China’s oil boomtown braces for crackdown from Beijing

China’s oil boomtown braces for crackdown from Beijing

The future of China's vast oil-refining industry may hinge on what government investigators find in the small seaside city of Panjin.

This little-known energy hub about 300 miles east of Beijing has emerged as the focal point of a probe that industry insiders say could shift the balance of power from the private sector to the state.

At issue are the private Chinese refiners known as teapots, which have steadily gained market share from state-owned giants like Sinopec Group since the country partially liberalized its oil industry in 2015.