The scale of Chinese refining and chemical enterprises
Thread Content
“The 13th Five-Year Plan period was a crucial time for the transformation and upgrading of China’s refining and chemical industry. There is an oversupply of refining capacity in the domestic market, competition is intensifying, and new technologies and business models are emerging in large numbers… The refining industry is undergoing a major reshuffle. So, what is the scale of domestic refining and petrochemical enterprises? At present, China’s oil refining capacity has reached 830 million tons per year, but most refineries are of relatively small scale; the average capacity of domestic refineries is only 4.12 million tons per year, which is far below the world average of 7.59 million tons per year. Currently, there are 202 refineries in the country, but only 19 are integrated refining and chemical enterprises, accounting for less than 10% of the total number nationwide. An overall surplus in oil refining capacity and a shortage of chemical products are the common problems in China’s refining and chemical industry at present. In 2018, the country imported over 30 million tons of chemical raw materials, and some high-end polyolefin chemical products are highly dependent on imports.
How much is China’s strategic oil reserve? https://bbs.hcbbs.com/thread-2286812-1-1.html (Source: Haichuan Chemical Industry Forum)
In 2018, China’s dependence on imported crude oil reached 69.8%, while its dependence on imported natural gas increased from 39% to over 45%. Heavy reliance on imported crude oil and natural gas poses a significant challenge to China’s energy security. From 2016 to 2018, for three consecutive years, China’s domestic crude oil production fell below the 200 million ton threshold.
To what extent is there overcapacity in the refining and petrochemical industry? In 2018, the operational rate of many enterprises was only 60-70 percent; from the perspectives of energy efficiency and business operations, this was highly uneconomical and also resulted in the consumption of large amounts of social resources, making adjustments necessary.
Refineries are major tax payers in the area, and even small refineries are difficult to shut down.
Therefore, the clean use of coal is very crucial
In fact, similar enterprises need to grow and strengthen in order to gain an advantage, along with flexible production plans and processes. But these days, in many places the processing scale is often in the tens of millions, I really don’t know what to say