New refining capacity depressed margins for Chinese refiners, with profits down 42 percent on the year in 2019, Reuters reports , citing the China Petroleum and Chemical Industry Federation. Capacity increased by almost 900,000 bpd last year but combined with weak demand and record-high run rates, this trend has pushed profits lower. This overhang in capacity will continue to pressure refiners’ margins, the industry group said. “For the full year and longer term, overcapacity will still be the dominant issue in the industry,” the vice chairman of the CPCIF said. Total refining capacity on the world’s largest oil importer stood at 17.2 million bpd as of the end of 2019. The coronavirus outbreak will not help matters, either. Demand for fuels has taken a severe beating since the start of the year, with refinery run rates falling to the lowest in six year last month, at around 10 million […]