lagereek / Depositphotos.com
CALGARY — China has emerged as a dominant buyer of Canadian crude shipped through the expanded Trans Mountain pipeline system, underscoring a major shift in export markets toward Asia.
A corporate update from Trans Mountain shows roughly 60 per cent of seaborne crude exports from its Westridge Marine Terminal are now headed to Asian markets, with China accounting for the largest share of shipments.
The data indicates nearly 200 cargoes have been delivered to China since May 2024, far exceeding volumes sent to traditional U.S. West Coast destinations such as California.
The pipeline, which runs 1,180 kilometres from Alberta to British Columbia, provides what the company describes as Canada’s only direct access to Pacific markets, allowing producers to diversify beyond the United States.
Shipping times from Vancouver to Asia are estimated at 17 to 18 days, significantly shorter than routes from the U.S. Gulf Coast or other global suppliers, making Canadian crude more competitive in Asian markets.
Trans Mountain says more than 380 tankers have been loaded since May 2024, with shipments reaching 26 terminals across Asia, including major ports in China such as Ningbo and Zhoushan.
The company also notes the expanded system has helped narrow the price discount on Canadian crude, improving returns for producers by increasing access to international buyers.
The pipeline currently has a capacity of about 890,000 barrels per day, with marine export capacity of about 630,000 barrels per day, and volumes running at roughly 84 per cent of capacity so far this year.
Analysts say the growing role of China and other Asian buyers highlights the importance of west coast export infrastructure as Canada seeks to expand its presence in global energy markets.
Trans Mountain says further optimization projects could increase capacity by up to 360,000 barrels per day over the next several years, potentially strengthening its role as a key conduit for Canadian crude to Asia.
Comments