Brazil quickly seizes the crude oil export market

The latest data released by market research agency RefinitivEikon shows that in the first half of the year, Brazil's total crude oil exports to Asia rose rapidly and hit a record high in June. Data show that in June of this year, Brazil's crude oil exports to Asia reached 1.62 million barrels per day, more than twice that of the same period in 2019.

　　 In the first half of this year, the total imports of Brazilian crude oil by Asian countries averaged 1.07 million barrels per day, a year-on-year increase of 30%. Including international crude oil giants such as Petrobras, Shell and Total, Brazil's crude oil production in the first half of this year totaled 2.97 million barrels per day. Even with the impact of the new crown pneumonia epidemic and low oil prices, the production volume of 2.6 million barrels per day in 2019 is still up to a certain extent. Brazil has become the largest crude oil producer in Latin America.

　　 Reuters believes that this round of Brazil’s export growth is expected to “rob” the Asian market share of many oil-producing countries such as Latin America. In the first half of this year, Mexico’s total crude oil exports to Asia fell by 9.5% year-on-year, while Venezuela’s total crude oil exports to Asia, which was subject to US economic sanctions, dropped by 35% year-on-year. At the same time, according to data released by many African oil-producing countries, Brazil has also replaced some West African countries in India and other Asian countries.

　　According to data released by the International Energy Agency (IEA), in the next five years, Brazil will become one of the countries with the fastest growth in crude oil supply in addition to OPEC members. According to the industry goals set by the Brazilian National Petroleum Association, Brazil plans to double its crude oil production by 2030.