OPEC+ should look to Asia’s uneven, uncertain crude oil recovery: Russell

OPEC+ should look to Asia’s uneven, uncertain crude oil recovery: Russell

The current oil demand situation in Asia, which accounts for about 36% of the global total and almost 80% of expected growth in coming years, shows the nature of the dilemma facing OPEC+.Total crude imports for November for Asia are estimated at 25.04 million bpd, according to vessel-tracking and port data compiled by Refinitiv Oil Research.This is 11% higher than the 22.6 million bpd for October, which was the lowest month so far in 2020.The data does suggest that Asian crude demand is starting to recover from the economic hit caused by countries locking down in efforts to contain the spread of the novel coronavirus pandemic.But it's worth noting that November's estimated crude imports are still well short of the 25.67 million bpd recorded in January, the last month before the pandemic starting curbing demand, first in China and then across the rest of the region.What may be even more concerning for OPEC+ is the breakdown of Asia's November imports, with much of the increase being down to a rebound in China's buying.China is on track to import about 11.56 million bpd, according to Refinitiv, up 15% from October's 10.06 million bpd.The question is why is China buying more crude,