Who does Australia trade crude oil with?
Australia produces a significant volume of crude oil. Interestingly, most of this oil is exported, with the largest export destinations being Indonesia and Singapore. Despite this, Australia is a net importer of crude oil. The crude oil refined within the country is generally imported from Asia, Africa, and the Middle East, and make up most of the oil processed in its refineries.
Crude oil outlook
The global coronavirus outbreak has led to a sharp decline in fuel demand. This has affected Australia as it is dependent on imported crude oil to supplement its reserves. While the decrease in demand reduced the cost of imported crude oil, the situation for domestic crude oil refineries has been negative. Recently, one of the country’s four operating oil refineries has had to shut down in response to growing financial pressure. While Australia already imported most of its crude oil, it may have to increase this volume even further in the future once demand begins to rise again.