An independent Chinese refiner may have avoided paying some $2 billion in taxes by falsifying the kind of fuels it sells, Bloomberg has reported , citing a report in a Chinese outlet owned by state news agency the People’s Daily. The company, Hengli Petrochemical Co., according to the report, sold gasoline and diesel under false names, as fuels that carry a lower tax burden, which resulted in it saving some 13 billion yuan, or about $2 billion. If the report proves accurate, this could prompt a further government clampdown on independent refiners after taking action to curb their fuel production. The move was prompted by production, especially at independent refineries, rising faster than demand for fuels, creating a fuel glut and undermining refiners’ margins. In order to reduce the glut, Beijing ordered state-owned refiners to stop trading their crude oil import quotas with independents and also reduced independents’ import […]