Asia Pacific Refining Capacity Expansion
In 2025, Asia Pacific added over 50 million tonnes per year of new refining capacity. Large integrated refining projects including China's Guangdong Petrochemical and India's Reliance Industries Jamnagar expansion commenced operations, strengthening regional refining capability.
Europe & US Refinery Closures
Older refineries in Europe and North America are closing due to stricter environmental requirements and rising operating costs. Over the past three years, Europe has closed more than 1 million b/d of refining capacity, while several North American refineries have converted to renewable diesel plants.
Refining-Chemical Integration Trend
New refineries generally adopt refining-chemical integration models, deeply integrating refining with chemical production to increase product added value. This model is widely applied in the Asia Pacific region and has become the mainstream industry development direction.
Refined Product Trade Pattern Changes
With Asia Pacific refining capacity expansion and Europe/US capacity contraction, the global refined product trade pattern has changed significantly. The Asia Pacific region is gradually transforming from a net importer to a net exporter of refined products, with diesel and jet fuel exports growing substantially.
Low-Carbon Transition Challenge
The global refining industry faces low-carbon transition pressure. Demand for biofuels, renewable diesel, and sustainable aviation fuel is growing rapidly, and traditional refineries need to increase investment in technological upgrades to adapt to market changes.
