China tanker shipping: Cargo flows remain intact, shipping stays inefficient, buy CSET on dips

We remain constructive on tanker shipping and see recent Cosco Shipping Energy Transport (CSET) weakness (CSET-H/A -8%/-7% from 21 to 23 September, vs HSI/CSI300 -1%/-1%) as an opportunity to add. Three developments support our view: (1) Saudi Arabia has sold approximately 60mn barrels—around 30 VLCC cargoes—for September–October collection off Oman, providing visible demand for the Hormuz shuttle-and-STS system; (2) the East–West pipeline has restarted only at a low rate, while tanker positioning at Port Said and Sidi Kerir indicates that Yanbu exports also require transfers and additional vessel capacity;