The rapid economic growth of China in the past few decades has fueled the demand for energy that has outstripped domestic sources of supply. China has become a net oil importer since 1993, and the country’s dependence on energy imports is expected to increase significantly in the future. Globally, China is the second largest oil-consuming country in the world.
Domestically, the industrial development plays an important role in China’s social, economic, and energy evolutions. China’s oil consumption far exceeds its production, which can’t make both ends meet, and the gap is widening rapidly. Accordingly, to avoid causing any crises that might endanger national security, China has adopted a new system of policies, such as the strategy of globalization, focusing on looking for oversea oil resources. China has made great efforts in breaking the US-Japan alliance, and strengthening his diplomatic power. Besides, the setting of Strategic Petroleum Reserve (SPR) system, the research and development of substitutional energy and legislation of energy-saving are all elements of China’s long-term strategies for all kinds of circumstances in the future.
After the implementation of Open and Reform Policy, China has searched for not only new sources of energy locally, but also foreign sources of energy. China intended to assure the steady of energy by the integration of “two resources, two markets.” Otherwise, from the viewpoint of energy safety, China’s strategy for energy is not safe enough for the operation of policy implementation, even if it expands its oil resources from the Middle East, Africa, Central Asia and Russia, where political situations are still tense and complicated. As a result, the energy diplomacy has gradually become the core of China’s diplomatic policy.
Today, Taiwan’s dependence on imported oil is up to 98 %. In face of the effort of China’s oil policy on international political situations, the establishment and development of the respondent procedures of our country should be implemented. Such the condition will obviously make our situation more complicated, so Taiwan is supposed to face the issue by taking efficient actions without any hesitation.