I would like to ask about the price of fuel oil
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Recently, oil prices on the international market have risen sharply, but the price of domestic marine blended 180 fuel oil is less than 4800, while the prices of imported M100 and straight-sulfur 180 fuel oil have reached 5600. What explains such a large price difference? It didn’t seem to be this big of a difference before; I hope experts can give me some advice. Thank you!
It’s probably due to the supply and demand dynamics; there may be some issues with supply abroad, which has led to rising prices. As for domestic prices, since demand hasn’t changed significantly, prices haven’t seen any major adjustments yet.
Someone told me that inventory needs to be cleared in the domestic market; I’m not sure if that’s the case
Are there any other reasons as well?
Crude oil prices are rising, but domestic prices are actually falling?
Is the substitutability between imported pure sulfur and domestically blended sulfur very poor? Is the quality completely different?
Could everyone give some advice? Please :)
It’s very different; Mix 180 contains some medium- and low-temperature coal tar, and it cannot be used as a raw material for further processing.
I have another question: which type of oil does the fuel oil traded on the Shanghai Futures Exchange currently resemble the most? Blended 180 or straight sulfur 180?
International crude oil prices have been rising steadily, so fuel oil prices rise in tandem with crude oil prices； In China, refined oil prices are set by the **National Development and Reform Commission**, which results in lower prices; as a consequence, fuel oil prices are also low. Currently, under the existing price system, exporting any petroleum products abroad is more profitable than selling them domestically!