Cost of Imported Oil in China Reaches New Heights

Researched by Industrial Info Resources (Sugar Land, Texas)--Statistics show that China imported 90.53 million tons of crude oil in the first half of 2008, an 11% increase compared with the same period last year. The increase speed slightly lowered by 0.2% compared with the same period last year. The value of imported oil rose to $64.98 billion, representing a dramatic 85.8% increase in costs. At the same time, China exported 2.37 million tons of crude oil, a 30.6% increase compared with the same period last year. The value of oil exports was $1.42 billion, a 126.9% increase.

Regular trade is the major method for China's oil import and export. Angora, Saudi Arabia and Iran are China's top foreign oil suppliers. Republic of Korea, People's Democratic Republic of Korea and other Southeast Asian countries are the main destinations for China's exported oil. The majority of crude oil is imported by large state-owned enterprises, while foreign-invested oil companies conduct the majority of oil-exporting activities in China.

In response to the record-high costs of imported oil, China's Customs General suggested that, since China's reliance on imported oil is rising in the midst of an international crude oil price hike, the fluctuation of the price of oil is having a significant impact on China's domestic economy.

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