(MENAFN) Saudi Arabia is set to increase its crude oil exports to China in August to a minimum of 44 million barrels, according to trade sources. This uptick follows substantial price reductions by Saudi Aramco, the kingdom's state oil giant. The August shipments to China mark the first increase in four months, rising from approximately 36 million barrels exported in July.

This move aims to bolster Saudi Arabia's presence in the world's largest oil import market. In June, Saudi oil exports to China had dropped to 1.12 million barrels per day, the lowest since March 2020, as reported by analytics firm Kpler. Major Chinese buyers of Saudi crude include Zhejiang Petrochemical, Sinopec, Sinochem, and PetroChina.

Additionally, sources indicated that Saudi Aramco plans to supply the full contractual volumes to at least three other refiners in North Asia during August. This decision comes shortly after Saudi Aramco lowered crude prices for August loading to Asia for the second consecutive month, with its Arab Light crude reaching its lowest price point since March.

According to one source, the official selling prices for Saudi crude in August were more competitive compared to previous months, aligning more closely with other crudes traded in the spot market. This strategic adjustment in pricing aims to enhance Saudi Arabia's market competitiveness amidst fluctuating global oil dynamics and demand patterns.

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