Saudi National Petroleum Corporation lowers oil prices for Asian and European

On August 6, local time, Saudi Aramco announced the official price of crude oil for September, and reduced the prices of Arab light crude oil for the Asian market, Western Europe and Northern Europe by $0.3 and $2.5 respectively from the previous month. This move may be motivated by Saudi Arabia's consideration of consolidating its market share, but it may also put pressure on international crude oil prices.

Saudi Aramco-Saudi Aramco announced the official price of September crude oil on the afternoon of August 6, local time, indicating that the company’s September crude oil price for the Asian market will be reduced by 0.3 US dollars from the previous month. The price of Arabian Light Crude Oil was the same as last month. The price of Arabian Light Crude Oil for Western Europe and Northern Europe was lowered by US$2.5 from August. This is the first time that Saudi Aramco has cut prices for Asia and Europe for the first time after five months. The price of crude oil in the market.

In March of this year, after the negotiation of the crude oil production reduction agreement between Saudi Arabia and Russia and other countries broke down, Saudi Arabia announced a substantial increase in crude oil production and lower crude oil prices to initiate a crude oil price war. After the agreement was re-reached in April, Saudi Arabia gradually increased Crude oil prices in various markets have been lowered to stabilize the international crude oil market. Among them, the August crude oil price increase for the Asian market announced in early July was the largest increase in 20 years.

Market analysis believes that after the Organization of the Petroleum Exporting Countries reached a crude oil production reduction agreement with Russia and other countries, international crude oil prices have gradually risen. However, the Gulf oil-producing countries are still under great pressure due to the new crown epidemic. Therefore, Saudi Arabia hopes to stabilize its market share by lowering crude oil prices. , But this action may trigger a chain reaction, and then put pressure on international crude oil prices.

Saudi Aramco is the world's largest oil company. According to convention, the company will generally announce the official price of crude oil next month on the 5th of each month, and this indicator has important guiding significance for the entire Middle East crude oil price.