Key facts
- U.S. crude oil exports decreased 3% in 2025, marking the first annual decline since 2021.
- In July, U.S. oil exports fell to 3.66 million barrels per day, an eight-month low.
- High domestic refinery utilization and a brief increase in Middle Eastern oil supply contributed to the export decline.
- The share of U.S. oil exports to Asia decreased significantly in July.
- U.S. refinery utilization reached 96.3% in July, the highest rate since 2018.
U.S. crude oil exports experienced a significant decline in July, reaching their lowest point in eight months at 3.66 million barrels per day. This downturn is attributed to a confluence of factors, including a brief period of increased Middle Eastern oil supply following a U.S.-Iran peace deal and robust domestic refinery activity that absorbed more crude.
Data from the U.S. Energy Information Administration indicates that annual U.S. crude oil exports decreased by 3% in 2025, the first such reduction since 2021. Despite a record 3% increase in crude oil production to 13.6 million barrels per day in 2025, a larger portion of this output was directed towards U.S. stock builds, including the Strategic Petroleum Reserve, and domestic refineries.
The share of U.S. oil exports destined for Asia shrank to 40% in July from 52% in June. Shipments to key buyers like Japan and South Korea saw substantial reductions, with Japan's imports falling 67% and South Korea's decreasing by 39%. Exports to Europe also declined to approximately 1.7 million barrels per day in July from a high of 2.5 million barrels per day in May. Exports from the Strategic Petroleum Reserve also slowed considerably.
Domestically, U.S. refinery utilization averaged 96.3% in July, the highest rate since 2018, indicating strong demand for crude oil within the country. This high utilization, coupled with a narrowing discount between West Texas Intermediate (WTI) crude and Brent crude in June, made U.S. exports less attractive. However, the WTI discount widened to $5.42 in July, a development expected to boost exports in August and September, with volumes projected to exceed 4 million barrels per day.