China halts oil exports, fears of major crisis in Asia

Fuel prices in the international market are about to take a major hit. China has completely stopped exporting refined fuel from their country. 

Beijing has taken this drastic decision to increase its stockpiles within the country to ensure its own security. As a result, there is a fear of a severe fuel crisis in the whole of Asia, including Bangladesh.

China's major refineries have canceled or suspended all shipments of gasoline, diesel and jet fuel for the month of October. The decision will directly impact countries like Singapore, Malaysia, Australia, Vietnam and the Philippines, which rely heavily on China for fuel.

Previously, fuel prices in the global market had been fluctuating due to wars and various crises in the Middle East. Although the situation had somewhat normalized in July, Beijing imposed these restrictions again as fuel supplies in China's domestic market declined. 

Analysts say China will not lift the ban until domestic reserves are completely secure.

China's sudden move has sent diesel and other fuel prices soaring in Asian markets. Experts fear that China's decision could put additional pressure on the lives of ordinary people, adding to the already tight global energy supply.

Source: Reuters.