Commodity traders Trafigura Group and Vitol Group are increasing sales of Venezuelan oil into Asian markets as Venezuela's production climbs and the Iran war disrupts supplies from the Middle East [1, 2, 3].
Trafigura offered half a million barrels of Venezuelan flagship Merey 16 crude to refiners in South Korea, with deliveries discharged into storage there in early June 2026 via the supertanker Nissos Kea [2, 3]. The same vessel also delivered oil to Malaysia's Melaka refinery, operated by Petronas, which uses heavy Venezuelan crude to produce asphalt products [2, 3].
Vitol's supertanker Solana recently unloaded two million barrels of Merey 16 crude into floating storage off Malaysia's coast [2, 3]. Traders have also made offers of Venezuelan crude to Indian buyers at discounts around US$6 per barrel to the Dated Brent benchmark, although immediate Indian purchases remain uncertain [2, 3].
Venezuelan oil production has risen to a seven-year high, nearing levels seen before US sanctions tightened in 2019 [2, 3]. Since Venezuelan President Nicolas Maduro was ousted in January 2026, traders have increased shipments to India, which now imports nearly as much Venezuelan crude as China used to take in Asia [2, 3]. China has not purchased Venezuelan crude since the US sanctions policies under the Trump administration [2, 3].
The surge in Venezuelan oil shipments to Asia coincides with tanker traffic disruptions through the Strait of Hormuz caused by the ongoing Iran war and the lack of a peace agreement [1, 2, 3].
Next scheduled shipments and trade offers are expected as traders seek to further capitalize on supply gaps created by Middle Eastern instability.
