Chinese state-owned company, Sinopec selling fuel in South Africa as China’s refiners seeks homes for their surplus fuel in the latest sign of troubles in the domestic refining business.
The Chinese company said on Monday that it shipped 30 000 tons of diesel from its Shanghai plant heading for South Africa.
The shipped cargo and the other due for September marks the first the batch to South Africa in two years, according to Thomson Reuters Eikon shipping data.
Sinopec said: “China’s four oil majors are facing a glut overhang in domestic market and the companies are aware of the headwinds ahead”.
“Chinese companies are looking to expand sales to emerging market countries beyond South East Asia where margins have weakened amid competition”, they said referring to India and South American companies.
Source: Money Web