[ad_1]
China recorded a year – on – year decline in gasoline production in June 2019, the first time since the beginning of the year, which has rarely been seen in recent years.
The country produced 11.17 million tonnes of gasoline in June, down 2.3% year-on-year, according to data from the country's National Bureau of Statistics. The gasoline rate of return was 20.8% in June, compared to 22.5% in May.
The decline was in stark contrast to a year-over-year increase of 7.7% in China's crude oil consumption in June.
The country's gasoline production amounted to 70.36 million metric tons in January-June 2019, an increase of 2.9% over the same period in 2018, according to data from the SNB. Growth slowed compared to a 4.0% year-over-year increase in the first five months of this year.
Growth in Chinese gasoline production has slowed since 2018, as the domestic gasoline market becomes more and more saturated as a result of weak growth in demand. The country's car sales began to fall in 2018, as fast-track vehicle improvement standards held buyers back and many people delayed their plans to buy a new car. China is rapidly improving vehicle emissions standards, while cars for sale do not meet the new standards that should come into force in the near future, which has rejected many buyers.
In addition, the use of alternative fuels, such as electricity and gasoline, has reduced the demand for gasoline.
Domestic gasoline prices were relatively low this year and began to settle well below those of diesel in June, reversing normal price differences between gasoline and diesel over the course of the year. years. Gasoline prices at 92 RON were CNY 200-350 / mt lower than diesel zero point spill in the north, east and south of China on July 18, according to the JLC data.
The country is expected to boost gasoline exports in the last half of 2019. PetroChina recently announced a plan to subsidize its gasoline export subsidiaries, in order to encourage more gasoline exports. exports, with domestic competition becoming more and more fierce.
By JLC International
More from Reading Oilprice.com:
[ad_2]
Source link
