China’s Largest Oil Ports Crack Down on Sanctioned Tankers, Including Russia's Shadow Fleet, Reports Reuters

The Shandong Port Group, a major port operator in eastern China, has introduced restrictions on tankers under US sanctions, according to a report by Reuters on January 7.

The new rules, effective January 6, bar these vessels from docking, unloading, or accessing port services at key facilities in Shandong Province.

The restrictions specifically target shadow fleet  involved in transporting oil under sanctions from countries like Russia, Iran, and Venezuela. Major ports affected include Qingdao, Rizhao, and Yantai, potentially slowing imports of such oil into China, according to sources cited by Reuters.

In December 2024, the US imposed additional sanctions on companies and vessels linked to Iranian oil shipments. With President-elect Donald Trump set to take office on January 20, further measures targeting sanctioned oil trade may follow.

Shandong Port Group stated that the restrictions are expected to have limited impact on local independent oil refineries, as most of their imports are carried on non-sanctioned tankers.

Analysts estimate the global shadow fleet used to bypass sanctions includes around 669 tankers, with approximately 250–300 involved in transporting Russian oil. This figure excludes vessels owned by Sovcomflot, which is already subject to Western sanctions.

Since the beginning of full-scale invasion in 2022, Russia managed to earn $832 billion (€770 billion) selling fossil fuels including coal, oil and gas.

Previously, it was reported that the Biden administration is preparing a comprehensive sanctions package aimed at disrupting Russia’s ability to finance its war against Ukraine by targeting tankers transporting Russian oil.