NEW YORK: US crude oil and gasoline stockpiles fell last week, while distillate inventories rose, the Energy Information Administration (EIA) said on Wednesday.
Crude inventories fell 2.5 million barrels in the week to June 16, surpassing analysts’ expectations for a decrease of 2.1 million barrels, as imports rose marginally by 56,000 barrels per day (bpd).
Crude stocks at the Cushing, Oklahoma, delivery hub for US crude futures fell by 1.08 million barrels, EIA said.
The price gains in the report’s immediate aftermath were hard to sustain because they were not structural changes said Abhishek Kumar, Senior Energy Analyst at Interfax Energy’s Global Gas Analytics in London.
“US crude and gasoline stockpiles are significantly higher compared with their five-year averages, which will weigh on prices,” Kumar said. “Meanwhile, oil output in the country is still rising despite recent declines in oil prices.”
US crude production has been steadily growing and last week rose to 9.35 million bpd, up 20,000 bpd from the previous week, the EIA said.
Gasoline stocks fell 578,000 barrels, compared with analysts’ expectations for a seasonally unusual 443,000-barrel gain, which had been seen as bearish in the market. Stocks of the motor fuel had also risen unexpectedly by 2.1 million barrels in the previous week, despite the start of the summer driving season.
“Gasoline demand rebounded smartly to more normal levels for this time year, giving credence to the view that some of the lackluster demand was weather-related,” said John Kilduff, a partner at Again Capital Management.
Distillate stockpiles, which include diesel and heating oil, rose 1.1 million barrels, versus expectations for a 465,000-barrel increase, the EIA data showed.
Refinery crude runs fell by 104,000 bpd as utilization rates fell 0.4 percentage point to 94 percent of total capacity, EIA data showed.
US oil, gasoline stockpiles fall: EIA
US oil, gasoline stockpiles fall: EIA
Supplier hub to anchor Saudi car industry, says TASARU CEO
RIYADH: Saudi Arabia’s Public Investment Fund is stepping up efforts to localize automotive manufacturing, with its portfolio company TASARU announcing partnerships with five Tier-1 global suppliers to localize advanced component manufacturing in the Kingdom.
The agreements were announced at the fourth PIF Private Sector Forum in Riyadh. TASARU also revealed plans to establish a new Supplier Hub in the King Salman Automotive Cluster in King Abdullah Economic City, designed to support next-generation vehicle development and strengthen the national automotive ecosystem in alignment with Vision 2030.
Speaking to Arab News on the sidelines of the forum, Michael Mueller, CEO of TASARU, said: “You cannot build cars without having the right partners from the supplier side, and with that, together with the OEMs, we selected the partners that we just announced today to localize them.”
He added that the presence of large international suppliers is expected to attract smaller Tier-2 and Tier-3 manufacturers, helping the ecosystem scale.
The five partners include Shin Young for metal stamping and body structures, JVIS for exterior plastics, and BENTELER for chassis and hot-formed steel components. Guangxi Fangxin will supply interior systems, while Lear Corp. completes the group, with all expected to establish manufacturing operations in the Kingdom.
Founded more than three years ago, TASARU was established to introduce new technologies into Saudi Arabia’s mobility sector. The company has prioritized localizing smaller OEM and supplier businesses while bringing next-generation solutions into the Kingdom.
Mueller said visible progress on factory construction by Ceer, Lucid and Hyundai is shifting perceptions about the sector’s viability.
“A lot of people on the sideline watched whether automotive is really happening,” he said. “Now they recognize that the factories … are under construction, so that’s the first signal that it’s not just the bubble. It’s not just PowerPoint. It’s getting real now on the ground.”
The CEO shares that KAEC is positioned as a hub for Saudi Arabia’s automotive industry, making it a strategic location for the TASARU Supplier Hub. The facility is designed to support OEMs and next-generation vehicles, including Ceer and Lucid Motors, through a shared, just-in-time manufacturing model with integrated logistics and regulatory support.
TASARU will provide infrastructure and operational support, while partners bring technical expertise and gradually develop training centers to build a local workforce, Mueller said.
He positioned Saudi Arabia as an attractive base for global suppliers because of its access to minerals and rare earth resources, energy availability and coordination across PIF portfolio companies and government entities.
“They have access to minerals. They have access to rare earth. They can benefit from what is already existing. They have stable energy solutions. I think this footprint might benefit from the whole ecosystem as it is, not just automotive,” he said.
Companies without a Saudi footprint risk missing a “huge opportunity,” Mueller added.
He said advancing the industry will require clearer regulatory frameworks, including defined trigger points and licensing pathways that allow companies to execute their mandates.
“Of course, you need to have more or less the regulatory framework to allow autonomous cars, sooner or later, on the streets. But it's happening, and this is a huge chance also for Saudi Arabia,” Muller said.
He added: “If you are advanced in bringing such regulations onto a fast track, then you have a huge opportunity to be one of the first countries that establish this.”
With rising traffic levels in Riyadh, Mueller said emerging mobility technologies could help solve first- and last-mile transportation challenges.
“If the Metro is already full, that is good because people are using it. Now, you have to connect the dots. You have to finally make sure that people get from home to the metros and or to the bus station. So this first last-mile transportation is something where new technologies might help to bridge that,” he said.
The CEO said the project is expected to take roughly one and a half to two years for suppliers to go live. More broadly, the initiative reflects Saudi Arabia’s transition from investment attraction to full-scale industrial localization, strengthening local content, private-sector participation, and long-term industrial resilience in line with Vision 2030.
