Russia's fuel supplies to Asia around Africa hit record high in July
Russia's seaborne exports of oil products to Asia via the Cape of Good Hope almost doubled month-on-month in July to a record high of 1.1 metric MMt, as more vessels take the route around Africa to avoid the Suez Canal shortcut, LSEG shipping data showed.
The bulk of the exports were naphtha, at 830,000 t, according to market sources and shipping data. Also taking the route were fuel oil cargoes loaded at the Russian Baltic ports of Ust-Luga and Vysotsk and low-sulfur diesel from Primorsk port.
The oil products exports were destined for Singapore, Taiwan, India and China, LSEG data shows.
Traders have been diverting Russian oil products cargoes around Africa since December to avoid the Red Sea due to a heightened risk of attacks by Yemen's Iran-aligned Houthi group.
In 2024, at least three vessels with Russian oil products were hit by Yemen's Houthis, including Panamanian-flagged M/T Wind in May and Liberia-flagged Chios Lion loaded in July at the Russian Black Sea port of Tuapse with about 90,000 tons of fuel oil.
The Chios Lion is still drifting in the Suez Canal, shipping data showed.
Asia is the main market for Russian fuel oil and naphtha exports since the European Union embargo on import oil products from Russia went into effect in February 2023.
Meanwhile, most vessels with Russian oil products still choose the shorter and faster route to Asia via the Suez Canal.
In March, Yemen's Houthis provided assurances to both China and Russia that their vessels will pass safely through the Red Sea. Some ships signal “Russian crew onboard” or “Russian origin cargo onboard.”
Total oil products loadings from Russian western and southern ports totaled around 9 MMt in July, according to the LSEG and market sources data.
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