Sinopec scales back crude throughput by 6% in 1H26 in response to energy transition

Sinopec cut crude throughput 5.6% in H1 2026 as refined oil sales fell 9.2%, reflecting accelerating fuel displacement by EVs and LNG trucks. EV penetration reached 13.2% of China's vehicle fleet, with new EVs accounting for nearly half of new registrations. LNG and electric heavytruck sales rose 18% and 77% YoY, respectively. The shift to higher-value petrochemicals has become a competitive necessity for refiners.

Sinopec recently released its performance update for the first half of 2026. The company's oil and gas production remained largely flat year-on-year at 263.48 million barrels of oil equivalent. However, crude oil throughput fell 5.6% year-on-year to 113.31 million tonnes, with domestic refined oil sales and retail sales volumes