Oil majors exposed to private price alliance

After a recent rise in oil prices (cracking oil prices), PetroChina continued its preferential policies at some of its petrol stations, at a cost of 0.15 to 0.4 yuan per litre, while Sinopec continued to maintain the highest price limit.　　In this regard, PetroChina Beijing company said to reporters that the reason PetroChina's gas stations for the concessions and Sinopec does not follow up the promotion of market competition, one is because Beijing is a traditional Chinese petrochemical site, and the second is because PetroChina and Sinopec have a deal. The person further described, PetroChina and Sinopec in each other's sites have similar behavior, that is, in the strong region of Sinopec allow PetroChina to reduce prices to a certain extent, Sinopec does not follow;　　"This is to ensure market competition," the person explained. For a long time, China's oil market by PetroChina, Sinopec two major separatist.　　East China, north China, central China, South China and other regions are the scope of the influence of Sinopec, and northwest, northeast, Southwest is the site of PetroChina. However, when the reporter confirmed the matter to Sinopec, the company's one Management people denied. "I have never heard of it," he said. PetroChina and Sinopec are two competing companies, and each company has its own strategy. In Beijing, for example, PetroChina has adopted a discount strategy, but Sinopec has paid more attention to quality, so it has not cut prices. "The market needs a cheaper restaurant, but it also needs high-end restaurants," he said. "The Sinopec also pointed out that there are foreign and private gas stations in the market competition, so the so-called" agreement "is not possible to achieve. and a private gas station responsible for this does not agree, he said, "We do not have any impact on this monopolistic market, because there is no actual import power of oil sources, private gas stations must be back ' two big ' nasal polyps."　　And looking around, the two big gas stations all over the city center area. Huangshunjing, vice president of China's gas station network, told reporters that although he did not understand whether there is such an agreement exists, but the two major oil companies have formed a price alliance, in the terminal pricing is more with the same retreat, not enough competition. Huangshunjing also pointed out that the two giants actually have many "partner" behavior, the most common is "oil replacement." He explained that in order to reduce each other's logistics costs, PetroChina and Sinopec in each other's strong areas to provide oil to each other. For example, in the traditional Chinese petrochemical site in Guangdong, PetroChina can be replaced by "replacement" of the required oil, and, accordingly, PetroChina will be in its own site for Sinopec to facilitate. "The new CNOOC also has to follow the rules to maintain the alliance," he added.　　Huangshunjing added. In this respect, de run law firm Liu Jiahui lawyer said, "If the agreement does exist, it is a violation of the anti-monopoly law." Even if there is no direct evidence that the two companies are affecting the price, it will infringe on the interests of consumers by partially benefiting the common interests.