82% surged to 8.53%. Affected by output and other factors, China oil is largely dependent on imports. In fact, as early as 1993, China officially changed from an oil exporter to an oil importer. And it has exceeded 50%.
According to the latest data, China has become the second largest energy consumer in the world. In June 2006, the Energy Information Administration of the U.S. Department of Energy released the International Energy Outlook report, which predicted that China's energy consumption would surpass that of the United States in 2030, ranking first in the world.
Although China's huge demand for petroleum products has an important impact on the supply and demand pattern of the international oil market, it has little impact on the formulation of international oil prices. According to statistics, China's oil imports account for 2% of the world's oil supply, but its weight in oil pricing is less than 0. 1%, even worse than Indonesia and South Korea.
In the past, the pricing power of China fuel oil was mainly in Singapore, and China fuel oil importers could only use Platts' spot evaluation price in Singapore as a reference for import settlement, that is, the weighted average price of Platts' spot quotation in Singapore on the day of shipment, two days before and after shipment and one day after shipment was taken as the settlement price of both parties. This price, which reflects the supply and demand of fuel oil in Singapore market, determines the total cost of importing fuel oil from China. This practice not only makes the allocation function of energy resources unable to function normally, but also often leads some speculators to jointly push up the spot price of Singapore market during the pricing period of imported fuel oil in China, thus making profits from it.
This often makes China's related enterprises not only have to deal with the risk of sharp fluctuations in oil prices in the international oil market, but also bear the risks brought by speculators' artificial manipulation in the futures market. According to analysis, as the largest oil trading market in China, 70% of Guangdong fuel oil price is influenced by the Singapore market, while the supply and demand factors in the local market only play a role of about 30%. In order to avoid the price risk of fuel oil, large domestic fuel oil companies have been trading in the paper futures market of Singapore fuel oil through various curve channels for a long time when there is a lack of relevant hedging tools in China.