Chinese refinery output hit new record in July, but teapots will lower rates in Aug.

摘要

In July, domestic refinery output was 12% higher on the year and reached a new monthly record due to several major refineries, such as Sinopec's 345K-b/d Zhenhai and 100K-b/d Tianjin refineries and PetroChina's 410K-b/d Dalian refinery, returning from maintenance. Chinese refineries processed 14.03MM b/d of crude during the month, which was slightly down from 14.08MM b/d in June. The month-on-month decline in crude throughput was on par with imports falling 6.6% on the month to 12.08MM b/d. From Jan. to July, Chinese throughput averaged 12.98MM b/d, which was a 2.3% year-on-year increase. However, China-based consultancy Longzhong Information Group reports that Chinese independent refiners lowered utilization rates to 70% in the week ending Aug. 14, compared to 80% in July, as heavy rains have weighed on demand.