Gaoqiao Petrochemical achieved remarkable export growth in 2024, with its base oil export volume soaring by 39.08% year-on-year and paraffin exports rising by 13.88%. On January 7, the company issued a formal thank-you letter recognizing the outstanding contributions from the export support team of Sinopec International Petroleum Exploration and Production Corporation (SIPEC). Despite sluggish European market demand, slower procurement activities in the Americas and rising alternative resources globally, Gaoqiao’s base oil and paraffin businesses achieved resilient export growth against market headwinds, driven by the dedicated efforts and professional collaboration of the refinery by-product export team.
Gaoqiao’s lube base oil and paraffin businesses adopt the import-processing-reexport trade model, subject to export license registration and processing manual verification and cancellation management. Featuring long and complex operational procedures, multi-party coordination requirements, as well as small-batch and high-frequency export orders, the business demands precise cross-department and cross-border collaboration. Under Sinopec’s integrated operational mechanism, internal departments and overseas subsidiaries performed their respective duties to support stable export growth.
The Operation & Development Department took charge of overall coordination, aligning export plans with the Refining Business Unit and Production Management Department, compiling processing manuals and license application documents. It established a zero-time-difference communication mechanism to regularly guide and coordinate the Shanghai branch and Japan branch on business execution, while coordinating the Beijing office to complete export license applications with the Ministry of Commerce.
As the international trade hub for Gaoqiao’s petrochemical products, the Shanghai branch served as a core information collector, conducting on-site docking and real-time communication with Gaoqiao Petrochemical to track resource supply and customer demand. Acting as professional market analysts, the team monitored global price trends, sorted out production and order data, and formulated optimized sales strategies to maximize overall benefits. The branch also efficiently completed customs clearance, shipment arrangement and processing manual verification procedures for import-processing-reexport businesses.
Entrusted by the Shanghai branch, the Japan branch signed purchase and sales contracts with Singapore United Petrochemical and overseas clients, and completed cross-border settlement work. The coordinated efforts of domestic departments and overseas subsidiaries built a complete service chain, strongly guaranteeing the export efficiency and profit growth of Gaoqiao’s base oil and paraffin products.
In 2024, the global petrochemical market faced prominent pressure: European consumption remained weak, American procurement slowed significantly, and end customers adopted a wait-and-see attitude. Facing challenging market conditions, the Shanghai branch took proactive market expansion initiatives. The team maintained close communication with clients across Japan, Europe, the United States and South America, tracking annual, quarterly and monthly demand plans to ensure stable order execution.
It organized overseas customer visits to Gaoqiao Petrochemical for in-depth face-to-face exchanges on product quality and long-term supply cooperation, effectively enhancing customer loyalty. Meanwhile, the team fed back frontline market insights to Gaoqiao, supporting the independent development of high-value fully refined 62–64℃ paraffin to capture premium market profits.
By capturing the shutdown information of peer enterprises outside Sinopec Group, the Shanghai branch quickly analyzed transferred customer demands and procurement cycles, successfully attracting new client orders for Gaoqiao base oil. The European team further expanded market coverage and successfully entered Southern European end-user markets.
In addition to market expansion, the team effectively addressed logistics challenges. In 2024, the international shipping market suffered from reduced capacity, slower vessel speed and rising freight rates. Overcoming time zone differences, the Shanghai branch closely coordinated with shipping companies and overseas customers to optimize shipment schedules, ensure on-time delivery and relieve factory inventory pressure.
For paraffin products featuring small-batch and high-frequency exports, the team tracked customs clearance progress of every container and accelerated processing manual verification efficiency. For large-volume liquid base oil products, it optimized shipment plans by adjusting cargo volume, selecting qualified vessels and screening ship age and routes, successfully fulfilling multiple urgent delivery tasks. The professional and efficient service was highly recognized by the management and functional departments of Gaoqiao Petrochemical.
In its thank-you letter, Gaoqiao Petrochemical expressed full confidence in future in-depth cooperation. The company expects to further strengthen strategic synergy to accelerate the internationalization of Gaoqiao’s high-end competitive products and contribute to the high-quality global development of Sinopec’s international business.
Moving forward, SIPEC will fully implement Sinopec’s integrated collaboration strategy, continue to provide professional, whole-process services for subordinate enterprises, and build a shared service platform for the global market expansion of Sinopec’s self-developed high-end products, empowering domestic petrochemical enterprises to explore broader international markets.
