rongsheng petrochemical singapore pte ltd bloomberg free sample

(Bloomberg) -- A Chinese archipelago that served as a pirate’s den in centuries past and was governed by President Xi Jinping in the new millennium is luring the world’s energy giants.

Li had reason to celebrate. Saudi Arabia’s state oil company agreed to buy a stake in a refinery that his firm, Rongsheng Petrochemical Co., is building there. The high-profile deal illustrated the potential for Zhoushan and the wider Zhejiang province, in which the archipelago is located, to play an outsize role in energy markets. The local government’s ambition for a processing, storage and trading hub is spurring a rush for a piece of the pie.

“This is where incremental demand can be seen for the foreseeable future, and with its ambition to build a global trading hub, it could potentially rival Singapore,” said Li Li, an analyst with Shanghai-based commodities researcher ICIS China. “It will remain as a hot spot of focus in the oil market.”

One of the biggest projects in the works is Rongsheng’s energy and petrochemical complex, which will process about 400,000 barrels a day of oil and is set to start operations by the end of 2018. There are plans to double the plant’s capacity by 2020, which would elevate it to the ranks of the largest refineries in the world.

* Sinopec Corp, Asia’s largest refiner, will strive to lower its petrochemical production costs and optimize its product mix to meet the threat of cheap rival U.S. supply in the future, a top executive said.

* Chinese sportswear group Li Ning Co Ltd reported on Tuesday a steeper-than-expected 1.98 billion yuan ($318.8 million) loss for 2012, its first annual loss since it listed in 2004, hit by inventory charges and fierce competition from domestic and foreign brands.

* Belle International Holdings Ltd, China’s top footwear retailer by market value, posted a 2.3 percent rise in 2012 profit, its slowest profit growth since 2008, as a weaker economy cut consumer spending and higher wages raised costs.

* China Rongsheng Heavy Industries Group Holdings Ltd won its first orders to build two jack-up rigs worth more than $360 million in Singapore as it makes further inroads into offshore engineering.

Jan 23, 2022:A fire and explosion at Panjin Haoye Chemical, a refinery and petrochemicals complex in China has killed at least 12 people. The incident happened during maintenance work at an alkylation facility (Reuters).

Dec 31, 2022:Saudi Basic Industries Corp. has signed a memorandum of understanding with energy giant Saudi Aramco and Sinopec, to assess the economic and technical feasibility of developing an integrated petrochemical complex with an existing refinery in Yanbu.

Dec 21, 2022:According to the Washington Post, China uses only about 54% of its oil consumption for transportation while using 42% as a petrochemical raw material, a much higher share than in the US and the EU.

Comment MCC:The article states that this may mean any covid recovery in China will have a relatively low impact on Chinese oil consumption, as petrochemicals are more exposed to exports and thus depend on demand from outside of China.

Dec 20, 2022:A paper in the Journal of Cleaner Production predicts that depending on the scenario, carbon dioxide emission from Chinese production of coal chemicals will increase rapidly between 2020 and 2030 and that the "coal-to-olefins industry will take the place of coal-to-ammonia and turn to be the largest one in 2020 and 2030 if no CO2 capture, utilization, and storage (CCUS) technologies are adopted". It also states that it is "probable that the contribution from coal-to-methanol will also play an important role for CO2 emission due to its rapid development".

Dec 18, 2022: Ineos and Sinopec signed a JV agreement for a new petrochemicals complex in Tianjin, China. Ineos will acquire a 50% share in the Tianjin Nangang Ethylene Project, which is currently under construction by SINOPEC and is expected to be on-stream by the end of 2023. The cracker complex will include a 1.2 mtpa cracker, and 12 other derivative plants, including a 300ktpa ABS plant and a 500ktpa HDPE plant using INEOS technology as announced in July.

Dec 15, 2022: Zhongjing Petrochemical Group"s annual output of 1.2 million tons of multi-component copolymerized polypropylene plant was officially put into operation in Fuzhou Jiangyin Zhongjing Petrochemical Science and Technology Park.

