Fluid extraction or injection into underground reservoirs may cause ground deformation, manifested as subsidence or uplift. Excessive deformation may threaten the infrastructure of the oilfield and its surroundings and may even induce earthquakes. Therefore, the monitoring of surface deformation caused by oil production activities is important for the safe production of oilfields and safety assessments of surrounding infrastructure. Karamay oilfield is one of the major oil and gas fields in China. In this study, we take the Karamay oilfield in Xinjiang as a case study to detect surface deformation caused by subsurface fluid injection. Sentinel-1A images of 32 ascending (Path 114) and 34 descending (Path 165) tracks spanning March 2017 to August 2018, were used to derive vertical and horizontal deformation over Karamay oilfield using the MSBAS-InSAR method. The observed two-dimensional deformation exhibited significant vertical and east-west deformation in this region. The maximum uplift and horizontal velocity was approximately 160 mm/year and 65 mm/year, respectively. We also modeled one of the typical deformation zones using a dislocation model in a homogenous elastic half-space.