According to the SunSirs Commodity Analysis System, prices for 180CST fuel oil in the East China region retreated from recent highs last week. As of April 24, the average domestic price for 180CST fuel oil stood at 6,100 RMB/ton (tax included), marking a 5.61% decline from the price of 6,462.50 RMB/ton recorded on April 17.

According to SunSirs, prices for domestic blending feedstocks for marine fuel trended downward last week, offering limited cost support for marine fuel products. Demand in the mid-to-downstream sectors remained sluggish, with purchasing interest being moderate; terminal demand showed no signs of improvement, leading shipowners to exercise caution when replenishing fuel stocks. As of April 24, SunSirs data indicates that Sinopec's Dalian branch quoted low-sulfur 180CST fuel oil at 6,250 RMB/ton (ex-terminal pickup) and low-sulfur 120CST fuel oil at 6,350 RMB/ton (ex-terminal pickup). Meanwhile, Sinopec's Shanghai branch quoted low-sulfur 180CST fuel oil at 5,900 RMB/ton (ex-terminal pickup) and low-sulfur 120CST fuel oil at 6,000 RMB/ton (ex-terminal pickup).

Regarding international crude oil markets, prices last week followed a pattern of initial decline followed by a rebound. Iran announced that it would permit merchant vessels to transit the Strait of Hormuz for the remainder of the ceasefire period, thereby alleviating concerns regarding supply risks and triggering a sharp decline in international oil prices. However, as new negotiations between the U.S. and Iran have yet to resume—and shipping activity through the Strait of Hormuz remains in a state of stagnation—supply risks have persisted, subsequently driving international oil prices upward. In the medium to long term, as long as the risks associated with the Strait of Hormuz remain unresolved, international oil prices are expected to maintain a market structure characterized by a high-risk premium and high volatility.

In the international fuel oil sector, data from Enterprise Singapore (ESG) indicates that for the week ending April 22, Singapore's fuel oil inventories declined by 1.164 million barrels to reach 22.501 million barrels. Inventories of light distillates fell by 1.086 million barrels to 16.916 million barrels, while inventories of middle distillates rose by 450,000 barrels to reach 10.722 million barrels. Market Outlook: International crude oil prices are currently on the rise, leading to increased market-watching sentiment within the domestic marine fuel sector. However, demand in the domestic marine fuel market remains sluggish, with current market activity primarily focused on the fulfillment of previously signed contracts; shipowners are replenishing bunkers cautiously, driven mainly by immediate operational necessities and a preference for lower price points. Currently, the ex-terminal quoted price for low-sulfur 180cst fuel oil ranges from 5,900 to 6,300 RMB/ton, while low-sulfur 120cst fuel oil is quoted between 6,000 and 6,400 RMB/ton. In the near term, the market for 180cst fuel oil is expected to remain largely range-bound.

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