China Releases Oil From Strategic Reserves After U.S. Invitation

Oil prices have jumped more than 50% this year, contributing to a surge in inflation as the global economy recovers from the Covid-19 pandemic

(Bloomberg) — China is releasing oil from its strategic reserves days after the U.S. invited it to participate in a joint sale, suggesting that the world’s two biggest oil consumers are willing to work together to put a lid on energy costs.

U.S. President Joe Biden and Chinese President Xi Jinping discussed the merits of releasing oil from strategic reserves during their virtual summit this week. Beijing’s decision will be seen as a win in Washington’s campaign to bring down prices. The American administration has been lobbying Asian nations including China, India, Japan and South Korea to release reserves after OPEC+ rebuffed pressure from Biden to pump more crude.