In October, the Chinese marine fuel market trended downward with fluctuations

November 3rd, according to reports

According to the commodity analysis system, the marine fuel market in East China experienced a volatile downward trend in October. As of October 31, the average price of 180CST fuel oil in China was 5,400.00 CNY per ton, a decrease of 1.37% from 5,475.00 CNY per ton on October 1.

In October, China's 180CST fuel oil prices experienced volatile downward movements: Post-holiday, blending feedstock prices for marine fuels in China declined, while demand from the downstream shipping sector remained sluggish. Additionally, extreme weather conditions at several northern ports limited operations, prompting shipowners to prioritize essential bunkering needs, which helped pull down marine fuel prices in China.

By mid-October, strong winds in northern regions led to widespread port closures, causing some vessel fueling demands to shift southward. This regional shift, combined with rising global freight rates, provided support for China’s marine fuel market, driving up prices temporarily. However, as blending feedstock costs in China continued to soften, the upward momentum in fuel prices was eventually curbed, leading to a slight retreat in marine fuel prices once again.

Towards the end of the month, rising crude oil prices injected fresh support into China’s marine fuel market. Meanwhile, blending feedstock prices in China remained largely stable, while coastal shipping rates in the downstream market stayed steady. As a result, the overall marine fuel market in China entered a period of consolidation.

As of October 31, according to industry sources, CNOOC Fuel’s spot quotes for low-sulfur 180CST fuel oil in Dalian were as follows: 5,550 CNY/ton for self-delivery, and 5,650 CNY/ton for 120CST. In Shanghai, CNOOC Fuel’s prices stood at 5,300 CNY/ton for 180CST and 5,400 CNY/ton for 120CST, both delivered on a self-collection basis.

In October, international crude oil prices experienced volatile downward movements: At the beginning of the month, OPEC+ continued its production increase, while the easing of tensions between Israel and Palestine, combined with lingering concerns over potential new risks from U.S. tariffs, pushed oil prices lower. By mid-month, market worries about an oversupply situation, coupled with trade disputes sparked by the U.S. that dampened demand prospects, led to another drop in global oil prices. Toward the end of the month, however, as the U.S. imposed fresh sanctions on Russian oil companies—raising fears of heightened supply risks—the market saw international oil prices rebound.

Regarding international fuel oil, it is reported that Singapore's Enterprise Singapore (ESG) announced: As of the week ending October 29, Singapore's fuel oil inventories rose by 1.754 million barrels, reaching a two-week high of 24.781 million barrels.

Market Forecast: Crude oil prices have slightly rebounded recently, fueling a cautious "wait-and-see" sentiment in China's marine fuel market. Meanwhile, shipowners with immediate fuel needs are replenishing their supplies, while coastal bulk freight rates remain largely stable. Currently, the ex-warehouse price for low-sulfur 180cst fuel oil stands at RMB 5,200–5,550 per ton, while the ex-warehouse quote for low-sulfur 120cst fuel oil is RMB 5,300–5,650 per ton. It is expected that the 180CST fuel oil market will likely consolidate in the near term.