ANNOUNCEMENT 16 Nov 2011

November 16th, 2011 - The Chinese government published a list of non-state enterprises officially sanctioned to import fuel oil for refining.

NUMBER OF INTERVENTIONS

2

  • 1 harmful
  • 0 neutral
  • 1 liberalising

SOURCE

PRC Ministry of Finance, November 16th, 2011. (关于公布2012年成品油(燃料油)非国营贸易进口企业审核情况的通知)
http://wms.mofcom.gov.cn/article/zcfb/g/201111/20111107833432.shtml

Inception date: 01 Jan 2012 | Removal date: open ended
Still in force

Import licensing requirement

In November 2011, the Chinese government added 20 non-state firms to the roster of those allowed to import fuel oil for refining (see below for full list).

Chinese policy dictates that non-state importers must acquire this permission to carry out any fuel oil imports, ensuring state-run firms have an advantage.

In order to qualify for these licenses, independent firms must satisfy various conditions, mainly relating to the size of the firm, e.g. it must have a credit line of USD 20m (specifically USD, not Chinese RMB) and be prepared to import a minimum of 50,000 tons of fuel oil per year.

The total non-state national fuel oil import quota is 16.2m tonnes.

Firms added:

  1. Shandong Yikun Chemical Co., Ltd.
  2. Shandong Jinshi Asphalt Co., Ltd
  3. Zhongqiu Group Co., Ltd.
  4. Zhejiang Qingan Chemical Co., Ltd.
  5. Zhejiang Zhonghua Group Co., Ltd.
  6. Tiandixing Holdings Group Co., Ltd.
  7. Zhuhai Yuanyang International Petrochemical Co., Ltd.
  8. Qingdao Bohai Petrochemical Co., Ltd.
  9. Beijing Haoyunlai Energy Investment Co., Ltd.
  10. Chongqing Minmetals Machinery Import & Export Co., Ltd
  11. Zhejiang Meifu Petrochemical Co., Ltd.
  12. Beijing Longjing Petrochemical Co., Ltd.
  13. Jiangsu Huihong International Group Native Produce Import and Export Co., Ltd.
  14. Shandong Yuqiao Industry and Trade Group Co., Ltd.
  15. Zhejiang Jiabao Energy Co., Ltd.
  16. Taidi Petrochemical Group Co., Ltd.
  17. Guizhou Aerospace Industry Co., Ltd.
  18. Sichuan Shengma Chemical Co., Ltd.
  19. Alashankou Hengchao Trading Co., Ltd.
  20. Xinjiang Druya International Trade Co., Ltd.

AFFECTED SECTORS

 

AFFECTED PRODUCTS

 
Inception date: 01 Jan 2012 | Removal date: open ended
Still in force

Import licensing requirement

Also in the announcement was included a list of the following non-state firms whose fuel oil import permission was not renewed:

  1. Zhejiang Property Petrochemical Co., Ltd.
  2. Xiamen Huadonghai Petroleum Storage Co., Ltd.

The reasons provided for this are largely due to the firms not submitting the correct documents, or failing to meet the import requirements in the previous year.