July 2011 Oil and Chemical Industry Economic Operation Report

In July, the oil and chemical industry economy continued to maintain a healthy and stable operation. The market supply and demand are stable, prices continue to rise; export trade maintains rapid growth, investment growth slows down steadily; overall industry efficiency continues to improve, economic growth has accelerated, and endogenous growth continues to increase. However, the cost of economic operations continues to rise; oil refining efficiency has fallen sharply and losses have increased; investment in oil and gas exploration has been underpowered; uncertainties and instability in the external environment of the industry's economic operations have increased, and risks in economic operations have increased.

Related reading: In the first half of 2011, the economic operation of the petroleum and chemical industry reported a relatively rapid increase in economic output. In July, the oil and chemical industry economy continued to grow at a faster rate, and the increase in output value increased over the previous month. As of the end of July, there were 26,508 enterprises above designated size in the industry (enterprises with a revenue of over 20 million yuan). The total output value for the month was 945.08 billion yuan (current price), accounting for 13.3% of the country's total industrial output value, an increase of 37.2% over the same period of last year. It increased by 1.5 percentage points last month; due to seasonal factors, it decreased by 7.2%. From January to July, the cumulative output value was 6.26 trillion yuan, an increase of 34.9% year-on-year, which was 0.5 percentage points higher than that of January-June.

The output of major products continued to grow at a rapid rate. In July, the domestic output of major petroleum and chemical products continued to maintain a relatively rapid growth. Among them, chemical fertilizers, basic chemical raw materials, oil drilling equipment, chemical reagents and other products have grown significantly. The country’s crude oil production was 17.29 million tons, an increase of 0.4% year-on-year, and the growth rate was 1.2 percentage points lower than that in June, a record low in the year and 0.9% month-on-month; natural gas production was 8.37 billion cubic meters, an increase of 10.0% year-on-year and an increase of 2.6%; crude oil processing The amount of 37.486 million tons, an increase of 5.9%, an increase of 5.4%; production of refined oil (gasoline and diesel, the same below) 22,161,000 tons, an increase of 4.4%, an increase of 4.7%. The total output of chemical fertilizers (refine, the same below) was 5.366 million tons, a year-on-year increase of 18.0%, and the growth rate exceeded 15% for the third consecutive month. Among them, the output of urea was 2.389 million tons, a year-on-year increase of 12.6%, the first increase since 2010 was 10%, the output of phosphate fertilizer was 1.255 million tons, an increase of 30.7%, and the output of potash fertilizer was 449,000 tons, an increase of 32.8%. The output of synthetic ammonia was 4.387 million tons, a year-on-year increase of 11.8%; the output of pesticides (100%) was 217,000 tons, an increase of 12.4%, an increase of 16.4 percentage points from the previous month. Ethylene production was 1.3 million tons, a year-on-year increase of 11.5%; methanol production was 1.555 million tons, an increase of 33.7%; ** output was 5.985 million tons, an increase of 14.2%; caustic soda production was 2.067 million tons, an increase of 14.3%; and soda ash production was 1.965 million tons, an increase of 18.9. %; chemical reagents 780,000 tons, an increase of 50.9%; synthetic resin 38.56 million tons, an increase of 6.9%, of which polyvinyl chloride rose by 5.8%; tire tire output 72.809 million, an increase of 12.5%, of which 33.197 million radial tire production, growth 8.1%, the highest increase in tire production during the year.

The growth rate of imports slowed down Export growth accelerated In June, the growth rate of the industry’s import and export trade slowed significantly, import growth slowed down, and export growth accelerated. The total volume of import and export trade was US$56.626 billion, which represented a year-on-year increase of 28.4%, which was a decrease of 11.2 percentage points from the previous month and a decrease of 3.9% from the previous month. Among them, total imports reached US$35,470 million, a year-on-year increase of 26.3%, a decrease of 17.2% from the previous month and a decrease of 6.4% from the previous month. Imports decreased due to a sharp drop in crude oil trade; total exports reached US$15.156 billion, an increase of 33.4% over the same period of last year. The previous month increased by 2.9 percentage points, an increase of 2.6% from the previous quarter. The trade deficit was 20.314 billion U.S. dollars, a year-on-year increase of 21.5%. In June, China imported 19,989,000 tons of crude oil, a year-on-year decrease of 11.6%. During the year, imports fell for the first time; the amount of imports was 15.912 billion US dollars, an increase of 26.8% year-on-year, accounting for 44.86% of the total import trade; the average import price was 807.8 US dollars/ton, up from the same period last year. 43.3%. The import of natural gas was 1.988 million tons, a record high for the year, an increase of 105.8% year-on-year and an increase of 5.3% from the previous month.

Among the major chemical products, methanol imports were 595,400 tons, an increase of 33.3% year-on-year, accounting for 25.7% of the apparent methanol consumption of the month, and continued to increase pressure on the domestic market; import of paraffin was 345.7 thousand tons, an increase of 23.2%; ethylene glycol Imports of 626,000 tons, an increase of 17.1%, for the largest increase this year. In exports, rubber products continue to occupy a large share. In June, the export value of rubber products was 3.687 billion U.S. dollars, an increase of 25% year-on-year, accounting for 24.33% of the total exports for the month; and the export value of organic chemicals was 2.878 billion U.S. dollars, an increase of 30.6% year-on-year, accounting for 19.0% of the total exports. In addition, the export volume of refined oil continued to decline by 10.2%, the export volume was 1.153 million tons, and the net export volume was 529,000 tons; the fertilizer export volume was 1.293 million tons (in kind), which was a year-on-year increase of 63.0% and a growth rate of 65.2%. The increase in fertilizer exports in June was mainly driven by the export growth of phosphate fertilizer and compound fertilizer in the off-season.

Investment growth slowed down New projects started to decline Investment growth in the industry slowed down, and the decline in oil and gas exploration expanded. From January to July, the investment in fixed assets of the petroleum and chemical industries was 689.812 billion yuan, a year-on-year increase of 18.9%, and the growth rate slowed by 0.9% from January to June. Among them, the chemical industry investment was 491.23 billion yuan, an increase of 24.0% year-on-year, 1.3 percentage points slower from January to June, accounting for 71.21% of the total investment in the industry; oil refining investment was 72.037 billion yuan, an increase of 18.0%, an increase faster than January to June 0.7%; investment in special equipment manufacturing was 26.043 billion yuan, an increase of 35.7%, which was 3.9 percentage points higher than that of January-June.