Propylene Glycol in 2021 Imports Reduced Exports Increased

Domestic propylene glycol imports in 2021 will be about 70,000 tons, down 19% year-on-year. The top five import sources remain Thailand, South Korea, Saudi Arabia, the United States and Singapore. Propylene glycol exports were about 140,000 tons, up 8% year on year. The main exporters were the Russian Federation, India, Turkey, Indonesia and the United Arab Emirates, which together accounted for 41% of total exports.

From the perspective of import sources, over the past five years, the source structure of propylene glycol in China has not changed much, mainly from Thailand, South Korea, Saudi Arabia, the United States and Singapore, which accounted for 96-98% of the total annual imports. Imports from Thailand and South Korea both increased from last year, accounting for a combined 71% and 17% higher than last year.

In 2021, due to the cold wave in Europe and the United States and hurricane force majeure and other factors, the supply of propylene glycol in Europe and the United States decreased, the gap is long, and the domestic device is unstable, the price continues to be high, attracting the incremental supply of Saudi Arabia, Saudi Dow propylene glycol to China declined. In 2021, China's propylene glycol imports from the United States will be 5,870 tons, 11,203 tons less than in 2020, a decline of about -66%. Imports from Saudi Arabia were 7,711 tons, down 6,455 tons or -46% from 2020.

According to customs data, the average growth rate of propylene glycol export in the past five years was 2%, and the export showed negative growth in 2020 due to the impact of the epidemic. The total volume of propylene glycol exports in 2021 was about 140,000 tons, up 8% year on year. The top five exporting countries were The Russian Federation, India, Turkey, Indonesia and the United Arab Emirates, which combined accounted for 41% of the total volume of exports, with a slight increase compared with last year.

In 2021, the overall supply of propylene glycol in China is in a tight balance. The temporary imbalance of supply leads to the overall price higher than the same period last year. The export volume in the second half of the year is slightly lower than that in the first half of the year.