President Trump wrapped his two-day summit with Chinese President Xi Jinping in Beijing overnight. Here is what came out of it that the field needs to know.
Trump told Fox News that China has agreed to start buying U.S. crude. Chinese ships are headed to Texas, Louisiana, and Alaska to load American barrels.
His words...not ours.
"They've agreed they want to buy oil from the United States. They're going to go to Texas. We're going to start sending Chinese ships to Texas and to Louisiana and to Alaska. They have an insatiable appetite for energy...and we have unlimited energy."
Xi also told Trump he wants Hormuz open and opposes Iran charging tolls for passage. China agreed not to supply military equipment to Iran. Treasury Secretary Scott Bessent confirmed China will work behind the scenes to pressure Tehran toward a deal.
The strait is still closed. Peace talks are still stalled. Trump told Fox his patience with Iran is running out.
WTI is trading at $100.68 a barrel right now. Brent at $109.22. Both up on the week with no end to the Hormuz closure in sight.
No formal contract has been signed. Beijing has not publicly confirmed the agreement. But the ports are ready. The pipelines are laid. The producers are drilling.
The United States pumps more oil and gas than Saudi Arabia and Russia combined. The world is 14 million barrels a day short. The Middle East is offline.
China just knocked on the only door that can answer.