1. Production technology and equipment: As a local oil refining enterprise, Luqing Petrochemical has advanced production technology and equipment, which can better handle crude oil and improve oil quality. Sinopec's oil refining enterprises are large in scale, but there may be problems such as aging equipment and backward technology, resulting in relatively poor oil quality.
2. Source and quality of crude oil: Luqing Petrochemical mainly uses imported crude oil with relatively good quality, while Sinopec may also use domestic crude oil with relatively poor quality.