Commenting on China’s National Development and Reform Commission meeting with seven state-owned enterprises involved in the energy and shipping sectors, SMU Associate Professor of Finance Fu Fangjian said the ongoing Middle East-related energy crisis and the participation of firms involved in energy and commodity trading suggest that safeguarding China’s energy security was a key focus. He noted that energy underpins economic development, and the government is likely seeking a clearer assessment of supply resilience, including whether domestic energy needs can be sustained if the Strait of Hormuz remains closed for an extended period.