Dec 03, 2022:Shandong province publicly exposed 11 typical cases of safety production violations including the case of a petrochemical company in Longkou engaging in port operations without obtaining a port operation license according to law

Nov 28, 2022:A fire at a factory at Kaixinda Trading Co Ltd in Anyang, Henan killed 38 people. It was caused by electric welding that flouted regulations.

Nov 24, 2022: According to the National Bureau of Statistics, main business revenue of the major enterprises in China"s chemical industry increased by 8.2% yoy in the period from January to September 2022

Nov 22, 2022: The Chinese market for hazardous chemicals and dangerous products logistics industry exceeds 2 trillion yuan. There were 13,000 hazardous chemical road transport enterprises in September 2020, employing 1.62 million workers and operating 575,000 transport vehicles nationwide. The transport volume is approximately 1.2 billion tons, accounting for 70% of the total transport volume (source: Liu, Y.H. Operation report of China"s hazardous chemicals logistics industry in 2021. In Proceedings of the China Chemical Logistics Industry Annual Meeting, Wuhu, China, 8 December 2021)

Comment MCC: This includes 12 energy-saving and efficiency-enhancing technologies in the petrochemical and chemical industry such as semi-water-dihydrate wet phosphoric acid technology

Oct 07, 2022:Shandong Province has the largest total number of petrochemical projects followed by Zhejiang Province and Guangdong Province, though Zhejiang Province is the largest by amount of investment.

Comment MCC:This support has contributed strongly to making China the biggest market for electric vehicles with strong growth of about 74% in September 2022 compared to September 2021.

Sep 13, 2022: The world"s largest photovoltaic film material project officially started construction at the Lianyungang Petrochemical Industrial Base. It will consist of three sets of photovoltaic film material installations, a high-performance engineering plastics installation, and a high-end polyolefin installation.

Sep 06, 2022:Sinopec launched China"s largest demonstration base for carbon capture, utilization and storage, the "Qilu Petrochemical - Shengli Oilfield million-ton CCUS project".

Sep 03, 2022: Among the top 50 global chemical companies by sales in 2021, the companies with the highest year-on-year sales growth are Syngenta, Wanhua Chemical, and Rongsheng Petrochemical, whose sales in 2021 increased by 122%, 113%, and 90% respectively.

Aug 30, 2022:PetroChina, Sinopec, and Sinopec Shanghai Petrochemical will voluntarily delist their American Depositary Shares from the New York Stock Exchange.

Aug 28, 2022: In the first half of the year, the operating income of the petrochemical industry was 8.13 trillion yuan, accounting for 12.4% of the national total industrial income above the designated size, an increase of 1.0 percentage points over the same period of the previous year (11.4%)

Aug 22, 2022:The 2022 list of China"s top 2000 industrial enterprises by market value contains 179 chemical and chemical fiber companies while the top 500 include a total of 51 companies in the petroleum, petrochemical and chemical and chemical fiber industries.

Aug 21, 2022: In the first half of the year, the total import and export volume of the petrochemical industry was US$515.72 billion, a year-on-year increase of 28.6%. Among them, the export value was 171.64 billion US dollars, a year-on-year increase of 24.6%; the import value was 344.08 billion US dollars, a year-on-year increase of 30.7%. In the first half of the year, the trade deficit was US$172.45 billion, a year-on-year increase of 37.4%.

Aug 20, 2022: In the first half of 2022, Chinese petrochemical and chemical enterprises above designated size achieved an operating income of 8.13 trillion yuan, a year-on-year increase of 20.9%; a total profit of 752.12 billion yuan, a year-on-year increase of 24%; and a total import and export volume of 515.72 billion US dollars, a year-on-year increase of 28.6%

Aug 18, 2022: As of the end of June 2022, the number of regulated enterprises in the petrochemical industry was 28,500, an increase of 1,823 compared with 26,677 in the same period last year

Aug 11, 2022: WuXi STA, the pharmaceutical contract services division of WuXi AppTec, has expanded oligonucleotide and peptide manufacturing with a new large-scale facility at its Changzhou, China, complex after announcing the opening of a plant for high-potency active pharmaceutical ingredients at Changzhou in June, and the opening of a continuous manufacturing plant at the site in July.

