accelerating shipping’s decarbonization journey,” said Bing Chen, Chairman, President and CEO of Seaspan.

“Project SAVER CleanBlue highlights Seaspan’s strong customer partnerships, deep technical expertise, and unique platform integrated with JV partners, such as WattSpan Maritime Technology, in executing complex and large-scale retrofit projects.”

“The successful conversion of the Seaspan Yangtze together with the planned retrofit of its four sister vessels is another important step on our ambitious path towards net-zero fleet operations by 2045,” said Silke Lehmköster, Managing Director, Fleet, Hapag-Lloyd.

“Together with Seaspan, we are demonstrating that retrofitting existing vessels for low-carbon methanol can be a practical way to reduce emissions in shipping.”

Photo credit: Seaspan
Published: 4 June, 2026