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China’s oil security from the supply chain perspective: A review

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  • Zhao, Chunfu
  • Chen, Bin

Abstract

Oil security has become a major issue in China. This paper analyzes China’s oil security from the supply chain perspective, as the country faces challenges from an increasing reliance on imported oil, a fast-growing economy, the Malacca dilemma, and volatile international oil prices. To clarify the issue of oil security, we first review the development phase of China’s oil industry and previous research related to its energy security. Then a framework from the supply chain perspective is constructed to identify the current risk from three aspects: energy flow, financial and environmental. Finally, policies aimed at improving the country’s energy security are examined and potential problems presented. From this analysis, we conclude that the potential risk arising from China’s oil system is inherently interconnected. There is still great potential for the country to improve oil security by strengthening its strategic oil reserves, improving energy efficiency, and developing its domestic oil tanker fleet.

Suggested Citation

  • Zhao, Chunfu & Chen, Bin, 2014. "China’s oil security from the supply chain perspective: A review," Applied Energy, Elsevier, vol. 136(C), pages 269-279.
  • Handle: RePEc:eee:appene:v:136:y:2014:i:c:p:269-279
    DOI: 10.1016/j.apenergy.2014.09.016
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    Cited by:

    1. Lu, Weiwei & Su, Meirong & Fath, Brian D. & Zhang, Mingqi & Hao, Yan, 2016. "A systematic method of evaluation of the Chinese natural gas supply security," Applied Energy, Elsevier, vol. 165(C), pages 858-867.
    2. Zhong, Weiqiong & An, Haizhong & Shen, Lei & Fang, Wei & Gao, Xiangyun & Dong, Di, 2017. "The roles of countries in the international fossil fuel trade: An emergy and network analysis," Energy Policy, Elsevier, vol. 100(C), pages 365-376.
    3. repec:eee:enepol:v:109:y:2017:i:c:p:854-862 is not listed on IDEAS
    4. Sun, Xiaolei & Liu, Chang & Chen, Xiuwen & Li, Jianping, 2017. "Modeling systemic risk of crude oil imports: Case of China’s global oil supply chain," Energy, Elsevier, vol. 121(C), pages 449-465.
    5. Wei, Liu & Jie, Chen & Deyi, Jiang & Xilin, Shi & Yinping, Li & Daemen, J.J.K. & Chunhe, Yang, 2016. "Tightness and suitability evaluation of abandoned salt caverns served as hydrocarbon energies storage under adverse geological conditions (AGC)," Applied Energy, Elsevier, vol. 178(C), pages 703-720.
    6. Yang, Qingchun & Qian, Yu & Kraslawski, Andrzej & Zhou, Huairong & Yang, Siyu, 2016. "Advanced exergy analysis of an oil shale retorting process," Applied Energy, Elsevier, vol. 165(C), pages 405-415.
    7. Pan, Lingying & Liu, Pei & Li, Zheng, 2017. "A system dynamic analysis of China’s oil supply chain: Over-capacity and energy security issues," Applied Energy, Elsevier, vol. 188(C), pages 508-520.

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    Keywords

    Oil security; China; Supply chain;

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