Iranian oil exports are collapsing: Iran exported just ~209,000 barrels per day of crude oil and condensate in May, the lowest since early 2020. This marks a -84% decline from April levels, which stood at 1.34 million barrels per day, and -89% from March levels, which were at ~1.90 million barrels per day. As a result, China's imports of Iranian crude fell to 1.10 million barrels per day in May, the lowest since January 2025, according to Kpler. This comes as the US naval blockade, which took effect on April 13th, has severely restricted Iranian exports by preventing most vessels from entering or departing Iranian ports. Meanwhile, Iranian floating storage has declined -43 million barrels since late April, to ~147 million barrels, with ~67 million barrels stranded inside the Persian Gulf and Gulf of Oman and unable to reach buyers. If these conditions persist for another 2 months, Iran could effectively run out of oil available to ship to China, its largest buyer. Iranian oil shipments are declining at a rapid pace.(The Kobeissi Letter)