New energy data indicates a significant reduction in the crude cushion built up over the past few months, with a high risk of tightening in the next 2-3 months unless geopolitical conditions improve.
According to shipping analytics firm Vortexa, Atlantic Basin inflows have already begun to slow, while China is drawing down its inventories at a rate of up to 1 million barrels per day. This trend suggests that China's extra crude buffer built since 2025 could be largely depleted within four months if current draw rates persist.