Business Last updated at: (Beijing Time) Wednesday, December 24, 2003
China's crude oil import to surpass Japan next year
China imported 7.64 million tons of crude oil in November, 10 percent higher than October, latest customs statistics showed.
Since this year China has seen a series of records in crude oil import. During the former half 43.8 million tons were imported, and the figure reached 81.87 million tons five months later, rising nearly 30 percent over the same period of the previous year.
The nation's crude oil import once hit 70.27 million tons in 2000, already a historical record over years, then figures dropped in 2001 and 2002. Viewing from the current trends, the total import volume this year will go far beyond records set three years ago.
According to estimations made at the end of last month by Wang Jiming, president of China Petroleum and Chemical Corporation (Sinopec Corp.), China's crude oil import this year is likely to surpass 80 million tons. And next year China may overtake Japan to become world second biggest crude oil importer.
The boom for oil import may continue in 2004 considering the widening gap of domestic supplies, an analyst said.
On one side, domestic output is declining after three or four decades of extraction in large quantities, with the average annual growth rate standing at 1.2 percent since 1996.
On the other side, it is an unarguable fact that China is the world second biggest energy resources consumer. The thriving automobile market is demanding more gasoline while sectors as power, infrastructure and construction are asking for more diesel oil. Based on these facts the analyst predicted that China¡¯s total crude oil import in 2004 might reach 90 million tons, or 6 percent higher than that of this year.
China's large demand for crude oil is a long-existing problem, said Deng Yusong, a research fellow at the Development Research Center of the State Council. The nation began to see large-margin increases of crude oil import from 1993, which was then kept at a high level especially after 2000. Yet the amount is expected to remain stable in 10 or 20 years to come, standing at about 160 million tons.
Facing the severe situation, Deng noted, China must not only develop diversified import channels, but should launch and improve its national crude oil reserve strategy on an earlier day.
By PD Online staff member Li Heng
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