ANNOUNCEMENT 06 Jun 2016

June 6th, 2016 - The Chinese government published a list of non-state enterprises officially sanctioned to import fuel oil for refining.

NUMBER OF INTERVENTIONS

1

  • 0 harmful
  • 0 neutral
  • 1 liberalising

SOURCE

PRC Ministry of Finance, June 6th, 2016. (商务部关于公布2016年第一批成品油(燃料油)非国营贸易进口企业名单的通知)
http://www.mofcom.gov.cn/article/b/e/201606/20160601341107.shtml

Inception date: 06 Jun 2016 | Removal date: open ended
Still in force

Import licensing requirement

In June 2016, the Chinese government added the following non-state firms to the roster of those allowed to import fuel oil for refining:

  1. Dandong Hongxiang Industrial Development Co., Ltd.
  2. Ningbo United Group Import and Export Co., Ltd.
  3. Fujian Commercial (Group) Co., Ltd.
  4. Shandong Zhongshang Haiming New Energy Co., Ltd.
  5. Shenzhen Guanghui Petroleum Group Co., Ltd.
  6. Chongqing Foreign Economic and Trade (Group) Co., Ltd.
  7. Baota Petrochemical Group Co., Ltd.
  8. China Railway United Logistics Co., Ltd.
  9. Xinjiang Finance Foundation Investment Management Co., Ltd.

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.

AFFECTED SECTORS

 

AFFECTED PRODUCTS