Successful layout in the Asia-Pacific market, CPC Marine Oil ranks among the international oil products

After decades of hard work, CPC Lubricant Division has become a market leader in Taiwan’s lubricating oil market, where a hundred schools of thought contend By.

At the same time, in order to continue to expand the market and increase sales, the Lubricant Division has not only established distribution systems in mainland China, Vietnam, Indonesia, Malaysia, the Philippines and Myanmar, but also established a lubricant factory MAXIHUB Co. Ltd in Vietnam through a joint venture ( It is expected to be commercialized in January 2022), which will continue to lay a solid foundation for expanding the Asia-Pacific market and deepening the ASEAN.

In recent years, with the development of the marine oil business, the Lubricant Division has also actively established a marine oil supply network in the Asia-Pacific region and the world through strategic alliances. The supply points in regions such as Singapore, Hong Kong, Mainland China, Vietnam, etc. are quite mature, and they regularly supply the oil products required by customers.

Entering into marine oil to open up new opportunities

For the Lubricant Division, in order to pursue the goal of global sustainability and environmental protection, the Lubricant Division currently has research and response projects on issues such as “recycling” and “environmentally friendly”.

However, the issue of environmental protection has actually affected the automotive industry, which accounts for one-third of lubricant sales. In the next 20 years, electric vehicles may completely replace fuel vehicles. Foreseeing the recession of this huge market, CPC will be in the market for existing lubricants. Looking for development opportunities in the market, the marine oil market is facing the new direction of the disappearance of the fuel vehicle market.

In fact, the threshold for expanding the marine oil market is higher than the vehicle and industrial oil market. First of all, the types of lubricants in the marine oil market must have both industrial equipment and engine equipment, and the product line must be complete and comprehensive. Furthermore, due to the high cost of ship equipment, the cost of mechanical failure is much higher than that of vehicles. Therefore, ships have higher quality requirements for lubricating oil, and oil products often have to pass the original equipment certification. Secondly, due to factors such as international operations, large demand for single oil products, and low supply time flexibility, ships must have a complete supply chain from production to storage and an international supply network to meet customer needs.

Adhere to quality control to win the greatest trust of customers

Therefore, the marine oil market is not like a hundred schools of thought contending in the industrial or vehicle market. In the past, it has always been concentrated in the hands of a few international manufacturers. In order to keep up with the footsteps of major international oil companies in the shortest possible time, CPC has continued to work hard on oil supply capacity and certification, so as to gain opportunities to compete with international oil companies, and obtaining product certification is the most important thing. Not only enhances the competitiveness of CPC, but also greatly enhances its technical capabilities during the certification process, and is on par with international manufacturers in terms of oil product quality.

“CPC’s insistence on lubricating oil quality and its attitude of maintaining stable supply will never be lost to international oil merchants.” Chen Xinwei, Shipping Director of Lubricant Division, explained that CPC is a state-owned enterprise, and its attitude towards raw material quality control and adherence to high standards is absolutely It will not be mercenary.

He mentioned that after the outbreak of COVID-19 last year, countries successively blocked borders, restricted flights, and the sudden drop in fuel demand caused the international crude oil price to plummet, resulting in a substantial reduction in the production of the entire oil refining industry. As for crude oil, it affects the whole body. As a result, in the first half of this year, the shortage of lubricating oil raw materials and the soaring price of lubricating oil caused the situation. Faced with such a difficult environment, CPC still buys spot goods internationally regardless of cost to maintain production capacity and quality. Therefore, during the days of serious shortages, there was no shortage of supply, which enhanced the trust and peace of mind of customers.

More than 60 certifications enhance international competitiveness

CPC has been actively carrying out certification since 2014. With the joint efforts of CPC Refining Research Institute, the world’s three major additive companies and the shipping team of the Lubricant Division, CPC has successively won the world’s largest market share of Denmark’s MAN ES company and Switzerland’s WinGD The company, Japan J-ENG, Germany MTU, Japan KEMEL, Bosch Rexroth, Parker Denison, etc. have a total of more than 60 international certifications. In addition to the above-mentioned international certifications, CPCLUBE brand marine oil has won the best product award of the 17th National Brand Yushan Award with “CPCLUBE brand marine oil CO1000 SP” in 2020.

