The friction layer

China expertise as a trading discipline.

Direct foreign-counterparty deals into Chinese refinery and petrochemical complexes stall on a predictable set of issues. We operate the desk that dissolves them.

Section 1

Quota & policy mechanics

Chinese non-state crude oil imports are governed by quota allocations issued annually by the relevant ministries. Refinery-level eligibility, allocated volumes, and policy direction shift each cycle. Petrochemical exports operate under their own quota and VAT-rebate regimes. Foreign counterparties cannot read these mechanics off public information; we do.

  • Annual non-state crude import quota allocation cycle and revision points
  • Refinery-level eligibility and remaining quota visibility
  • Petrochemical export quota and VAT-rebate window discipline
  • Policy direction reading across the year — what is tightening, what is loosening
Section 2

Refinery & plant configuration matching

A cargo's value is set by the configuration of the receiving refinery, not by the spec sheet alone. Coker margin economics, hydrocracker yield slates, FCC unit constraints, aromatic complex feedstock fits — each refinery has a specific window. We match cargoes to that window.

  • Coker, hydrocracker, FCC and aromatic unit configurations
  • Sulfur, API, TAN and metals tolerance per refinery
  • Yield slate fit against current refinery margin economics
  • Plant-side product spec windows for outbound petchem flows
Section 3

Payment & FX discipline

Settlement in China is not a single mechanism. USD offshore LC, RMB onshore settlement, prepayment versus acceptance terms, opening bank preferences, FX timing — all interact with Chinese banking and FX administration. Payment friction is where many foreign-side deals quietly fail.

  • USD offshore LC vs. RMB onshore settlement structure choice
  • Opening bank selection and bank-to-bank correspondence patterns
  • Sight, usance and acceptance term selection
  • FX hedge timing alignment with shipment and discharge windows
Section 4

Performance assurance

Default scenarios, rejection events, claim procedures and remedy paths under Chinese commercial framework are different from common-law jurisdictions. We map the resolution path before the cargo ships, not after a problem emerges.

  • Default and rejection paths under PRC commercial law
  • Claim and remedy procedures with Chinese counterparties
  • Inspection and surveyor coordination as evidentiary anchor
  • Dispute escalation and arbitration jurisdiction selection
Section 5

Language & cultural fluency

Substantive Chinese-side negotiation is not the same as translated negotiation. Contract terms, technical specs, dispute discussions, refinery-side operations — all happen in operational Mandarin, with a different rhythm of decision-making. We operate inside that rhythm.

  • Substantive negotiation in Mandarin with Chinese counterparties
  • Technical spec discussion at refinery / plant operational level
  • Dispute and remedy discussions before and during a transaction
  • Internal counterparty escalation paths in Chinese state-linked entities
Section 6

Port & logistics discipline

Discharge into a Chinese port is a coordinated execution: terminal slot, surveyor appointment, customs declaration, demurrage clock, tank availability. The same coordination applies in reverse for outbound petchem shipments.

  • Discharge port slot scheduling and demurrage management
  • Surveyor coordination and quality / quantity certification
  • Customs declaration documentation and clearance sequencing
  • Terminal protocol and shore-tank coordination at discharge
Counterparties seeking structured Chinese flow

Open a confidential conversation.

We respond within two working days for serious counterparties.