Supply and demand status of China's chemical intermediate industry in 2021

Chemical intermediates use coal tar or petroleum products as chemical raw materials to manufacture pesticides, dyes, paints, pigments, chemicals and daily chemicals, and other 11 major types of fine chemicals. On the whole, the output of chemical intermediates in the country tends to decline due to environmental pressures and the continuous reduction in the number of chemical companies. Affected by the demand of the pharmaceutical market, the overall size of the chemical intermediate market has increased. After the national resumption of work and production in 2020, the price index of chemical intermediates slowly rebounded.

According to national conditions and the needs of national economic development, my country divides fine chemicals into pesticides, dyes, coatings, pigments, reagents and high-purity substances, information chemicals, food and feed additives, adhesives, catalysts, and various additives. , Chemicals and daily-use chemicals, functional polymers in high-molecular polymers, etc. 11 categories.

Chemical intermediates (intermediate) is the use of COAL TAR or petroleum products as chemical raw materials to produce pesticides, dyes, coatings, pigments, chemicals and daily chemicals, and other 11 major categories of fine chemicals intermediate products.

Overall production tends to decline

As fine chemical products, chemical intermediates are mostly produced by chemical companies. As of the end of 2019, there were 23,300 enterprises above designated size in the chemical industry; as of the end of June 2020, there were 22,700 enterprises above designated size in the chemical industry. In addition, market participants in the chemical intermediates industry also include large pharmaceutical and pesticide enterprise groups.

In recent years, due to the pressure of environmental protection, the output of my country's Pharmaceutical Intermediates has declined. According to the comprehensive calculation of the development of the downstream API market and the development of the intermediate market, it is estimated that the output of my country's pharmaceutical intermediates in 2019 will be about 10.21 million tons. Affected by the new crown epidemic, the global pharmaceutical market is rising rapidly. Comprehensive analysis predicts that the output of my country's pharmaceutical intermediates industry is expected to increase to approximately 10.6 million tons in 2020.

Generally speaking, the production of one ton of pesticide technical requires 2 tons of pesticide intermediates. It is preliminary estimated that the national output of pesticide intermediates in 2020 will be about 3.68 million tons. According to statistics from the China Dyestuff Industry Association, the output of Dye and pigment intermediates in my country in 2019 was 463,000 tons, an increase of 26,000 tons from 2018, an increase of 5.95%, and it is initially estimated to be 510,000 tons in 2020. Overall, the output of chemical intermediates tends to decline.

Affected by medicine, the overall market size has increased

According to Sinolink Securities, China's chemical API market accounts for approximately 68.3% of the global market. Intermediates are intermediate products in the production of APIs, and are key products in the previous process of manufacturing APIs. Only intermediates can be manufactured. After the raw materials are released, it is initially estimated that the scale of my country's chemical intermediates market accounts for 60% of the global proportion. In 2019, the national chemical intermediates market is about 438.8 billion yuan, and in 2020 it is about 455.4 billion yuan.

In recent years, the development of new pharmaceutical intermediate products has become more and more difficult, and the competition for traditional products has become increasingly fierce. Coupled with the impact of national environmental protection policies, the overall scale of the pharmaceutical intermediate industry has shown a downward trend. It is estimated that the size of my country's pharmaceutical intermediates market in 2019 is about 199.6 billion yuan. In 2020, affected by the new crown epidemic, the global pharmaceutical market is rising rapidly. Comprehensive analysis predicts that the market size of my country's pharmaceutical intermediates industry is expected to increase to about 209 billion yuan in 2020.

The demand for pesticide intermediates is mainly the pesticide technical market. Based on the selling price of pesticide intermediates of 30,000 yuan per ton, it is estimated that the national pesticide intermediate market will be about 111.1 billion yuan in 2020.

The dye intermediates market tends to be an oligarchical pricing industry. The oligarchs adopt an integrated industrial chain layout to varying degrees, with a relatively large percentage of intermediate and dye production capacity, and a greater voice in pricing. Zhejiang Longsheng is a leading company in dye intermediates in the country, with a market share of about 35% or more. According to the income and market share of Zhejiang Longsheng intermediates business, the scale of the national dye intermediates market in 2019 can be seen, and the national dye intermediates business is initially estimated. The revenue is approximately 13.1 billion yuan.

The price index of chemical intermediates rebounded slowly

On the whole, the national output of chemical intermediates tends to decline, and the market demand is still relatively large, especially in the pharmaceutical field, which promotes the price recovery to a certain extent. According to choice, the national chemical intermediate price index fluctuates from 2019 to 2020. At the beginning of 2020, the price of chemical intermediates dropped sharply. At the end of March, the price reached 555.66, and then rebounded. As of May 2020, the price index of chemical intermediates rose to 589.59 . The cost of chemical raw materials is strongly correlated with the price of intermediates. When the supply of intermediates shrinks and prices rise, chemical manufacturers shift the costs to the downstream, and the prices of chemical products continue to rise.

As an intermediate product in the production of 11 major types of fine chemical products, my country's chemical intermediates are greatly affected by downstream demand for medicines, pesticides, and dyes. In recent years, due to environmental pressures, the production of chemical intermediates in my country tends to be green, and the direction of production Development. In 2020, affected by the epidemic, the pharmaceutical market will break out, and the demand for pharmaceutical intermediates will erupt, which will drive the development of the chemical intermediate industry. In the future, the direction of my country's chemical intermediate production will continue to be green, safe, and upgradeable.