A Glance of China Oil Market 20251124

On the demand end, the gasoline consumption is expected to remain muted in the traditional seasonal low, especially when there is no holiday. For gasoil, falling temperature in northern China will start to weigh on the outdoor projects, while the demand in the southern part will stay firm.

A Glance of China Oil Market 20251124

Weekly News

China EV penetration rates hit new high in Oct

China's automobile market set a new record high in October in terms of the penetration rates of electric vehicles (EVs), further squeezing the gasoline consumption in both passenger and commercial sectors, according to data from China Association of Automobile Manufacturers (CAAM). In October 2025, China's vehicle sales reached 3.322 million units, up 3% month-on-month (MoM) and 8.8% year-on-year (YoY), CAAM data showed. Among them, sales of traditional fuel vehicles were 1.607 million units, down 0.92% MoM and 0.99% YoY, while sales of EVs reached 1.715 million units, up 6.92% MoM and 19.93% YoY. Read Full Story

Vehicle fuel sector becomes dominant pillar of LNG market in 2025

Different from previous years, China's liquefied natural gas (LNG) consumption in 2025 shifts from a balanced development across industrial fuel, city gas, power generation, and chemical feedstocks to a trend dominated by a single sector, vehicle fuel, resulted from the combined effects of economical efficiency, policy support and infrastructure development. First, a solid economic foundation. The sustained price differential between natural gas and diesel is the core driver of LNG heavy-duty truck market. In an era of high oil prices, using LNG as fuel can save long-haul logistics vehicle owners up to 30% in fuel costs compared to traditional diesel. This economic advantage directly translates into purchasing power in the end market, providing the economic basis for the sales growth in LNG heavy-duty trucks. Read Full Story

China-Russia natural gas trade further deepens with 3 energy documents signed in 2025

Since 2020, the pace of natural gas trade between China and Russia has accelerated significantly. Particularly, the three energy documents signed this year directly increased the maximum pipeline natural gas (PNG) trade volume between the two countries to 106 billion cubic meters. China and Russia signed three energy documents in September 2025, including increasing annual gas transmission volume of China-Russia East-route Natural Gas Pipeline (Pipeline 1) to 44 billion cubic meters, expanding the China-Far East Gas Pipeline's capacity from 10 billion cubic meters to 12 billion cubic meters, and initiating the much-anticipated memorandum for Power of Siberia 2 Gas Pipeline. Read Full Story