# Saudi Aramco Cuts Oil Prices for Asian Market Amid Demand Weakness

- Link: https://www.thailand-business-news.com/markets/149946-saudi-aramco-cuts-oil-prices-for-asian-market-amid-demand-weakness
- Published: 2024-07-09T08:25:16+07:00
- Author: Abhishek Prakash

**Saudi Aramco cuts oil prices for Asia due to demand softness and non-OPEC supply
growth. August shipments reduced by $0.60-$1.80 per barrel. Despite this, Brent 
crude rebounded above $85 per barrel.**

## Saudi Aramco Reduces Oil Prices Amid Demand Concerns

 * **🛢️ Saudi Aramco’s Oil Price Cuts** Saudi Aramco has decided to lower prices
   for all of its oil to Asia next month, marking the first reduction since February.
   This move comes amid concerns over the strength of demand in its largest market.
 * **📉 Sign of Weaker Demand** The decision by Saudi Aramco to cut prices for all
   of its oil grades to Asia for a second month is seen as a sign that the world’s
   biggest crude exporter anticipates continued weaker demand.
 * **🔍 Potential Second Month Cuts** There are indications that heavier grades 
   may experience slightly deeper cuts than Arab Light, suggesting that Saudi Arabia
   may cut oil prices for Asia for a second consecutive month.

Saudi Aramco, the world’s top crude exporter, has cut prices for its oil grades 
to Asia for two consecutive months, signaling a perception of weak demand in its
key market. The company reduced the official selling price for August shipments 
by $0.60 to $1.80 per barrel over the Oman/Dubai average, reflecting challenges 
faced by OPEC producers amid increasing supply from non-OPEC nations.

### Related**Posts**

###  󠀁[Asian stocks retreat as oil rises above $100 and investors reassess global rate risks](https://www.thailand-business-news.com/markets/333019-asian-stocks-retreat-as-oil-rises-above-100-and-investors-reassess-global-rate-risks)󠁿

###  󠀁[Asian markets hold up despite bond rout as US yields enter a structurally higher regime](https://www.thailand-business-news.com/markets/332037-asian-markets-hold-up-despite-bond-rout-as-us-yields-enter-a-structurally-higher-regime)󠁿

###  󠀁[Local Influences and Return Chasing: Entering a New Era in Emerging Equity Markets](https://www.thailand-business-news.com/markets/329573-local-influences-and-return-chasing-entering-a-new-era-in-emerging-equity-markets)󠁿

###  󠀁[Thailand faces a fresh LNG squeeze as Hormuz crisis pushes prices toward US$28/MMBtu](https://www.thailand-business-news.com/markets/commodities/330458-thailand-faces-a-fresh-lng-squeeze-as-hormuz-crisis-pushes-prices-toward-us28-mmbtu)󠁿

ADVERTISEMENT

## Market Expectations and Geopolitical Factors Influence Prices

Despite market expectations for a deeper cut, oil prices have shown resilience recently.
Brent crude rebounded past $85 per barrel amid geopolitical tensions and concerns
over Hurricane Beryl affecting U.S. production. The OPEC+ coalition’s production
targets and Saudi Arabia’s readiness to adjust output based on market conditions
have also influenced prices. Additionally, Saudi Aramco announced a $0.90 price 
increase for grades destined for Northwest Europe and the Mediterranean in August,
with minor adjustments for U.S. destinations.