China’s jet/kerosene output faces twin woes of travel bans, subdued blending

S&P Global Platts | Jul 1, 2021 at 7:36 AM
  • The twin woes of travel restrictions and limited blending appetite will likely prompt refiners in China to keep jet fuel and kerosene output at relatively lower levels for now, industry sources said.
  • This means that only jet fuel, which is consumed by the aviation industry, will remain free from consumption tax, as the country looks to encourage the revival of the aviation sector.
  • The country’s oil product exports are expected to see a year-on-year reduction in H2 as Beijing is set to slash export quota allocation.