In March, Sinopec plans to first promote the subsi

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In March, Sinopec plans to launch the product oil export subsidy policy for the first time

Sinopec will launch the export product oil price subsidy policy in March to encourage its refineries to export more gasoline and diesel in March. On March 1, an authoritative person of Sinopec's oil refinery who asked not to be named disclosed that the subsidy standard was 130 yuan per ton

in response to the previous social doubts about the "sale at a low price" of Sinopec's refined oil export, analysts said that there was no possibility of "sale at a low price" because the current export price of domestic refined oil was not much different from the ex factory price of domestic refineries

Sinopec Group internal subsidy

the above authorities said that the subsidy was an internal matter of Sinopec Group. The source did not disclose when the subsidy policy would end

"we also learned the above information from some coastal refineries under Sinopec." Liaokaishun, an analyst at Xiwang energy, said, "the subsidy is paid to the refinery by China International Petrochemical Joint Co., Ltd. (hereinafter referred to as Sinopec) with a melting point of>334 ℃."

it is understood that Sinopec United is a wholly-owned subsidiary of PetroChina and the largest oil trading company in China. The company mainly undertakes Sinopec's international oil trade business, such as crude oil import, product oil import and export, processing with supplied materials, entrepot trade, etc

liaokaishun believes that this may be the first time that Sinopec has used internal subsidies to encourage the export of refined oil products. This policy has not been heard before. Before 2005, the state encouraged the export of refined oil by means of export tax rebate; The original machine was replaced to measure with a ruler. In 2007, when the domestic market was in short supply, in order to increase the import of refined oil, the two companies had implemented the policy of returning import value-added tax

"the subsidy may continue for a period of time depending on the supply and demand of domestic refined oil products until the supply and demand fundamentals are balanced and the domestic market demand shows a big recovery." Liaokaishun analyzed that

subsidy to digest the pressure of high inventory

Sinopec introduced the above subsidy policy in the face of high inventory of refined oil and low demand in the domestic market, obviously to digest the pressure of high inventory through more exports

according to statistics, the inventories of gasoline, diesel and kerosene of the two major oil companies in January increased by 3.0% month on month, while the sales of refined oil in the same period decreased by 6.0% month on month to 18.5 million tons. This is the third consecutive month that the inventory of refined oil products of PetroChina and Sinopec rose, following a three-month decline

liaokaishun said that the total planned crude oil processing volume of the two companies in February was 24.054 million tons, although it decreased by 10.7% month on month. However, due to the poor sales of the gas stations of the two companies during the Spring Festival, except for the transportation hub cities, the wholesale sales in most markets were poor throughout the month, and the inventories of their refineries were high. According to Xiwang energy, PetroChina Northeast sales company is now going south to negotiate with private oil depots to rent the depots due to the high diesel inventory, so as to transfer the pressure of diesel inventory

after the Spring Festival, the international crude oil price has been rising continuously, and the market's mentality of buying up rather than buying down has been revealed, without switching impact; In addition, most users have less stock before the festival, and the demand for refined oil seems to have improved after the festival. The two giants have also jointly pushed up the wholesale price. However, liaokaishun believes that the improvement of sales in the domestic market after the festival can not be judged because the two companies pushed up the price or the growth of normal demand. The short-term price push has limited effect in driving the recovery of demand

according to the local refineries in Shandong Province, this oversupply of domestic resources will continue in 2010. Under this background, it is difficult for the domestic refined oil market to have a major change

or stimulate the export of refined oil this month

liaokaishun said that although the market pattern of oversupply in March has eased, the policies of the two companies to increase exports to reduce inventory pressure will not change. Gasoline exports in March may increase month on month

according to the statistics of China's oil market monthly report, the export of domestic refined oil in January was still greater than the import. In the same month, Chengdu was able to connect 10 actuators at the same time to export 2.7 million tons of synchronous working product oil, with a significant year-on-year increase of 138.7%. The export volume of steam, coal and diesel oil remained at a relatively high level

according to the survey of Xiwang energy, the two major companies exported about 500000 tons of gasoline in February. With 70000 tons of gasoline from Dalian Xitai, the total national gasoline export was 550000 tons to 600000 tons, the same as that in January; In February, the export of diesel oil was about 500000 tons, but it still failed to reverse the oversupply of domestic demand

the above refinery authorities believe that the subsidy policy may stimulate the export of Sinopec's gasoline and diesel processing trade to a certain extent. It is estimated that Sinopec may export 600000 tons of gasoline in March, an increase of 50000 tons over the previous month

according to liaokaishun's analysis, although there are subsidies, it is impossible for diesel exports to fully absorb domestic excess resources due to limited demand in Asia. Therefore, whether domestic diesel supply and demand can be balanced depends on the recovery of demand in the domestic market

there is no such thing as "sale at a low price"

in response to the previous doubts about the "sale at a low price" of Sinopec's refined oil exports, liaokaishun said that, based on the average sales price of refined oil in the international market last week, the export price of China's gasoline processing trade (excluding consumption tax and export value-added tax) is 43 yuan/ton higher than the ex factory price of domestic refineries; However, the export price of diesel oil processing trade is 147 yuan/ton lower than the ex factory price of domestic refineries, and the export price of refined oil has little difference with the domestic sales price

last year, the export oil price of domestic refineries was generally lower than the domestic sales price. Liaokaishun believes that if the international oil product price is significantly lower than the domestic price again in the future, and the domestic inventory is still high, Sinopec's oil product export will remain high

according to liaokaishun's analysis, although foreign prices are lower than domestic prices, Sinopec's refineries will still have certain profits after export, only lower than domestic prices. If Sinopec sells oil at a substantial price cut in China, it will overdraw the domestic demand for future refined oil products, and the domestic demand is constant. For oil companies, there is no money to make. This is the reason why oil companies export at a lower price and are not willing to significantly reduce their domestic sales

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