Sinopec reorganizes sales organization

The Sinopec Group is to implement a radical sales reorganization plan, intended to give an edge to the company’s competitiveness and consolidate its position as China’s largest oil refiner. An unnamed company source said that the company is to dismiss three regional sales companies, including Northwest Sales Co., Northeast Sales Co. and Sichuan-Chongqing Sales Co., while Sinopec Group’s listed subsidiary China Petroleum & Chemical Corporation will take over administration of the parent company’s 11 provincial sales offices across the country. The source said the Sinopec Group, cornered by strong competition from its rivals, is trying to maintain its market dominance in downstream oil sales in the country. The reorganization is part of a wider plan for Sinopec to establish a nationwide sales network, not only in its traditional territory, but also in areas dominated by PetroChina. (November 23, 2009)