Iran's floating oil reserves shield China's refiners from US blockade threats. Approximately 38 million barrels of Iranian crude sit on tankers across Asian waters, with over a third anchored near China's coast. Chinese independent refiners, known as teapots, maintain robust onshore stockpiles in Shandong province at near-yearly highs. These strategic reserves provide roughly two and a half months of supply cushion against potential supply disruptions. China's imports from Iran reached a record 1.8 million barrels daily last month. Beijing granted additional crude import quotas to support continued refinery operations. However, prolonged US blockade measures could eventually strain these energy security efforts if Iranian flows diminish significantly over time.
