China's oil imports from Gulf nations decreased in April due to tensions in the Strait of Hormuz, leading to increased shipments from Russia. However, the shrinking discounts on Russian oil and gas raise questions about affordability for Beijing's economy.

While China’s oil and gas imports from Gulf nations plunged in April amid the Strait of Hormuz crisis during the US-Israeli war on Iran, shipments from Russia have provided Beijing with a partial buffer for its growing economy. Russia’s crude shipments to China rose 11.3 per cent year on year to nearly 9 million tonnes in April, according to Chinese customs data released on Wednesday. But market conditions have also shifted. Much of the discount on Russian oil and gas – long a source of cheap...