China National Petroleum Corporation (CNPC) plans to permanently shut down 19 refining units, including one that fails to meet safety standards and 18 outdated facilities operating for over 20 years. This move aims to address the challenges of overcapacity in China's refining industry and slowing growth in refined oil demand, while aligning with national policies on safety, environmental protection, and the modernization of aging petrochemical facilities. By phasing out high-energy-consuming, inefficient, and high-risk outdated production capacities, CNPC will further optimize its asset structure, enhance overall operational efficiency, and boost profitability. Meanwhile, the company has clearly shifted focus toward high-value-added petrochemical products, prioritizing markets such as new energy materials and high-end polymers. It has also set a strategic goal to become among the world's top chemical enterprises by 2035, marking a crucial step in its transition from traditional oil refining to a comprehensive, high-tech, and high-value-added chemical industry.

Author of this news: Ding Shuhan

Date: November 13th, 2025