Trump-Xi Summit Leaves Oil Market in the Dark

A high-stakes summit between Donald Trump and Xi Jinping has concluded, but a crucial topic was conspicuously absent from public statements: Russian oil. This silence has thrown Chinese refiners, the world’s largest crude importers, into a state of confusion.
The lack of clarity comes at a time of extreme market uncertainty. Western policy aims to cut off Russia’s war funding, and China’s next move is critical.
In response to this “muddle” and new sanctions, Chinese state-owned giants like Sinopec and PetroChina are already canceling Russian cargoes. This retreat is a direct reaction to new US sanctions targeting Russian producers Rosneft and Lukoil.
The fear isn’t limited to state-run firms. Private “teapot” refiners are also shunning Russian crude. They are reportedly terrified after the UK and EU blacklisted Yulong Petrochemical, sending a clear warning to the market.
This “buyers’ strike” has already delivered a heavy blow to Moscow. Prices for its ESPO crude have plunged, and an estimated 400,000 barrels per day of oil flow are affected.