Everything is difficult at the beginning, and it is also the case in the process of obtaining marine oil certification. At the beginning, it takes a lot of effort to get in touch with the original equipment factory. Fortunately, the CPC Storage and Transportation Office, CPC Refinery Research Institute, additive partners and customers. With the assistance of all parties, we finally opened the door of communication with the original equipment manufacturer, and then finding a suitable customer for the certification test and obtaining the consent to assist the test is another problem. Finally, after continuous discussion, explanation and clarification of responsibility Only with consensus can we have the opportunity to truly enter the certification testing stage.

In the certification process, the 4,000-hour real-ship test experienced in cooperation with Yangming Shipping to obtain WinGD certification is the most memorable. In addition to rigorous procedures such as MOT), end of test (EOT), etc., when the actual ship test is carried out to EOT, if the operation time exceeds expectations, the EOT cannot be completed in time within the berthing time in the port, and emergency coordination is required. The ship was berthed to the outer sea anchor area to continue the operation. The wind and waves of the outer sea caused the hull to shake seriously, and the operators suffered a lot in the process of dismantling and resetting the cylinder. It was finally completed after 26 hours. The arduous EOT operation completed by joint efforts also made the original factory full of praise and became a good story.

Establish a global supply network to win international airlines

“When everyone’s qualifications and skills are the same, the comparison is logistics supply and service.” Taiwan accounts for three of the world’s top 20 airlines, but more than half of the international oil companies do not have dedicated technical personnel in Taiwan, while CPC In addition to technical service personnel, it also has the professional R&D capabilities and national-level experimental equipment of the Refinery Research Institute. With the advantages of language and geographical location, it will actively strive for Taiwan’s international aviation business, and hope to keep pace with international oil businessmen.

To have a major breakthrough in the shipping market, the key lies in a more complete and international supply network. Next, CPC will seek to establish its own supply network in major international ports, such as Singapore, the East of the United States, the Middle East and other regions, in order to win international shipping. business customers.

In the face of global climate change, countries are committed to reducing carbon emissions, and ships are also one of the sources of pollution. From 2020, the International Maritime Organization IMO requires that the sulfur content of ship fuel should be reduced from 3.5 wt% to below 0.5 wt%, and the sulphur content of engine cylinders As the fuel changes, lubricants must also comply with the new conditions of use. It is the responsibility of CPC to keep up with the trend, integrate R&D and production departments, and launch new lubricants to meet the specifications of international organizations and original manufacturers.

All-round solution to achieve net zero emissions

In the long run, the Lubricant Division of CPC will still play a key role in continuously improving the existing core capabilities in an all-round way to challenge the future trend of lubricating oil demand.

Chen Xinwei said that although the “quantity” of lubricating oil has decreased, the requirements for “quality” have continued to increase. In addition to providing lubricating oil to customers, it also helps customers solve the problem of oil use of equipment through its own research and development capabilities and service experience, and proposes improvement policies. At the same time, it provides substantial assistance to customers in predictive maintenance.

Under the framework of Total solution, develop a more reliable partnership with customers, provide “high-quality” products and continue to “innovate and improve” to meet and respond to market needs, and uphold the “service enthusiasm” to help customers solve problems. The most valuable “trust” of customers, the Lubricant Division will continue to uphold the core values ​​of “quality, innovation, enthusiasm, and trust”, and move towards the goal of “becoming a reputable international lubricating grease company”.

Global warming is an issue that the world must face together. As the largest energy provider in Taiwan, CPC is of course duty-bound to face this issue. It will take hydrogen energy supply as the future development direction. It hopes to use carbon capture technology and renewable energy. It will gradually convert the grey hydrogen of the petrochemical industry into blue hydrogen and take the green hydrogen that can provide sustainable zero carbon emission as the ultimate goal.

Looking forward to the future, “MAXIHUB Co., Ltd.”, a joint venture company of CPC Lubricant Division in Vietnam, will soon start operations. In addition to supplying the local market in Vietnam, it will use Vietnam as a springboard, through the existing Vietnam, Indonesia, Malaysia, the Philippines and Myanmar. The distribution system in other places operates the entire ASEAN market, avoids tariff barriers, and lays a stable foundation for CPC to gradually become an international energy company.