China Bunker Fuel Market Overview, 2030

China’s bunker fuel market has been evolving rapidly, shaped by the country’s immense maritime trade volume, strategic geopolitical positioning, growing shipbuilding capacity, and the Chinese government’s increasingly assertive stance on environmental regulation. As a global economic powerhouse with a vast network of bustling seaports and a critical role in international trade, China’s dependence on maritime transport is unparalleled. This dependence naturally drives a strong and diverse demand for bunker fuel, which is the fuel used by ships for propulsion and onboard operations. Over the years, China has developed some of the busiest and most advanced ports in the world, including but not limited to Ningbo-Zhoushan, Shanghai, Guangzhou, Tianjin, and Qingdao. Among these, Ningbo-Zhoushan has distinguished itself as a frontrunner in bonded bunker fuel sales, leveraging its high throughput and deep-water capacity to attract a wide range of international shipping companies. The shift in international maritime policies, particularly the International Maritime Organization’s 2020 sulfur cap regulation, has dramatically altered the dynamics of China’s bunker fuel market, pushing the sector to move away from high-sulfur fuel oil toward more compliant alternatives like very low sulfur fuel oil (VLSFO). This regulatory shift has led to significant investments in upgrading domestic refining capabilities and expanding distribution infrastructure, especially in coastal regions. The participation of large state-owned enterprises such as Sinopec, PetroChina, and CNOOC has further reinforced China’s position in the global bunker fuel supply chain. These companies are not only refining and blending different types of marine fuels but also building comprehensive logistics systems including storage tanks, delivery barges, and automated fueling terminals to ensure that Chinese ports remain competitive in attracting global maritime traffic.

According to the research report "China Bunker fuel Market Overview, 2030," published by Bonafide Research, the China Bunker fuel market is anticipated to grow at more than 3.88% CAGR from 2025 to 2030. At the same time, China’s bunker fuel industry is transitioning beyond conventional oil-based products and increasingly embracing innovation, sustainability, and fuel diversification. The government has introduced a variety of national and regional policies that align with its long-term goals of reducing carbon emissions and promoting green shipping. One of the significant steps in this direction is the expansion of Emission Control Areas (ECAs) around key coastal and riverine regions, which mandate stricter fuel standards and penalize non-compliance. These zones, including areas around the Pearl River Delta, Yangtze River Delta, and Bohai Sea, have forced shipping companies to adjust fuel strategies, prompting a rise in demand for cleaner alternatives. As a result, there has been a growing interest in alternative bunker fuels such as liquefied natural gas (LNG), biofuels, hydrogen, and methanol, supported by pilot programs and demonstration projects initiated in collaboration with port authorities, shipping companies, and fuel technology providers. Some ports have already started offering LNG bunkering services, and infrastructure for storage and refueling is being gradually expanded. Additionally, China is embracing digital transformation in its bunkering sector, adopting advanced technologies like artificial intelligence, blockchain, Internet of Things (IoT), and cloud-based platforms to enhance the efficiency, traceability, and transparency of fuel transactions. This is especially important in an environment where accurate documentation, real-time monitoring, and compliance with international standards are critical. Tax exemptions on bonded fuels, financial subsidies for clean fuel adoption, and the promotion of integrated energy supply chains at major port clusters are also part of the broader strategy to strengthen China’s position as a global marine fuel powerhouse.

