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As early as 2010, China’s output value of chemicals surpassed that of the United States and became the world’s largest. In 2014, China’s output value of chemicals surpassed that of the United States and Japan, the second and third largest countries combined. The main logic is that the rapid growth of the Chinese market is driving the transfer of basic chemicals and general materials to domestic production capacity.
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  • The competition for leadership in the global chemical industry has shifted

  • The boundaries of multinational chemical companies

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    Studying the history of overseas chemical industry, we can see that the evolution of the industry has undergone major changes since the 1960s. At present, the basic theory widely applied in chemical and chemical textbooks still stays at the level of 40 or 50 years ago. The barriers established by synthetic technology and engineering technology can no longer be further thickened.
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    After the polymer/petrochemical product revolution came, although professional chemical companies such as DuPont, Dow, and Monsanto did not have the same advantages on raw material side as petroleum companies, they also expanded into petrochemical products with their own good R&D capabilities. They are also involved in the production of polymer products and petrochemical products.
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  • The reshaping of chemical enterprises

  • Competition in multinational giants

  • The survival of SME in Japan material industry

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    From the perspective of Dow's development, whether it is the construction of barriers to entry in the field or the continuous widening and adjustment of new strategic boundaries in the process of related diversification, R&D has played a vital role in Dow's becoming a top chemical company.
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    Historically, the growth paths of European and American chemical giants are very consistent, that is, relying on strong technical accumulation and asset bases to build solid foundations to entry, then continue to widen and establish new boundaries through related diversification.
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    Since the 1980s and 1990s, Japan has been affected by external factors such as the sharp appreciation of the yen caused by the Plaza Agreement in 1985 and the expansion of China's opening up to the outside world in the 1990s. The stage of rapid economic growth has come to an end.
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  • What are the weaknesses of China's local chemical industry?

  • What are China’s shortcomings in the chemical industry?

  • The output value of Chinese chemicals has surpassed the United States to become the world's number one as early as 2010. In 2014, it has surpassed the sum of the second United States and the third Japan combined; in 2019, five chemical companies, including Sinopec, Wanhua, and Formosa Plastics in Taiwan, entered the global top 50(based on chemical sales revenue).
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  • PMMA, PPS, aramid, nylon, carbon fiber, chlorinated titanium dioxide, vitamins and other specialty resins/fibers and special chemicals have also achieved technological breakthroughs. Compared with basic chemicals, they have more production know-how and technical difficulties, either through independent research and development or through digestion and absorption after the introduction of technology.
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