Aug 06, 2022:An explosion in a raw material tank farm of the 300,000-ton/year coal tar hydrotreating unit of Henan Yutian Chemical Co., Ltd. in January 2022 was examined for the causes of the accident.

Aug 03, 2022:Ineos has agreed to buy a 50% interest in Shanghai SECCO Petrochemical from Sinopec, and will partner with Sinopec on projects in acrylonitrile-butadiene-styrene (ABS) and high-density polyethylene. The total deal size is about 7 billion USD.

Aug 02, 2022: Hubei Hongrui New Materials Co., Ltd., a wholly-owned subsidiary of Dongfang Shenghong, will start a new project with an annual output of 1.5 million tons of acetic acid and other special chemicals.

Jul 26, 2022: The 2021 C&EN ranking of top 50 global chemical companies now has 7 mainland Chinese entrants - the expected state-owned petrochemical ones (Sinopec, Petrochina), the MDI-producer-turned-BASF-imitator (Wanhua) as well as four lesser-known companies producing relatively basic petrochemicals and fibers (Hengli Petrochemical, Hengyi Petrochemical, Rongsheng Petrochemical, and Tongkun Group).

Jul 18, 2022: The 1H 2022 results of a number of big Chinese chemical companies are likely to be below those of 1H 2021, for example, Wanhua (profit forecast -3% compared yoy), Shanghai Petrochemical (loss compared to profit before), Sinochem International (profit decrease of about 50% yoy), and Weiyuan (profit decrease of about 65%).

Comment MCC:The obvious reason is the impact of the anti-Covid measures on the economy (not just on the chemical industry) - though companies such as Shanghai Petrochemical also claim other reasons such as oil price increases and weakening demand (which may, in turn, be a consequence of the anti-Covid measures - an SOE may be less willing to openly address this issue). Given that some of the restrictions are still being maintained, the impact on the chemical industry may continue to be felt in 2H 2022.

Jul 09, 2022:Hengli Petrochemical established Dalian Hengli Fine Chemical Sales Co., Ltd. with a business scope including food sales, petroleum product sales, chemical product sales, plastic product sales, rubber product sales, lubricant sales, and auto parts.

Jul 04, 2022: China Petrochemical Corporation (Sinopec) issued a statement clarifying that a number of companies using the name Sinopec have no affiliation with the SOE.

Jul 02, 2022:ExxonMobil, Shell, and CNOOC will evaluate a project to capture and store carbon at China"s Dayawan Petrochemical Industrial Park. Shell and CNOOC operate a petrochemical joint venture in the park while ExxonMobil plans to build a large chemical plant there (C&EN)

Jun 22, 2022:According to a plan of Liaoning province, by 2025 the proportion of refined oil production in Liaoning Province in crude oil processing will drop to 40%, the operating income of the fine chemical industry will reach 200 billion yuan, and the chemical refinement rate will reach 50%. Other goals are a ratio of R&D investment in the petrochemical industry of 1.5% of operating income, R&D investment in fine chemical enterprises reaching 5% of operating income, and the output value of chemical parks reaching 70% of the industry.

Jun 21, 2022: The Guangzhou Intellectual Property Court ruled in favor of Solvay in a patent infringement case against Zhejiang Fonolin Chemical New Materials Co., Ltd., which involved a PVDF material reported to be the most advanced material for adhesive or separator/separator assemblies for high-end lithium batteries.

