In Sinopec Chairman Fu Chengyu's reorganization of Sinopec, the reorganization of the lubricants sector seems to have taken the lead.
"The integration of Sinopec lubricants sales channels will be completed by the end of June. There are currently five Sinopec provincial-level oil companies transferring their sales to Lubricating Oils," said a senior executive of Sinopec Lubricants.
In early April 2012, Sinopec initiated the integration of the lubricants sales business, handing over related customers and market management functions of the lubricants business to the Great Wall Lubricant Company from various provincial and municipal oil companies, and no longer accepting the Great Wall lubricants from the provincial and municipal oil companies. The distribution function was undertaken by the Lubricant Company in the five major sales centers throughout the country.
According to Song Yunchang, general manager of Sinopec Lubricants Company, Great Wall Lubricants integrated sales channels to establish a management model and operating mechanism integrating the “law of production, sales and research†in line with market laws, and to create a specialized channel system for the development of Great Wall Lubricants. Pave the way for growth.
The Sinopec lubricants business, which started with the production of national defense lubricants, took place a decade ago. In May 2002, Sinopec integrated a number of its lubricant brands and businesses and established a specialized lubricants subsidiary. It stepped out of the first step in the development of marketization, but at the time, lubricant sales channels were still based on its traditional Refined oil sales company.
Li Tianfu, deputy director of the Office of General Manager of Sinopec Lubricants Company, and director of the branding and promotion department told the newspaper yesterday that Sinopec's lubricating oil products have undergone a process of converting from military to civilian use. Currently, Great Wall Lubricants has occupied the domestic high-end lubricants market. More than one-third of the shares have established cooperation with more than 90% of mainstream auto makers, so the sales channel is also recovered to better meet market needs.
“Great Wall Lubricant Oil Recycling Channels can increase the efficiency of sales, but it will also increase the market pressure of Great Wall Lubricants and pose greater challenges to their operating and management capabilities.†Ren Haoning, a research fellow at China Investment Advisor Energy Industry, said.
In fact, recycling sales channels may only be a prelude to the overall listing of Sinopec lubricants. There are market rumors that Fu Chengyu has approved the listing of its lubricant product business in early 2012. However, Sinopec Group has not yet responded positively to this.
The above-mentioned high-level branch of Sinopec Lubricants Company told this reporter that whether or not to go public is decided by Sinopec headquarters. The integration of sales channels by lubricants subsidiaries can be said to be a certain preparation for listing, but it has no direct relationship with listing. .
Regardless of whether the lube business is finally listed, Sinopec Group’s determination to reorganize its major business segments is already evident in the world. The lube oil business may be just one of Sinopec’s reorganized pawns.
In February 2012, Huang Wensheng, a spokesperson for Sinopec Group at the time, said that Sinopec Group has officially started a professional restructuring, in which the consolidation of petroleum engineering services and other sectors has started, and in the future, the other sectors will have to be restructured in order to realize each The professional management of the plate.
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