Pakistan’s fuel oil exports reached a record 1.4 million metric tons in 2025, up over 16% from last year. Industry sources say exports are expected to remain steady or rise in 2026. Higher domestic taxes and a shift by power plants to cleaner fuels drove more sales overseas.
Most exports, primarily high-sulphur fuel oil (HSFO), went to Southeast Asia and the Middle East. Some shipments were supplied to refineries as feedstock. Analysts say the increase has added supply to already well-stocked Asian markets, putting further pressure on prices.
Read more: Pakistan Cnergyico to boost fuel oil exports as sales plummet
Leading exporters include Pak-Arab Refinery, Cnergyico, Attock Refinery, National Refinery, and Pakistan Refinery. Cnergyico, the country’s largest refiner, aims to boost exports of low-sulphur marine fuel in partnership with global trading firm Vitol.
Traders said domestic taxes encouraged refiners to sell more fuel oil abroad, while local power generators moved to coal and solar. Experts note that fuel oil is no longer profitable for electricity generation in Pakistan.
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Industry sources expect exports to hold or grow in 2026. Pakistan became a net exporter of fuel oil in 2023, reflecting stronger production and a strategic focus on overseas markets.