Overview
- EIA data released Thursday estimates China held nearly 1.4 billion barrels in December 2025 after adding about 1.1 million barrels per day last year.
- Preliminary government figures indicate China kept building into early 2026, giving it a cushion as the Iran war and Strait of Hormuz disruption squeezed global supply.
- Analysts link the 2025 surge to cheaper crude, rising geopolitical risk from sanctioned suppliers, and a new Chinese rule that requires larger reserves.
- China is outside the International Energy Agency’s framework, so it did not join the March 11 release of up to 400 million barrels that members used to calm markets.
- The U.S. Strategic Petroleum Reserve held about 409 million barrels after March and April actions, and the EIA notes China does not publish inventory data, so its totals are reconstructed from trade and refining flows.