A Glance of China Oil Market 20250707

On the refined oil end, the gasoline demand is estimated to stay firm with the summer vocation kicking off, but the rains are likely to constrain the gasoline and gasoil demand to some extent. In addition, the high crack spread keeps the traders cautious, and the end-market players will prioritize destocking after finishing building the stocks.

A Glance of China Oil Market 20250707

Weekly News

China June refined oil exports up 13% MoM by shipping fixture

China's exports of refined oil, namely gasoline, gasoil, and kerosene, read 2.08 million tonnes by shipping fixture (primarily exports under general trade mode, excluding exports to bonded zones) in June, rising 13.04% from the previous month. The June exports consisted of 0.71 million tonnes gasoline, 0.51 million tonnes gasoil, and 0.86 million tonnes kerosene, against the original export scheduling of 0.71 million tonnes gasoline, 0.31 million tonnes gasoil, and 2.61 million tonnes kerosene. The monthly increase in June was motivated by rising domestic production and moderate export margins. Read Full Story

China PDH capacity expansion slows down

China's propane dehydrogenation (PDH) capacity expanded persistently, but the growth rate slowed down against the backdrop of trade friction. The PDH capacity showed an upward trend over the past five years, exceeding 20.00 mln t/y in 2024. By June 2025, the total PDH capacity reached 23.43 mln t/y, a year-on-year growth of 8.62%. In 2025, the capacity expanded by 2.56 mln t/y, with new projects including Quanzhou Grand Pacific Chemical's 660,000 t/y unit, Wanhua Chemical Phase II's 900,000 t/y unit, and Fujian Zhongjing Petrochemical Phase III's 1.00 mln t/y unit which commenced operations in May. However, the growth rate has slowed. In 2020, China introduced its "dual carbon" goals, and regions actively responded, with PDH, as a key project in the light hydrocarbon industry, attracting significant attention. Read Full Story

China natural gas imports and exports up 4.64% and 15.50% in May

China's natural gas imports and exports both climbed month-on-month in May. According to the General Administration of Customs of the People's Republic of China (GACC), China imported 5,263,200 tonnes of natural gas in May, rising by 4.64% from the previous month. Over January-May, the imports totaled 24,199,600 tonnes, gaining 2,346,300 tonnes or 10.74% year-on-year. International liquefied natural gas (LNG) spot prices kept high, restricting importers' enthusiasm in purchasing LNG, yet boosting the imports of pipeline natural gas (PNG). This contributed to the increase in May's natural gas imports as a consequence. Read Full Story