In China, the bunker fuel market is highly diverse, offering a range of fuel types that cater to the needs of the country's extensive maritime industry. One of the main fuel types used in the market is high sulfur fuel oil (HSFO), a residual fuel with sulfur content exceeding 0.5%. Despite the growing pressure from global environmental regulations to reduce sulfur emissions, HSFO remains a prevalent choice for many ships operating in Chinese waters, particularly for vessels equipped with exhaust gas cleaning systems (scrubbers). These systems allow ships to continue using high sulfur content fuels by filtering out sulfur oxides from the exhaust, thus helping operators meet the increasingly stringent emission standards set by international maritime organizations. Alongside HSFO, marine gas oil (MGO) is another common fuel in China’s shipping sector. MGO, which has a lower sulfur content compared to HSFO, is widely utilized by vessels operating in emission-controlled areas or international waters where strict environmental standards are enforced. Over time, however, there has been a noticeable shift towards cleaner fuel alternatives such as liquefied natural gas (LNG). As China seeks to reduce its environmental footprint and meet global emissions targets, LNG has been gaining traction due to its significantly lower sulfur content and carbon emissions when compared to traditional fuels. Moreover, China has been exploring other alternative fuel options, such as biofuels, methanol, ammonia, and hydrogen, as part of the country’s broader strategy to transition to cleaner energy sources and support the global maritime industry’s move toward sustainability.

The application of bunker fuels in China’s maritime sector is shaped by the specific requirements of different types of vessels operating in the country’s expansive and busy waters. Container ships, for example, are a dominant force in China’s shipping industry, as the country is a leading global hub for containerized cargo. These vessels, which are designed to carry large amounts of cargo in standardized containers, require a steady and efficient supply of bunker fuel to ensure smooth operations. The large volume of containerized goods being transported from Chinese ports to destinations worldwide creates a substantial demand for fuel, particularly in key ports such as Shanghai and Shenzhen, where shipping traffic is dense and consistent. Similarly, bulk carriers, which are designed to transport unpackaged bulk goods like coal, iron ore, and grain, also account for a significant portion of the demand for bunker fuel in China. As one of the world’s largest importers of raw materials, China’s reliance on bulk carriers is immense, further driving the country’s need for a reliable supply of bunker fuel. In addition, oil tankers are another crucial segment of China’s maritime fuel demand. These vessels, responsible for transporting crude oil and petroleum products, are a critical part of the country’s energy supply chain, fueling industries and power generation across the nation. Chemical tankers, which handle the bulk transportation of specialized liquid chemicals, also contribute to bunker fuel consumption in China, as these vessels often require customized fueling solutions due to the complexity of their cargo. Furthermore, general cargo ships and other specialized vessels, such as ferries, cruise ships, and research vessels, create additional demand for a diverse array of bunker fuels to meet the varying operational needs of each vessel type. This wide array of applications highlights the complexity of China’s bunker fuel market, with different types of ships requiring distinct fueling solutions depending on their size, purpose, and operational region.

The distribution of bunker fuel in China is characterized by a multi-tiered structure involving large multinational oil companies, independent distributors, and regional suppliers. The major oil companies, including Shell, BP, and Sinopec, play a significant role in the country’s bunker fuel supply chain, controlling the refining process, production, and distribution of fuels at China’s major ports. These large oil majors have extensive networks and significant infrastructure in place, allowing them to serve vessels that operate in high-traffic ports such as Shanghai, Guangzhou, and Hong Kong. Their global reach ensures that the fueling needs of both domestic and international ships can be met efficiently. In addition to the oil majors, large independent distributors like Bunker Holding and World Fuel Services operate across multiple ports in China, providing maritime fuel services to a wide variety of vessels. These distributors often have a strong regional presence and cater to the needs of both large shipping companies and smaller maritime operators. Despite the dominance of large players, smaller independent distributors also contribute to the bunker fuel supply chain in China. These local distributors typically operate in specific ports or regions, offering services to vessels that require more localized fueling solutions. They may not have the extensive reach or infrastructure of larger players, but they are crucial for ensuring that ships operating in more remote or less congested areas of China’s coastline can access the fuel they need.



Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report
• Bunker Fuel Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• High Sulfur Fuel Oil (HSFO)
• Marine Gas Oil (MGO)
• Liquefied Natural Gas (LNG)
• Other Fuel Types

By Application
• Container Ships
• Bulk Carriers
• Oil Tankers
• Chemical Tankers
• General Cargo Ships
• Others

By Distribution Channel
• Oil Majors
• Large Independent Distributors
• Small Independent Distributors

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agriculture industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.