Due to weak domestic demand and oversupply in China, China’s large oil refining companies have begun to increase exports of refined oil products. In the two months and eight months, gasoline exports will increase significantly, reaching a record high.
Reuters quoted two people familiar with the matter as saying that China’s second-largest oil refining company, China National Petroleum Corporation (CNPC) and other Chinese refining companies will export about 1.5 million tons per month in July and August. gasoline. According to China Customs data, China’s gasoline exports in June were 1 million tons, which reached a record high of 1.69 million tons in March.
Reuters reported that after receiving a quota of 4.7 million tons of gasoline in May this year, PetroChina began exporting to Mexico, Chile, and Nigeria, and China’s increased exports to these countries could also fill some refinery shutdowns in the US and the Middle East. The resulting gap.
Michal Meidan, director of the China Energy Program at the Oxford Energy Research Institute, told Reuters that weak domestic demand in China has exacerbated China’s domestic fuel supply surplus. With the continuation of the US-China trade war, consumer confidence is insufficient, and sales of automobiles have also decreased significantly.
China’s auto sales have fallen for 12 consecutive months until last month, and sales this year are expected to decline again after last year.
Seng-Yick Tee, senior director of SIA Energy, a consultancy, said that due to sluggish car sales, China’s fuel demand this year has risen only 5.4%, the lowest since 2015.