China´s refining industry now has had fair strength after 50 years´ development. By the end of 1999, the annual capacity of crude oil processing had reached 250 million tons, which was ranked 4th in the world. At the turn of the century, China´s refining industry should solve a set of problems first, such as utilizing domestic and foreign crude oil resources as a whole, especially some problems in processing, storage, transportation and resource security of foreign crude oil. At the same time, in order to take up the challenges born of China´s entering WTO, it is necessary to enhance the overall competitive power against imported oil products in the respects of reducing the purchase cost of crude oil, raising facility utilization, cutting down the consumption of energy and material, prolonging production cycle, lowering production cost, improving the quality of products and meeting the requirements of environment protection.