Petrochemical Product and Equipment Trade
Taking advantage of the synergy in integrated operation and actively implementing globalization strategy, Sinopec speeds up the foreign trade & technology cooperation and has made remarkable achievements in this regard. Overseas oil & gas investment made breakthroughs, international trade volume expanded, market operation and overall trading capabilities enhanced, supply guaranteed and cost lowered. As international cooperation in science & technology progressed well, the Company’s technological innovation capability further improved.
In 2010 Sinopec International Co. made great efforts to expand overseas market, focusing on refining and petrochemical products, equipment and materials. Total import and export value for the year hit USD1.6 billion, up by 40.4% compared with the USD1.14 billion in 2009. Specifically, total import value stood at USD890 million, up by 19.1% y-o-y. Total export value stood at USD680 million, up by 73.5% y-o-y.
For import, global procurement was enhanced. We sourced from the global market for high quality products and materials and further stabilized import channels by enhancing cooperation with international manufacturers through a competitive bidding mechanism. We imported USD890 million worth of chemicals, equipment and materials (including technology license) which ensured the supply to the whole company.
For export, we stepped up efforts to expand the export market. With our focus on resource and market, we enhanced coordination with Sinopec Catalyst Company, Lubricant Company, Oil Product Marketing Company, Maoming Petrochemical Co. and Yanshan Petrochemical Co. to improve cooperation and export pricing mechanism. We managed to realize a rapid development of petrochemical export business by stabilizing the supply of wax, petroleum coke, catalyst and lubricant, etc. We exported Sinopec catalysts to the US, asphalt to Africa, bulked wax to Taiwan for the first time. In 2010 we exported USD510 worth of refining and petrochemical products, 82.1% more than the USD280 in 2009. Export of catalysts increased by 78.3% y-o-y to USD96.50 million, lubricants up by 20.4% y-o-y to USD21.60 million.
We unswervingly carried out the strategy of doing business with key customers with huge demands. Targeting on markets including the Middle East, Russia, Africa, Southeast Asia as well as Sinopec’s overseas investment projects, we exported ethylene cracker of our own technology to Malaysia, natural gas compressors to Africa, high-impact tank plate to Iran and high-tech coil heat exchanger to Taiwan for the first time. We exported USD195 million worth of equipment and materials, 77.3% more than the USD110 million in 2009.