OPEC figures indicate that Iranian crude output in April 2026 dropped by 350,000 barrels per day compared to levels recorded before the launch of U.S.-Israel operations against the Islamic Republic on February 28, 2026. By Dalga Khatinoglu, Middle East ForumNew shipping and energy market data indicate that Iran’s oil sector is facing its most severe disruption in years.Not only has the transit of Iranian crude through regional waters effectively come to a halt over the past six weeks, but China—the Islamic Republic’s sole major oil customer—also has steadily reduced its purchases of Iranian crude.According to data from commodity intelligence firm Kpler, China’s imports of Iranian oil fell sharply in recent months.Deliveries in May 2026 are down 25 percent compared to April 2026 and 38 percent lower than in March 2026.Chinese refiners are currently importing just over 1 million barrels per day of Iranian oil.However, these shipments come not directly from Iranian export terminals, but instead from Iran’s floating storage reserves—crude oil stored aboard tankers anchored near China, Malaysia, Singapore, and other Asian waters.Iran’s floating oil storage in Asian waters has itself dropped dramatically since the start of the U.S. naval blockade campaign against the Islamic Republic.Kpler estimates that these offshore reserves have declined by roughly 33 million barrels, leaving Iran with around 89 million barrels of oil in floating storage.Homayoun Falakshahi, a senior analyst at Kpler, warns that if the maritime pressure campaign against Iran continues, Tehran could run out of accessible oil supplies for delivery to China within 60–70 days.The implications for Iran’s economy could be severe. According to data from Organization of the Petroleum Exporting Countries (OPEC), Iran exported approximately 2 million barrels per day of crude oil, condensates, and refined petroleum products last year.Meanwhile, statistics published by the Central Bank of Iran show that oil revenues accounted for roughly 65 percent of the country’s total exports—underscoring the economy’s deep dependence on hydrocarbon sales.At the same time, Iran’s oil production is falling rapidly.OPEC figures indicate that Iranian crude output in April 2026 dropped by 350,000 barrels per day compared to levels recorded before the launch of U.S.-Israel operations against the Islamic Republic on February 28, 2026.Iranian production in April 2026 stood at approximately 2.85 million barrels per day.Export infrastructure constraints are compounding the problem. Kpler shipping data show that oil loading activity at Iranian terminals has collapsed to just 640,000 barrels per day this month.With tankers anchored near Iranian waters already nearing capacity and onshore storage facilities filling up, Tehran soon may have little choice but to slash production further.Under such conditions, Iran could be forced to reduce crude output to near domestic consumption levels, estimated at roughly 1.7 million barrels per day.Such a scenario would represent one of the sharpest contractions in Iranian oil production since the reimposition of U.S. sanctions under the Trump administration.Yet Iran is not the only oil supplier struggling with weakening Chinese demand. Chinese refiners have broadly reduced crude imports in recent months as elevated global oil prices and slower industrial activity weigh on margins and consumption.China’s overall crude imports in March and April fell by approximately 20 percent compared to earlier periods.Russian oil exports to China also have been affected. Chinese customs data show that imports of Russian crude declined by 11 percent last month, falling to around 2.2 million barrels per day.The turbulence extends beyond energy markets. Trade flows between China and Gulf Cooperation Council states also have experienced significant disruption.Previously, Chinese exports to Arab countries in the region averaged between $13 billion and $14 billion per month. However, Chinese customs statistics indicate that this figure was cut roughly in half during March and April.Iran’s non-oil trade with China has deteriorated even more dramatically. Bilateral non-energy commerce reportedly plunged by 70 percent over the same period, dropping to only around $200 million per month.Meanwhile, trade between China and Israel has expanded unexpectedly, despite the broader regional turmoil.Chinese customs data show that China’s trade with Israel last month was roughly 13 times larger than its non-oil trade with Iran.During the first four months of this year, China’s imports from Israel surged by 62 percent to nearly $5.5 billion, while Chinese exports to Israel also increased by 4 percent, reaching a similar level.The figures underscore how Beijing’s commercial priorities in the region are shifting even as its economic ties with Tehran come under mounting strain.The post Iran’s oil production and exports enter a steep decline appeared first on World Israel News.