Saudi Arabia to Lower Crude Prices for Asia, an Industrial Info Market Brief

On the fifth day of each month, Saudi Aramco usually releases the succeeding month's official selling prices for crude oil to its Asian refiners including China, South Korea and Japan. This month is no different, as Saudi Arabia again aims to set the trend for Iranian, Kuwaiti and Iraqi rates by lowering prices for the second straight month in October, based on yields and product prices after consultations with customers and calculating the change in the value of oil over the preceding month.

In response to the COVID-19 pandemic, some Asian refiners are expected to benefit from a minimum of a $1 per-barrel price drop, although industry forecasts for Arab Light Crude could be as high as $1.80 per barrel.