The distribution status of domestic polypropylene production capacity in 2020

The road to polypropylene capacity expansion in 2020 has not stopped. By the end of the year, a total of 3.8 million tons of new production capacity has been put into operation, which is a significant increase of 88.12% over last year. Except for the expansion of Sinochem Quanzhou (Phase II) and Yanchang China Coal Yulin (Phase II), most of the others are newly established petrochemical manufacturers in recent years.

1. According to the seven administrative geographical divisions

According to the latest statistics, with the exception of Central China and Southwest China, where production capacity was low, new devices have been put into production in other regions. Among them, Sinochem Quanzhou, Zhejiang Petrochemical, and Yantai Wanhua opened four production lines in East China, and a total of 1.55 million tons of new devices were put into production. The total production capacity surpassed that of Northwest China and became the largest PP production base in China. With the commissioning of Dalian Hengli (Phase II) and Bora Petrochemical, the Northeast region started early before the reform, but the development was slow, and the total production capacity in 2020 ranked fourth. In addition, Yanchang China Coal Yulin (Phase II) in Northwest China, Lihe Zhixin in North China, and Zhongke Refining & Chemical in South China also started on time in China, and products were put on the market for normal sales.

2. According to the three major economic divisions

With an absolute advantage of 59.1%, the eastern region, which is developing in a high-quality, sophisticated, cutting-edge and new direction, occupies the primary position of domestic PP production capacity, and its production capacity is still growing at a rapid rate. According to statistics, the newly increased production capacity will be 3.4 million tons per year in 2020, accounting for 89.47% of the total production capacity increase. The second phase of Yanchang China Coal Yulin's smooth operation during the year will further contribute to the PP production capacity in the western region.

3. Owned by production company

Local and joint ventures are still the main force in my country's PP expansion. 12 new production lines this year are all under the jurisdiction of local and joint ventures. Up to now, the production capacity of local enterprises is about 15.48 million tons/year, an increase of 20.65% year-on-year, accounting for 53.36% of the total production capacity; the joint venture's production capacity is about 3.01 million tons/year, an increase of 61.83% year-on-year.

4. According to the source of raw materials

In 2020, the production capacity of oil-made polypropylene is still the number one product. During the year, six production lines were put into production, and the production capacity increased to 14.45 million tons per year, accounting for 49.81% of the total production capacity. Dalian Hengli (Phase II) was launched at the beginning of the year, adding to the icing on the cake for coal to olefins. Its production capacity increased to 6.47 million tons per year, accounting for 22.3% of the total production capacity. In addition, with the formal commissioning of PP plants in Yantai Wanhua and Yanchang China Coal Yulin, domestic PP production capacity from PDH and MTO has developed significantly, accounting for 12.24% and 9.72% of the total PP production capacity respectively.