China Leads with Largest Strategic Oil Reserves, Followed by US and Japan; India’s Position Explored
Did you know that China possesses the largest strategic oil reserves globally? This fact is particularly relevant amid ongoing tensions related to the US-Iran conflict and the blockade of the Strait of Hormuz. While China leads in reserves, the United States, the world’s top oil producer, holds the second-largest stockpile, followed closely by Japan. These insights come from the latest analysis by the US Energy Information Administration (IEA) for December 2025, highlighting the strategic importance of oil reserves in global energy security.
China’s Expanding Reserves
China has made significant strides in expanding its strategic crude reserves, adding an average of 1.1 million barrels per day throughout 2025. By the end of December 2025, China’s total strategic oil inventories reached nearly 1.4 billion barrels. Preliminary data indicates that this trend continued into 2026, even before the escalation of the conflict involving Iran. Notably, China does not publicly disclose its oil inventory figures, prompting the IEA to estimate these numbers based on a combination of import, export, refining, and stock data from both official and third-party sources. The IEA includes both government-owned and commercial crude inventories in its assessment of China’s strategic reserves, which are estimated to average around 360 million barrels as of December 2025.
The United States’ Strategic Petroleum Reserve
The United States established its Strategic Petroleum Reserve (SPR) in December 1975 to safeguard its economy against oil supply disruptions. With a maximum storage capacity of 714 million barrels, the SPR held 413 million barrels by December 2025. This figure rose to over 415 million barrels in March 2026, just prior to a coordinated emergency release of supplies. However, as of April 10, 2026, stocks had decreased to approximately 409 million barrels. It is essential to differentiate the SPR from the country’s commercial crude inventories, which exceed 400 million barrels. The SPR serves as a critical buffer for the U.S. economy during times of crisis.
OECD Asia and Europe’s Reserves
Japan ranks third globally in terms of strategic petroleum reserves, with government-owned stockpiles totaling 263 million barrels as of December 2025. This figure does not include oil held under international joint stockpiling agreements or commercial inventories maintained for emergencies. Under Japan’s Oil Stockpiling Act, private companies must maintain reserves equivalent to 70 days of domestic demand, roughly 220 million barrels, in addition to the government-managed strategic reserve, which covers an extra 90 days of demand. Meanwhile, countries in OECD Europe collectively held about 179 million barrels in government-owned strategic oil reserves as of the same date. South Korea also maintained substantial strategic crude stockpiles, averaging 79 million barrels during this period.
Challenges in Estimating Non-OECD Reserves
Estimating strategic oil inventories in non-OECD countries presents significant challenges. Reliable figures are often unavailable for major oil-producing nations like Saudi Arabia, the United Arab Emirates, and Iran, except for India. Estimates for these countries are based on average refinery and commercial stock levels reported by Vortexa and Kpler. For instance, Saudi Arabia is estimated to have held around 82 million barrels in onshore storage at the end of December 2025, excluding crude stored at leased facilities abroad. The UAE reportedly maintained about 34 million barrels of onshore oil inventories during the same timeframe, while Iran is estimated to have held around 71 million barrels. However, the exact stock levels in bonded facilities, particularly in China, remain undisclosed and are therefore excluded from these estimates.
India’s strategic petroleum reserves stood at 21.4 million barrels as of March 2025, with an additional 3 million barrels stored at its Mangalore facility on behalf of the Abu Dhabi National Oil Company. These volumes are not counted as part of India’s strategic reserves, which are crucial for the country’s energy security.
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