Throughout the development of the global economy, supply and demand of goods can often be characterized as countervailing. Prices are often determined by the proportion between production and consumption rather than the numerical difference between the two forces. This framing can be useful when determining the overall costs to producers and consumers alike when focusing on key commodities like petroleum. China’s covid era has demonstrated the relationship between supply and demand in the context of international and domestic policy. China’s original lockdown in 2020 primarily demonstrated the role of consumption, whereas the 2022 COVID emergence crisis highlighted the potential role of production in the global petroleum market.

The recent 20th National People’s Congress suggested the importance of the state’s role in transitioning the country towards a green economy. The congress highlighted its plans to bolster its financing, resources, research, and conservation in the green energy sector. China currently pays close attention to the green energy sector in the new energy policy since it relates to China’s national security.