South Korea halts Iranian oil imports as sanction waivers cease

South Korea's top refiner SK Energy's main factory is seen in Ulsan, about 410 km (southeast of Seoul. (REUTERS/File Photo)
Updated 17 June 2019
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South Korea halts Iranian oil imports as sanction waivers cease

  • Government plans to extend freight rebates for shipments of non-Middle East crude to the end of 2021

SEOUL: South Korea has turned to alternative sources to replace its oil imports from Iran, which were halted in May when waivers on US sanctions against the Islamic republic expired, officials told Arab News on Sunday.

South Korea is the world’s fifth-largest crude oil importer, and was one of the countries granted a waiver by the US when President Donald Trump’s administration re-imposed sanctions on Iran last November.

Customs data shows South Korea’s imports of Iranian crude for January through May were 3.87 million tonnes, or 187,179 barrels per day (bpd), compared to 5.45 million tonnes over the same period last year.

South Korea is the biggest buyer of Iranian condensate, an ultra-light oil that is low in sulfur and produces no residue, and is used as a raw material for the manufacture of petrochemicals. Iranian condensate is also cheaper than condensate from other countries, such as Qatar, and provides a higher yield of heavy naptha — , a raw material for the production of petrochemicals including paraxylene, which is used the manufacture of plastic bottles.

SK Incheon Petrochem, Hyundai Oilbank and Hanwha Total Petrochemical have turned to other countries, including Qatar and Russia, to replace Iranian condensate, according to industry sources.

Last year, South Korea bought and tested as many as 23 different types of condensate from 15 countries as possible substitutes for condensate from Iran, at a cost of around $9 billion, government and trade data
showed.

South Korean petrochemical makers bought condensate from gas fields in Africa and Europe, in addition to tapping more supplies from Qatar, Saudi Arabia, the US and Australia.

“We’ve increased imports of condensate from Qatar, Australia and Russia,” an employee of Hanwha Total Petrochemical told Arab News, on condition of anonymity. “We also started buying oil from the Republic of Equatorial Guinea.”

The refiner has also raised its imports of heavy naphtha in the absence of Iranian condensate, he added.

According to customs data, South Korea’s Qatari crude oil imports rose 10.1 percent year-on-year to 660,752 tonnes, or 155,596 bpd in May, while oil shipments from Saudi Arabia rose 5.1 percent to 3.39 million tonnes, or 798,695 bpd. Meanwhile, imports of crude oil from the US more than tripled.

In an effort to help local refiners find alternative oil supplies, the South Korean government plans to extend freight rebates for shipments of non-Middle East crude to the end of 2021, according to the Ministry of Trade, Industry and Energy.

 


4 Democratic women of color slam Trump for ‘bigoted remarks’

Updated 37 min 5 sec ago
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4 Democratic women of color slam Trump for ‘bigoted remarks’

