SINGAPORE: Pakistan’s fuel oil exports reached an all-time high this year, driven by rising domestic taxes and a shift of power plants to cleaner energy sources, industry sources said. Analysts expect exports to remain steady or grow further in 2026 as local consumption declines and international demand remains strong.
Read More: Pakistan fuel oil exports scale fresh high in 2025, to hold in 2026
Shipping data from Kpler and LSEG show that exports so far in 2025 have breached 1.4 million tonnes (around 8.9 million barrels), up more than 16 percent from the full-year volume in 2024. Most shipments were directed to Southeast Asia and the Middle East, providing additional marine fuel supply in a region already well-supplied and pressuring prices.
The exported fuel oil was predominantly high-sulphur fuel oil (HSFO), with some volumes used as feedstock for refineries. Valerie Panopio, vice president for oil commodity markets at Rystad Energy, noted that Pakistan’s HSFO exports have contributed to oversupply in Asia post-summer, putting downward pressure on regional crack spreads.
#BREAKING Pakistan’s fuel oil exports surge to an all-time high of 1.4M tons in 2025. pic.twitter.com/UwuvqE3Sli
— Mansoor Ahmed Qureshi (@MansurQr) November 27, 2025
Pakistani refiners increased fuel oil sales via tenders after higher domestic taxes discouraged local consumption. Power generators are increasingly relying on coal and solar, further reducing domestic demand. Leading exporters included Pak-Arab Refinery, Cnergyico, Attock Refinery, National Refinery, and Pakistan Refinery, with Cnergyico alone expecting a 50 percent growth in exports this fiscal year.
Pakistan’s Fuel Oil Exports Hit Record 1.4 Million Tons in 2025 pic.twitter.com/WutxzRG7Yj
— Currentpak (@_currentpak) November 28, 2025
Cnergyico has partnered with global trading house Vitol to supply more low-sulphur marine fuel from Pakistani ports, while the increased use of light-sweet crude has lifted its production of very low-sulphur fuel oil. Syed Nazir Abbas Zaidi, secretary general of the Pakistan Oil Companies Advisory Council, said fuel oil is no longer viable for electricity generation or profitable domestically, and he expects the export trend to continue into 2026.
Read More: Pakistan fuel oil exports hit record 1.4M tons in 2025
The shift reflects Pakistan’s evolving energy mix and signals growing opportunities for local refiners in international markets, even as domestic power generation moves toward cleaner alternatives.