Chinese companies secure largest share of Iraqi oil market as global importers diversify

The State Organization for Marketing of Oil (SOMO) disclosed on Monday that Chinese oil companies dominated the Iraqi oil market in December 2023. SOMO’s comprehensive statistics unveiled a total of 44 oil companies involved in purchasing Iraqi oil during the mentioned period, with a noteworthy 12 of them hailing from China.

Analyzing the import data, it becomes evident that China emerged as the leading importer, acquiring a substantial share of Iraqi crude oil. The figures also highlighted the participation of seven Indian oil corporations, positioning India as the second-largest importer from Iraq in December 2023. South Korea secured the third spot in the list of buyers, with four of its oil companies actively importing Iraqi oil during the same month. Turkey followed closely, with three oil companies contributing to its share of Iraqi oil imports.

The global reach of Iraqi oil was further emphasized by the inclusion of two oil companies from the United States, Italy, Japan, the UAE, and Greece each. Additionally, single oil companies from Spain, the Netherlands, Britain, Jordan, Kuwait, Russia, Malaysia, Azerbaijan, and France were part of the extensive list of importers in December.

Iraq’s oil marketing company highlighted prominent players in the market, with Nayara Energy, Exxon Mobil, Shell, and Eni emerging as the leading entities that significantly contributed to the purchase of Iraqi oil during the specified period.

This diversification in the buyer base signifies a dynamic shift in the global oil market, with Chinese companies taking a substantial lead in securing Iraq’s oil resources. The geopolitical and economic implications of this trend are likely to unfold in the coming months as the global energy landscape continues to evolve.