The detailed regulations elaborate on how foreign companies can apply to set up or acquire sales and storage companies for crude oil and oil products in China, making access by foreign companies more feasible.

Liberalization of its oil sales markets is part of China's commitment to the World Trade Organization.

Foreign companies are now allowed to enter the lucrative crude oil and oil products wholesale and storage sectors, which have been dominated by China's big state-owned oil companies. Some private domestic companies have operations in the sectors, but only on a limited basis.

The detailed regulations require foreign companies interested in oil sales to submit applications to the provincial authorities on foreign investment.

The applications must include the companies' investment plans, the origin of the oil, the proposed location of oil storage facilities and details on the proposed sales network.

The regulations also require provincial authorities to finish reviewing the applications within a month and to submit them to the Ministry of Commerce for final review.

The ministry must decide whether to approve applications within three months after receiving them.