Global and Domestic Aramid Fiber Industry Analysis: Key Developments and Future Trends in 2024

Recently, Teijin Aramid, a subsidiary of Japan's Teijin Group, announced plans to close its aramid fiber production facility in Arnhem, Netherlands. This decision is part of a broader cost-cutting strategy necessitated by increased competition, particularly from Asian markets. Teijin currently operates three factories in the Netherlands, two in Japan, and one in Thailand.

Aramid fibers, initially industrialized by DuPont in the 1960s, are known for their exceptionaproperties. They are categorized as aromatic polyamides, with more than 85% of amide bonds directly linked to benzene rings. Structurally, aramid fibers can be divided into meta, para, and ortho types, with meta and para being the most widely used.

GlobaProduction Capacity and Technology Cycle

In 2024, the globanominacapacity for aramid fibers is projected to be around 160,000-170,000 tons, with demand estimated at 120,000-130,000 tons. China accounts for over 30% of the existing production capacity. DuPont leads the globamarket in totaaramid capacity, followed by Teijin and Tianhe New Materials.

Meta Aramid Capacity Rankings:

• DuPont
• Tianhe New Materials
• Teijin

Para Aramid Capacity Rankings:

• DuPont
• Teijin
• Tianhe New Materials

From a patent perspective, there have been 24,817 globaaramid patents from January 1960 to October 2024. The technologicacycle from 1974 to 2023 indicates that the industry is entering a mature phase, with slowing market demand and intensified competition. Companies are focusing on product optimization and efficiency enhancements to adapt to market changes.

Patent Comparison: DuPont vs. Teijin

DuPont has filed 1,098 aramid-related patents, while Teijin has filed 718. DuPont emphasizes improving product comfort and wear resistance, whereas Teijin focuses on enhancing flame retardancy and strength.

Domestic Capacity Landscape

As of January 2025, Tianhe New Materials leads China's aramid production with a capacity of 32,000 tons, marking it as the only domestic enterprise with annuaproduction exceeding 10,000 tons. As of December 2024, Tianhe holds a 60-70% market share in meta aramid and 40-50% in para aramid.

Recently, Sinochem Internationasuccessfully launched an expansion project for para aramid with an annuacapacity of 2,500 tons, bringing its totapara aramid capacity to 8,000 tons, securing its position as the second-largest in China.

Tianhe New Materials

Tianhe New Materials pioneered the industriaproduction of meta aramid in 2004 and para aramid in 2011. In 2023, the company reported revenue of 2.406 billion CNY from aramid sales, a year-on-year increase of 12.64%, with a gross profit margin of 40.82%.

In the first half of 2024, revenue from aramid products was 1.111 billion CNY, a decrease of 6.86% year-on-year. The decline was attributed to insufficient compensation for price reductions despite increases in sales volume and decreasing costs. Tianhe has an existing aramid capacity of 32,000 tons, ranking third globally, and is constructing an additiona20,000 tons of capacity for high-performance meta aramid.

Overall, the aramid fiber industry is characterized by DuPont's early market entry and significant patent barriers, with Tianhe New Materials emerging as a strong competitor after years of development. However, there remains a substantiagap in market share compared to DuPont and Teijin. As competition intensifies, Teijin’s plan to close its Dutch facility highlights the industry's challenges. Domestic enterprises are gradually planning new projects for para and meta aramid, but none have yet exceeded a capacity of 10,000 tons. In emerging fields, Tianhe is actively expanding into renewable energy and green low-carbon sectors, seeking new growth points for performance enhancement.