China: Saudi Aramco has announced an ambitious plan to construct a $10-billion petrochemical and refining complex in China. The project is expected to be completed in three years, reflecting the nation's rapidly increasing demand for energy.

The new facility will have a capacity of 300,000 barrels of crude daily, with Aramco itself supplying 201,000 barrels per day. This investment demonstrates Saudi Aramco's commitment to meet China's ever growing energy needs.

Aramco, one of the world's leading oil and gas companies, has entered into an agreement with two Chinese companies to begin construction on a major project. This construction is set to begin in the second half of this year and will be completed by 2026.

The project itself is expected to support China’s growing demand for fuel and chemical products, as well as contributing to Aramco's wider strategy of downstream expansion in both China and the region at large. This move is expected to be a major milestone in terms of global petrochemical demand.

Aramco has been investing in refining and petrochemical projects to secure long-term demand for its core product. The latest news is further proof of this trend, as the company announced a deal with Chinese company Sinopec to build a 320,000-bpd refinery and petrochemical cracker in China. This agreement highlights the importance of China's role in the global oil consumption market. Aramco's move demonstrates its commitment to strengthening its position in the industry worldwide.

Petrochemicals are being seen as a good long-term bet for the oil industry, according to the International Energy Agency and other forecasters. This is due to expectations of a decrease in demand for transport fuels, with the IEA projecting that petrochemicals will account for more than a third of oil demand growth by 2030 and reach 50% by 2050 as electric transportation gets more popular.

China is becoming increasingly reliant on petrochemicals imports as the world awaits global transport electrification. Despite the rise in demand for this commodity, experts predict total oil demand - including from transport fuels - will remain largely unaffected. This means that China is likely to be the key destination for new petrochemical projects due to its status as the world's largest crude oil importer and one of the top three consumers.