South Korea jet fuel exports to US set to rise to near two-year high in June

South Korean jet fuel exports to the United States in June are headed for a near two-year high as oil traders cash in on stronger U.S. demand as Asia's aviation sector is still recovering, industry sources said. Jet fuel cargoes loading from South Korea in June for U.S. ports may rise to 500,000 metric tons, according to estimates from shiptracking firm Kpler, up 42% from May and the highest since August 2021. Of that, 217,000 metric tons will load from the ports of Ulsan or Yeosu, where South Korea's top refiners SK Energy and GS Caltex are located, and head for the U.S. West Coast, Kpler data showed. TotalEnergies and Cargill are among the companies shipping fuel to the US, the data added, though companies don't typically comment on their trading activities. The slower return of air travel in Asia is pushing excess jet fuel supplies from the region toward the US where demand is expected to rise this summer, said the sources and analysts. In terms of adding airline seat capacity, "compared to North America, Asia is starting from further behind as the region has been relatively slow to emerge out of COVID's shadow, especially due to China's late abandonment of its Zero COVID policy," said Ellis Taylor, Asia editor at aviation analytics company Cirium. Surging jet fuel exports from one of Asia's leading oil product exporters may tighten supply in the region and support prices and refining margins.<br/>