SINOPEC Lubricants last week said it will expand lubricant production, logistics and marketing channels for overseas sales, especially in Asia, where lubricant demand is growing and where lubricant quality is rising. The company said it will then gradually move to Europe and America, eventually forming a global market for production, logistics and sales of its lubricants.
Organized by SINOPEC, the SINOPEC Lubricants International Partner Conference 2018 was held in Singapore on May 29, 2018. The conference, the company's second Asia-Pacific Regional conference, demonstrated the current status of SINOPEC's lubricant business development in the international market in recent years. More than 120 partners from more than 20 countries and regions in the Asia Pacific attended the meeting.
During the conference, the participants visited the SINOPEC Lubricant (Singapore) Company Ltd. plant, SINOPEC's first overseas blending plant. Company officials pointed out the achievements of SINOPEC lubricants' brand strength, product technology development, marketing, and the company's future development plan for overseas markets.
Mr. Kou Jianchao, Vice President of SINOPEC Lubricants Co., Ltd., attended the meeting and stated: "Since the 'Belt and Road Initiative' was proposed by the Chinese government in 2013, 1,676 Chinese-funded enterprises have begun construction in the Asia-Pacific region. Precisely that year, the construction of SINOPEC Lubricants Co., Ltd.'s Singapore plant was also completed and has commenced operation. In recent years, with the rapid transfer of Asian manufacturing to Southeast Asia and the vigorous development of infrastructure construction in the Asia Pacific region, the demand for lubricants in the Asia-Pacific region has been continuously increasing. The rapid increase in the demand for high-quality lubrication products will inevitably bring huge market opportunities for the business development of SINOPEC lubricants".
The international quality of SINOPEC lubricants has become China's lubricant with "high-tech, high-quality" image, according to SINOPEC. The brand is China's largest automotive OEM supplier and industrial and mining enterprise lubrication service provider, the company said in a press release. As China has gradually become the center of global manufacturing, the rapid growth of overseas exports of "Made in China" machinery and equipment has created new opportunities for SINOPEC lubricants to enter the international market, the company stated. In the past ten years, the overseas lubricants sales volume of SINOPEC has grown from an initial annual sales of 14,000 tons in 2007 to 124,000 tons in 2017, and has achieved a growth of more than 20% for four consecutive years.
Kou continued by stating that SINOPEC Lubricants Co., Ltd. will continue its efforts to promote the transition from "trading" to "marketing", and accelerating the deployment of lubricant production, logistics and sales systems for the internationalization of SINOPEC. According to Mr. Kou, SINOPEC is currently seeking to become a globally competitive transnational energy and chemical company, and SINOPEC lubricants, ranking fourth in the world, according to the company, will become an important part of its international marketing strategy. SINOPEC said it will rely on its strong overseas branches to continuously improve its overseas supply network. The laying of outlets will gradually move from Asia to Europe and America, eventually forming a global market for production, logistics and sales.