Chinese Oil Refiners Deepen Run Cuts in Sign Worst Not Over
- Throughput now 25% below average in second half of 2019
- Low run rates expected to last through February at least
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Chinese refineries are throttling back production even further to cope with weak demand and a lack of workers due to the coronavirus, and are now processing 25% less oil than they were last year.
Run rates have fallen to about 10 million barrels a day this week, the least since 2014, said senior executives and analysts at the nation’s top refiners. That’s down from 11.4 million barrels a day earlier this month and an average of more than 13 million barrels last year.