Peiyang Chemical Equipment Co., Ltd.
International Trade Status and Trend of Raw Materials of Independent Refinery
International Trade Status and Trend of Raw Materials of Independent Refinery

Crude oil imports from China's independent refineries are driving demand

In 2015, China imported 330 million tons of crude oil. Crude oil imports totaled 186.5 million tons in the first half of 2016, an increase of 14.18 percent year on year. The strong rise in crude oil imports in the first half was largely driven by the voracious appetite of local independent refiners. Since 2016, more independent refiners have gained access to crude oil, and independent refiners have bought into crude oil in low oil prices.

Independent refinery crude oil import to Shandong

Qingdao customs, Ningbo customs and Dalian customs are the top three Chinese crude oil imports in the first half of 2016. Among them, the import of crude oil from Qingdao customs in January to June reached 522.71 million tons, up 60.7% year on year. The vast majority of China's independent refineries are in Shandong, and the surge in the import of crude oil from Qingdao customs has reflected that the import enthusiasm of local independent refineries is the main reason for the continuous increase in crude oil imports.

Raw material purchasing country of independent refinery

From the structure of the first half of China's crude oil import in 2016, it can be seen that sinopec crude oil import channel is mainly Middle East and west Africa, Petrochina is dominated by Russia and South America. Compared with the stable channels of state-owned oil companies, the local independent refineries mainly consider the cost of crude oil, the import channels are relatively complex, mainly in South America, Venezuela, Brazil, Russia and Angola, and Oman.

The characteristics of the crude oil purchase country of the independent refinery

From the source, venezuela, Russia, Angola and Oman are the main sources of crude oil for the independent refiners. However, compared with petrochina, sinopec and other state-owned oil companies, the procurement channels and modes of the independent refinery are more dispersed, and the majority of them are in short supply.

The rules and characteristics of crude oil procurement in independent refinery

1. The purchase of crude oil from international markets is mainly in stock;
2. Mainly in small batches of tens of thousands of tons to tens of thousands of tons.
3. The payment method is mainly cash, and the domestic and international letters of credit are less expensive.
4. Low trust with international market customers;
5. Focusing on the purchase of individual soldiers, in the negotiation is at a disadvantage;
6. Business experience is based on domestic trade and is less familiar with international trade;
7. Lack of spirit of contract and the occurrence of default in the international crude oil market.

The development characteristics of independent refinery

1. China's current source of international crude oil supply is Middle East, west Africa, South America and the Russian federation. Purchasing from the above sources is in line with the principle of economic and benefit and will gradually become the mainstream raw material source of the independent refinery, The far east, southeast Asia, Australia changed from the beginning of the beginning to the auxiliary.

2. In the Middle East, west Africa and South America, the raw materials are more suitable for the domestic plant characteristics of the independent refinery, and the procurement will gradually increase.

3. From international, domestic shipping, wharf and other logistics conditions analysis, the current boat transportation cost is higher, VLCC level procurement has the cost advantage. Logistics gradually optimized, VLCC level procurement increased.

4. The international trade experience of the independent refinery is less than the bank credit, the negotiation ability is low, the single-family purchase quantity is small, the comprehensive cost is higher. The joint procurement will gradually increase.

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