About the problem of difficulty in adding diesel fuel

It’s okay, let’s talk to the original poster!

Diesel supply is now abundant across the country, but the price just increased again in early May!

The shortage of diesel supply you mentioned does happen, but it is not all year round.

There are several problems:

First, petroleum refining and chemical companies must be all about making profits. For example, if you buy crude oil for 10 yuan, the refined diesel will cost 11 yuan. When you have a profit to make, but after you buy crude oil for 10 yuan, the crude oil drops to 5 yuan before it is refined. What should you do? Do you want to increase the price of refined diesel to maintain your business? Profit purpose? Yes, you raise the price, but does the National Development and Reform Commission agree? disagree! Well, should you reduce production or simply stop production? Your oil refining company has stopped production. Is there a problem with the oil source and insufficient supply?

Second, refinery employees usually take off work at the end of November and will not resume production until next year. If they stop production, will oil be tight? This is why refined oil prices generally become more tense after November.

Third, refineries are generally directly affiliated with PetroChina or Sinopec. These companies have quotas. If you produced 1 million tons this year, you may be assigned a task of 1.2 million tons next year. Do you have the same quota? Do you have to pay more salary? Therefore, some oil refining companies will suspend or reduce production after completing their tasks by the end of the year, causing a shortage of oil!

Having said so much, I would kill someone if I didn’t give points. Haha