Sinochem Oil Co., Ltd., a subsidiary of Sinochem Energy, recently sold 3,000 EU emission allowances to China Merchants Energy Shipping Co., Ltd. through its Dutch affiliate. The allowances will be used to help the buyer meet its emissions compliance obligations on EU shipping routes. This marks the oil company's first EU carbon credit trade and delivery, representing a significant milestone in the strategic partnership between Sinochem Holdings and China Merchants Group.

At the end of 2024, Sinochem Oil received approval from the EU to establish a carbon credit trading account through its Dutch subsidiary. The move aims to support trade-related transport under the EU Emissions Trading System (EU ETS) and to explore new business opportunities.?After this, the company swiftly implemented processes for spot trading, delivery, and futures hedging. In addition to meeting its own shipping compliance requirements, the company has built strong partnerships with major clients, including centrally administered state-owned enterprises like China Merchants Group, and China COSCO Shipping Corporation Limited, as well as others in the shipping, logistics, and oil and gas sectors.

Looking ahead, Sinochem Oil plans to strengthen its global carbon asset trading capabilities and expand into international carbon markets and the Carbon Border Adjustment Mechanism (CBAM), offering high-quality carbon trading and asset management services to partners across the value chain.