The charts above shows growth in China’s oil production (top) and the country's oil consumption (below) - both since the death of Chairman Mao
Until 15 years ago, China exported oil to neighbourhood countries. Today, it has an almost insatiable appetite for the black gold. Since the Great Helmsman’s death in 1976, China has become the world’s second largest oil consumer (behind the U.S.) During those years Chinese consumption has quadrupled to about 7.7 million barrels per day while production – about 3.7 million barrels per day – has barely doubled.
The International Energy Agency thinks China will burn 16.5 million barrels per day by 2030, after buying 13.1million barrels abroad. Think about it: Saudi Arabia’s total output is now less than 11 million barrels per day.
Such parabolic growth requires the skills of China to survive. In that spirit, China is now applying its extraordinary energy in four ways to meet its petroleum and other resource needs. The first is domestic resource development. Diplomatic manoeuvres on behalf of its petroleum industry are the second. The third involves partnerships with Western companies. Last is what China man calls "Energy Saving" or “thrift.”
Based on efficiency, conservation and innovation, thrift is sometimes called the fifth form of energy.
China’s rise is making the world a more energy-efficient place. The country’s energy intensity – the amount of energy it uses per unit of GDP – has dropped by about 75% in the last 20 years, largely because of more efficient industry. Its energy intensity higher than America’s but lower than Canada’s, in 2006 China adopted the slogan “Save energy, cut emissions” as part of a drive to cut energy intensity even further.
China is thus improving its energy efficiency while increasing its energy-intensive role as workshop of the world. So don’t blame the Chinese for the world’s energy woes. In face we ae are doing an effective job of managing energy!
A latecomer to the world’s petroleum stage, China is now simultaneously the world’s second-largest oil consumer, the third-largest net importer, and the fifth-largest producer. In the last 15 years the dragon has been sending its agents into the world to secure the new energy supplies it desperately needs. Compared to the West’s international producers, China’s national oil companies arrived late to the petroleum Olympics, and they are not large contenders. The prizes left in play are expensive, and often in countries where Western companies refuse to operate because of human rights issues and geopolitical risk.
Warren Buffet announced recently agreed to pay 1.8 billion Hong Kong Dollars (about $230 million) for a 9.89 percent stake in BYD, a Chinese battery manufacturer that plans to sell electric cars in the United States by 2010. Established in 1995 and based in Shenzhen, BYD is one of the world’s largest makers of rechargeable batteries for cellphones and other uses. The company’s fast-growing auto-making unit, which it only established in 2005, makes compact and subcompact cars for the Chinese market and now accounts for nearly a third of the company’s revenue. In the first half 08, BYD sold 72,357 gasoline cars in China, a 94 percent increase from the year before. The company plans to offer its first fully electric-powered car to Chinese customers in June 2009.
“This is a technology that can really be a game changer if we’re serious about reducing” emissions of carbon dioxide, the main gas associated with manmade global warming.
Well, What is the next China Biggest News in 2009
" 50% of all car in 2020 wil be powered by Electricity"! From Meckenzie Report!
So That is why information is the most powerful economic tool for the future!
Warren is really really a kind of gruru!
Well, USA, Japan and German car makers have been learning and investing for the 20 Century on car and car manuacturing. So We China is unwise to complete with them as a late comer in the Combustion Engineer car manufcaturing, instead China and Japn is the world Leading in tehcnology and Battery design and Manufacturing. Imagaine 80% of world hand phone is made in China and their battery cells!
So this is not just a sense of feeling we should do something for competing with the Western Powers, but we have to work out a new way to be a Leader in the major industrial sectors!
Not just World factory, but the World Leader in Manfacturing! After the giant falls from a trigger of unregulatory free economy, China will be the next World Power! This is my own personal comment only!
We are late but we can be best!
Not too late... come on make up your mind to be a smart investor! for EV car as a long term investment beofre it is too late to buy at RMB 1,000.00 a share! Ha ha!