China's Oil Production, Consumption Set Records in 2007

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Researched by Industrial Info Resources (Sugar Land, Texas)--China's oil production and consumption set a record high in 2007, according to China Petroleum and Chemical Industry Association (CPCIA). Data show that China produced 186.66 million tons of crude oil, 1.6% more than in 2006, and the total output of gasoline, diesel and kerosene was 195 million tons, 7.2% higher than 2006.

Although the production growth rate was 0.1 percentage point lower than 2006, the total output of crude oil set a record high. As for processed oil (gasoline, diesel and kerosene), the growth rate was 2.7 percentage points higher than 2006, and the total output also reached an unprecedented number: 59.9 million tons of gasoline (7.2% higher), 123.7 million tons of diesel (6.2% higher) and 11.53 million tons of kerosene (19% higher).

Data from the China Customs show that China's net import of crude oil reached 159.3 million tons last year, 14.7% higher than 2006. CPCIA numbers show that China imported 7.1 million tons of processed oil and exported 9.78 million tons. China's oil dependency on imports also reached 46.05%, which means that nearly half of crude oil China used in 2007 was imported.

A State Statistics Bureau report shows that China's 2007 GDP was 11.4%. Fast economic development, including investments in heavy industries and growing number of cars, greatly contributes to the rising oil consumption.

Declining output of China's oil wells in the northeast, the heavy industrial zone, was largely made up by rising output in southern seas, but China's consumption still exceeded the internal production capacity, driving the nation to resort to foreign oil.

CPCIA was established in 2001, deriving from Ministry of Petroleum and Chemical Industries in previous government.

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