High Oil Price Posts Press on Industries

Increases in prices of petroleum products on the world market are threatening the security of China's oil supply, which has prompted an urgent adjustment of the country's energy strategy.

The dramatic fluctuations in international crude oil prices negatively affected China because the country has become increasingly dependent on imported oil since 1993.

An industry official was quoted as saying that China can not accept endlessly rising oil prices on the world market.

The country imported nearly 40 million tons of crude oil and oil products last year, or 20 percent of the country's total consumption, said Chen Geng, deputy director of the Station Administration of Petroleum and Chemical Industrie.

The demand for crude oil is expected to grow at an annual rate of 4 percent during the 21st century. It expects to import 42 million tons of crude oil this year.

China plans to develop other energy resources, such as natural gas and hydropower to augment or replace its use of crude oil.

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