China is targeting a peak in oil consumption as it strengthens its energy security and expands its oil and gas infrastructure under a new five-year plan.

The plan, released by the National Development and Reform Commission and the National Energy Administration, aims to increase domestic oil production while expanding the country’s capacity to import and store natural gas.

China plans to have 200 million tonnes of LNG terminal capacity and 114 billion cubic metres of pipeline capacity by 2030. It also wants natural gas storage capacity to exceed 13% of national consumption.

The government is also preparing for a possible peak in oil demand, with some analysts suggesting consumption could reach its highest point as early as this year.

The strategy reflects Beijing’s efforts to reduce its exposure to global energy disruptions by increasing domestic production, building strategic reserves, expanding electrification and diversifying energy sources.

China’s large stockpiles have helped shield its energy market from recent disruptions linked to the conflict in Iran and the closure of the Strait of Hormuz, an important route for global oil and gas shipments.

Despite its rapid expansion of renewable energy, China remains dependent on imported oil and gas. The new plan therefore combines its clean-energy ambitions with continued investment in fossil fuel infrastructure.

Beijing’s approach is aimed not only at reducing emissions but also at improving energy independence and ensuring that the country can withstand future supply shocks.

Oil prices remained elevated, with Brent crude trading at about $94.39 per barrel and WTI at around $87.06 per barrel.