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Another refinery closure in California increases the states' dependency on China

By Ronald Stein and Kasun Ubayasiri - posted Tuesday, 6 May 2025


The upcoming closure of Phillips 66 Refinery in 2025, and the Valero Refinery in 2026 will not reduce the materialistic demands of society for the products and fuels from those refineries. The state will obviously be importing less crude oil to refine, but instead, will be importing transportation fuels manufactured in China, the same transportation fuels that are no longer manufactured at those two closed California facilities. Yes, the big winner to meet the continuously increasing demands for the products and fuels from refined oil, appears to be China.

On another front, the current "tariff wars with China" received repercussions from China. China controls most of the rare earth's metals around the world, thus it is a national security risk to America! They are now playing those cards, which will start to impact the supply chain of those materials to meet the demands of USA manufacturers.

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  • Shipments of the magnets, essential for assembling everything from cars and drones to robots and missiles, have been halted at many Chinese ports while the Chinese government drafts a new regulatory system. Once in place, the new system could permanently prevent supplies from reaching certain companies, including American military contractors.

With closure of the Phillips 66 Refinery in 2025, and the Valero Refinery in 2026, a similar national security concern would result from our growing dependence on China to meet the humongous demands for transportation fuels by California, Arizona and Nevada.

Compounding the growing need for more importation to meet the materialistic demands of society will be the West Coast port's ability to receive transportation fuels as marine facilities in California face increased congestion and dramatic vessel limits.

It's obvious that the Net-Zero emission policies within California, and their lack of comprehension of "supply AND demand", and the subsequent over regulations, mandates, and taxes just on the SUPPLY side of the equation, are causing a national security situation for the entire country's DEMANDs for the products and fuels made from the fossil fuel industry. In the meantime, China is silently supporting the efforts of California and savoring the future with their many refineries coming online to meet the materialistic DEMANDS of society.

 

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This article was first published by America Out Loud News.



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About the Authors

Ronald Stein is co-author of the Pulitzer Prize nominated book Clean Energy Exploitations. He is a policy advisor on energy literacy for the Heartland Institute, and the Committee for a Constructive Tomorrow, and a national TV commentator on energy & infrastructure with Rick Amato.

Kasun Ubayasiri is a post-graduate researcher.

Other articles by these Authors

All articles by Ronald Stein
All articles by Kasun Ubayasiri

Creative Commons LicenseThis work is licensed under a Creative Commons License.

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