National consumption has risen modestly in 2014 claims Sinopec.
Although China's GDP growth has been slowing quicker than many expected, total lubricants consumption should hit 7.6m tons in 2014, according to Sinopec Lubricant Co's director of marketing Xu Jian. However, Xu also warned that growth in 2013 was essentially flat and said not to rule out the possibility of negative growth in the short term.
Xu believes that China's lubricants companies will also have to adapt to a slowdown and tough competition from international rivals. Sinopec is now focusing on innovation and product development, especially in the new materials and energy segment.
The Chinese lubricants giant is positioning itself as a "one-stop" service for its customers that provides end to end solutions for lubes consumers. For Xu, integrating the company's online and offline activities will form a core part of its strategy for engaging lubricants consumers.
After years of double digit growth many Chinese companies are now facing a "new normal" GDP growth of around 6.5-7.5%, creating more pressure for lubes producers to differentiate themselves from other rivals.