China Oil, Gas and Chemical Sector "Weekly tracker: China's crude..."

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China Oil, Gas and Chemical Sector "Weekly tracker: China's crude..."

Global Research

29 June 2026ab

China Oil, Gas and Chemical Sector Equities

ChinaWeekly tracker: China's crude inventory and

teapot utilisation continued to decline Chemicals

Amily Guo

Analyst

amily.guo@ubs.com

Refining: SOE utilisation improved slightly, but teapot utilisation declined +86-105-832 8845

SOE refineries' average utilisation rose 0.64ppt WoW to 68.05% last week. Utilisation at Cheryl Wen

teapot refineries continued to decline, down 2.1ppt WoW to 43.67% to its lowest post- Analyst

pandemic level, mainly due to heavier turnaround activity as the fuel supply assurance S1460525030002

policies were recently loosened. China's total crude throughput rose 41kb/d WoW to cheryl.wen@ubs.com

12,361kb/d by last week, mainly due to some SOE refineries’ restart. As per Kpler data, +86-21-3866 8916

overall China crude inventory continued to fall to 1,252MMbbl as of 29 June. Richard Li

Chemicals: major chemicals' utilisation was generally stable WoW S1460121090003

Ethylene: Naphtha-based ethylene utilisation was broadly flat WoW at 76% (down richard-ze.li@ubs.com

+86-21-3866 88025ppt YoY), while MTO route utilisation increased 3ppt WoW but declined 7ppt YoY to

81%. Polyolefins: PE utilisation increased 1ppt WoW to 81% (up 2ppt YoY), while PP Nayoung Kim

utilisation increased 1ppt WoW to 64% (down 12ppt YoY). PDH utilisation increased Analyst

1ppt WoW to 67%. PVC utilisation decreased 1ppt WoW to 70%. Aromatics chain: PX nayoung.kim@ubs.com

+44-20-7568 4010utilisation declined 1ppt WoW and 8ppt YoY to 77%, while PTA utilisation decreased

1ppt WoW and 13ppt YoY to 68%. Polyester filament utilisation was flat WoW but fell Jay LIN

15ppt YoY to 74%. MDI/TDI utilisation declined 8/2ppt WoW to 74%/69%.