China expected to lower import of US oil as trade war rages on
Tariff war between the two economic giants has already sent oil prices into a tail spin over global recession fears, as Brent crude futures dipped by almost 4.7 percent on Wednesday.
The latest round of tit-for-tat measures came about last week when President Donald Trump threatened to slap new charges on China from September 1.
In retaliation, the Asian powerhouse depreciated the yuan to its lowest point in more than a decade. The US administration termed Beijing a “currency manipulator”.
Now energy experts expect China to drastically reduce imports of US oil, which had recently surged to a high of 247,000 barrels per day.
China is the world’s largest oil buyer and one of the leading importers of US oil. However, imports to China almost dried up in the wake of the tariff war.