China Aviation Oil

China Aviation Oil: Reuters notes that CAO, Asia's top jet fuel buyer, is tendering for up to 1.6m bbls of jet fuel for delivery over late Dec to Jan, ~30% higher than what the company has been requiring every month over the past two tenders, though the reason was not immediately clear. CAO had earlier halved its monthly jet fuel requirement for Oct due to a tax policy change that went into effect in Aug. China removed a value-added tax exemption on imported jet fuel used by Chinese airlines on their international flights, making imports more expensive than buying from domestic refiners, traders said. CAO resumed normal purchase volumes in Sep for its late Oct to Nov volumes, though it is unclear if this will be a long-term trend.