On Contradiction of Chinese Crude Oil Output with Demand and Establishment of Crude Oil Strategic Reserves

With the progressive change of energy structure, the contradiction of crude oil output with demand in China further turns out. The analysis on the contradiction is carried out. The author considers that the work on three aspects should be taken into account to solve this problem, that is, the first, regarding Chinese petroleum companies need to be encouraged to participate to develop foreign petroleum resources, the second, opening up the "more ditches" with effective means for crude oil's import and the third, establishing the State Crude Oil Strategic Reserves as fast as possible. In the light of the "9. 11 terrorism event", the suggestions on establishing Chinese petroleum strategic reserves are presented in the article.