China draws 1 million barrels a day from oil stocks after Gulf shock

China has begun drawing on commercial crude stockpiles to blunt a supply shock triggered by the Iran war and the near-total closure of the Strait of Hormuz. Analytics firms Vortexa, Kpler and Energy Aspects expect inventory draws to average about 1 million barrels a day in the coming months, replacing roughly a third of the crude China is no longer receiving. Energy Aspects said China drew almost 25 million barrels in the month to June 7. The country still holds about 1.2 billion barrels in commercial and strategic reserves. China has also cut refinery processing to record lows, curbed fuel exports under wartime measures and leaned on faster electric-vehicle adoption to reduce fuel demand.