Sinopec is China's largest refiner and downstream chemicals operator, with secular exposure to Chinese transportation fuel demand and petrochemical capacity additions. Refining margins benefit from import quota management, but EV penetration in China is structurally compressing gasoline demand. Capital discipline has improved, and dividend payout ratios are supportive. Geopolitical alignment with Russian crude flows provides cost advantage but creates ADR sanctions risk.
Thesis reviewed May 29, 2026
China Petroleum & Chemical Corporation (Sinopec) is headquartered in China, which is currently showing elevated risk signals.
π¨π³China71NEUTRALView China risk detail ββ‘Energy77REDUCE| Ticker | Company | Score | Gap | Signal Ξ | Action |
|---|---|---|---|---|---|
| WDS | Woodside Energy Group Ltd | 72 | +10% | β61% | WATCH |
| SU | Suncor Energy Inc. | 72 | +14% | β61% | WATCH |
| CVE | Cenovus Energy Inc. | 72 | +17% | β61% | WATCH |
| PTR | PetroChina Company Limited | 72 | +8% | β61% | NEUTRAL |
| ECOPETROL | Ecopetrol S.A. | 72 | +7% | β61% | NEUTRAL |
| TTE | TotalEnergies SE | 72 | +10% | β61% | WATCH |
| FTI | TechnipFMC plc | 72 | +20% | β61% | WATCH |
Investors who hold SNP may also have indirect exposure through these country funds.
Sinopec processes record Russian ESPO crude in Q1
Chinese gasoline demand declines 3% YoY on EV adoption