SINGAPORE, April 28, 2015 /PRNewswire/ -- China's
apparent oil demand* in March increased 6.5% from a year earlier to
44.73 million metric tons (mt), or an average 10.58 million barrels
per day (b/d), according to a just-released Platts analysis of
Chinese government data.
This was the highest growth rate witnessed since September 2014.
China's refinery throughput in
March averaged 10.57 million b/d, rising 5.5% from a year earlier,
data from the country's National Bureau of Statistics showed April
15. On the other hand, net oil product imports fell to a four-month
low of 40,000 mt, according to data released April 13 by the General Administration of
Customs.
During the first quarter of this year, China's total apparent oil demand was up 4%
year over year to an average 10.48 million b/d, the highest pace of
growth over the same three-month period since 2012. This came
despite China's GDP growth sinking
to 7% for the quarter, the slowest quarterly rise in six years.
"Apparent oil demand appears to be strengthening against a low
base from a year ago, even though the economic outlook remains
bleak," said Platts senior writer for China, Song Yen
Ling. "But there could be some support with continued
loosening of credit controls by the government which could boost
infrastructure investment."
Gasoil demand growth improves
Apparent demand for
gasoil – the most widely consumed oil product in China – rebounded from a contraction in
February to grow 7.5% in March to 15.51 million mt. Actual
consumption, however, was likely lower as there was some
stock-building during March.
Up to 70% of the fuel is used in the transport sector while the
remainder is used by various sectors, including construction,
farming and fishing, industrial heating and to power machinery.
Apparent demand for gasoil was up 4% over January to March to
43.62 million mt, in contrast to the contraction in the first
quarter of 2014.
Gasoline
Meanwhile, apparent demand for gasoline
climbed 8% year over year to 9.56 million mt, with year-to-date
demand also rising 8% to 27.67 million mt, buoyed by higher
passenger car sales.
Fuel Oil
Fuel oil witnessed a further decline in
demand following consumption tax increases in the fourth quarter of
last year, which has made the fuel more expensive for the country's
independent teapot refiners to buy. These refiners use imported
fuel oil as an alternative feedstock in the absence of crude import
rights.
Apparent demand for fuel oil in March slumped 8.1% year over
year to 2.88 million mt. Net fuel oil imports fell 4.2% during the
month to 690,000 mt. Apparent demand for fuel oil during the first
quarter tumbled 17.2% to just over 8 million mt.
MONTHLY TRADE DATA IN MILLION METRIC TONS
|
Mar '15
|
Mar '14
|
% Chg
|
Feb '15
|
Jan '15
|
Dec '14
|
Nov'14
|
Net crude imports
(million mt)
|
26.06
|
23.52
|
+10.8
|
25.39
|
27.81
|
30.13
|
25.41
|
Crude production
(million mt)
|
18.06
|
17.69
|
+2.1
|
16.18
|
17.97
|
18.32
|
17.63
|
Apparent demand
(million mt)
|
44.73
|
41.99
|
+6.5
|
40.70
|
43.22
|
44.96
|
42.18
|
Apparent demand ('000
b/d)
|
10,576
|
10,762
|
+6.5
|
10,655
|
10,219
|
10,631
|
10,306
|
Sources: China's General
Administration of Customs, National Bureau of Statistics,
Platts
Month-to-month demand in China
is generally viewed to be subjected to short-term anomalies which
are of interest and important to note, but often fail to reveal the
country's underlying demand trends. Year-to-year comparisons are
viewed by the marketplace to be more indicative of the country's
energy profile.
*Platts calculates China's
apparent or implied oil demand on the basis of crude throughput
volumes at the domestic refineries and net oil product imports, as
reported by the NBS and Chinese customs. Platts also takes into
account undeclared revisions in NBS historical data.
The government releases data on imports, exports, domestic crude
production and refinery throughput data, but does not give official
data on the country's actual oil consumption figure and oil
stockpiles. Official statistics on oil storage are released
intermittently.
Platts releases its monthly calculation of China's apparent demand between the 18th and
26th of every month via press release and via its website. Any use
of this information must be appropriately attributed to Platts.
Platts uses a conversion rate of 7.33 barrels of crude per metric
ton, the widely-accepted benchmark for markets East of Suez.
For more information on crude oil, visit the Platts website at
www.platts.com. For Chinese-language information on oil and the
energy and metals markets, visit http://www.platts.cn/.
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SOURCE Platts