WASHINGTON: Defiant in the face of widespread censure, President Donald Trump escalated his demand for four Democratic congresswomen of color to leave the US “right now,” stoking the discord that helped send him to the White House and claiming “many people agree with me.”
The four lawmakers fired back, condemning what they called “xenophobic bigoted remarks” and renewing calls for Democrats to begin impeachment proceedings.
Trump had called on the four to “go back” to their “broken and crime-infested” countries in tweets that have been widely denounced as racist . His remarks were directed at Reps. Ilhan Omar of Minnesota, Alexandria Ocasio-Cortez of New York, Ayanna Pressley of Massachusetts and Rashida Tlaib of Michigan. All are American citizens, and three of the four were born in the US
The episode served notice that Trump is willing to again rely on incendiary rhetoric on issues of race and immigration to preserve his political base in the leadup to the 2020 election. He shrugged off the criticism.
“It doesn’t concern me because many people agree with me,” Trump said Monday at the White House. “A lot of people love it, by the way.”
At the Capitol, there was near unanimous condemnation from Democrats and a rumble of discontent from a subset of Republicans, but notably not from the party’s congressional leaders.
House Speaker Nancy Pelosi, who said Trump’s campaign slogan truly means he wants to “make America white again,” announced Monday that the House would vote on a resolution condemning his new comments . The resolution “strongly condemns” Trump’s “racist comments” and says they “have legitimized and increased fear and hatred of new Americans and people of color.”
In response, Trump tweeted anew Tuesday about the four congresswomen: “Why isn’t the House voting to rebuke the filthy and hate laced things they have said? Because they are the Radical Left, and the Democrats are afraid to take them on. Sad!“
Republican Sen. Mitt Romney of Utah, the party’s White House nominee in 2012 and now one of the president’s most vocal GOP critics, said Monday that Trump’s comments were “destructive, demeaning, and disunifying.”
Trump dug in. “If you’re not happy in the US, if you’re complaining all the time, you can leave, you can leave right now,” he said.
His words, which evoked the trope of telling black people to go back to Africa, may have been partly meant to widen the divides within the House Democratic caucus, which has been riven by internal debate over how best to oppose his policies. And while Trump’s attacks brought Democrats together in defense of their colleagues, his allies noted he was also having some success in making the progressive lawmakers the face of their party.
The Republican president questioned whether Democrats should “want to wrap” themselves around this group of four people as he recited a list of the quartet’s most controversial statements.
At a news conference with her three colleagues, Pressley referred to Trump as “the occupant of our White House” instead of president.
“He does not embody the grace, the empathy, the compassion, the integrity that that office requires and that the American people deserve,” she said, encouraging people “not take the bait.” Pressley said Trump’s comments were “a disruptive distraction from the issues of care, concern and consequence to the American people” — prescription drug prices, affordable housing, health care.”
Omar, a naturalized US citizen born in Somalia, accused him of “openly violating” the Constitution and sounded the call for impeachment proceedings.
Ocasio-Cortez said Trump “does not know how to defend his policies and so what he does is attack us personally.”
The Senate’s top Democrat, Chuck Schumer of New York, said his party would also try to force a vote in the GOP-controlled chamber.
Trump, who won the presidency in 2016 in part by energizing disaffected voters with inflammatory racial rhetoric, made clear he has no intention of backing away from that strategy in 2020.
“The Dems were trying to distance themselves from the four ‘progressives,’ but now they are forced to embrace them,” he tweeted Monday afternoon. “That means they are endorsing Socialism, hate of Israel and the USA! Not good for the Democrats!“
Trump has faced few consequences for such attacks in the past. They typically earn him cycles of wall-to-wall media attention. He is wagering that his most steadfast supporters will be energized by the controversy as much, or if not more so, than the opposition.
The president has told aides that he was giving voice to what many of his supporters believe — that they are tired of people, including immigrants, disrespecting their country, according to three Republicans close to the White House who were not authorized to speak publicly about private conversations.
Trump singled out Omar, in particular, accusing her of having “hatred” for Israel and expressing “love” for “enemies like Al-Qaeda.”
“These are people that, in my opinion, hate our country,” he said.
Omar, in an interview, once laughed about how a college professor had spoken of Al-Qaeda with an intensity she said was not used to describe “America,” “England” or “The Army.”
Republicans largely trod carefully with their responses.
Sen. Lindsey Graham, a close ally of the president who golfed with him over the weekend, advised him to “aim higher” during an appearance on Fox News Channel’s “Fox & Friends,” even as he accused the four Democrats of being “anti-Semitic” and “anti-American.”
Marc Short, chief of staff to Vice President Mike Pence, said “I don’t think that the president’s intent in any way is racist,” pointing to Trump’s decision to choose Elaine Chao, who was born in Taiwan, as his transportation secretary.
Chao is one of the few minorities among the largely white and male aides in high-profile roles in Trump’s administration. She is the wife of Senate Republican leader Mitch McConnell, who declined comment Monday on Trump’s attacks.
Among the few GOP lawmakers commenting Monday, Rep. Pete Olson of Texas said Trump’s tweets were “not reflective of the values of the 1,000,000+ people” in his district. “I urge our President immediately disavow his comments,” he wrote.
In an Associated Press-NORC Center for Public Affairs Research poll from February 2017, half of Americans said the mixing of culture and values from around the world is an important part of America’s identity as a nation. About a third said the same of a culture established by early European immigrants.
But partisans in that poll were divided over these aspects of America’s identity. About two-thirds of Democrats but only about a third of Republicans thought the mixing of world cultures was important to the country’s identity. By comparison, nearly half of Republicans but just about a quarter of Democrats saw the culture of early European immigrants as important to the nation.