Jun 19, 2022: On June 16, an explosion occurred at a chemical company in Lanzhou City, Gansu Province, causing 8 injuries and likely 6 deaths. The enterprise is mainly engaged in the production and operation of pesticide intermediates and pesticide products. A day later, one person died at a fire at a Sinopec Shanghai Petrochemical Co. plant in Jinshan

Jun 12, 2022: Brand Finance, a brand consulting company, released their assessment of the 2022 Top 25 Most Valuable Chemical Brands in the World. Four Chinese chemical brands entered the top 25: Rongsheng Petrochemical ranked 8th, Hengli Petrochemical ranked 14th, Hengyi Petrochemical ranked 22nd, and Wanhua Chemical ranked 23rd.

Jun 10, 2022:Most listed Chinese chemical companies increased their operating income in the first quarter of 2022 compared to the same quarter in 2021. Examples: Rongsheng Petrochemical +98%, Hengli Petrochemical +0.3%, Wanhua +33%, Hengyi Petrochemical +8%, Sinochem International +8%, Oriental Shenghong +24%, Yuntianhua +13%, Tongkun +17%. For Hengli Petrochemical, the increase was very low (+0.3%) while Zhongtai Chemical had a decrease of 33%

Jun 08, 2022:Forbes released the list of the world"s top 2000 companies. The number of companies in China (including Hong Kong, Macao, and Taiwan) reached 399 this year. Wanhua Chemical ranked 392, up 141 places from the previous year, while Hengli Petrochemical, Rongsheng Petrochemical, and Hengyi Petrochemical are also on the list, ranking 455th, 642nd, and 1670th.

Jun 05, 2022: Kingfa started a major petrochemical project in Yangpu including a 600 kta ABS unit, 600 kta PDH unit, 260 kta acrylonitrile unit, and a 100 kta tons methyl methacrylate unit.

Jun 02, 2022: The supply of domestic EVA is still dominated by imports , of which imports of photovoltaic grade EVA account for more than 60%, while only a few domestic companies such as Lianhong Xinke, Dongfang Shenghong, and Rongsheng Petrochemical can produce photovoltaic grade EVA (CCR)

May 24, 2022:The average salary of a chairman in the Chinese petroleum and petrochemical industry is 1,312,200 yuan while the average salary of employees is 239,500 yuan.

May 01, 2022:Several Japanese chemical companies have announced the exit from specific organic chemicals and/or plant closures, e.g., Idemitsu (acrylic acid), Mitsui (PTA), Sumitomo (caprolactam), Mitsubishi (petrochemicals in general).

Apr 15, 2022: According to Bloomberg, the solar power sector is also affected by China"s recent Covid-related restrictions, with manufacturers lowering production levels thanks to shipment delays and staffing issues. Wafer production has been suspended in some factories in the coastal region close to Shanghai while domestic shipping of polysilicon has also faced delays due to outbreaks in the major sourcing region of Xinjiang.

Apr 13, 2022:Six ministries issued the "Guiding Opinions on Promoting the High-quality Development of the Petrochemical and Chemical Industry during the 14th Five-Year Plan". Key goals for 2025 include reaching an R&D investment of at least 1.5% of sales, capacity utilization for bulk chemicals of above 80%, and a self-sufficiency rate for new chemicals of at least 75%.

Apr 09, 2022: Six ministries issued the "Guiding Opinions on Promoting the High-quality Development of the Petrochemical and Chemical Industry during the 14th Five-Year Plan". The Guiding Ideology is described as follows (machine translation from Chinese): Guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, fully implement the spirit of the 19th National Congress of the Communist Party of China and the 19th Plenary Sessions, base on the new development stage, fully, accurately and comprehensively implement the new development concept, build a new development pattern, and promote high-quality Development as the theme, with deepening the supply-side structural reform as the main line, to meet the people"s needs for a better life as the fundamental purpose, with reform and innovation as the fundamental driving force, to coordinate development and safety, to accelerate the transformation and upgrading of traditional industries, and to vigorously develop new chemical materials and fine Chemicals, accelerate the digital transformation of the industry, improve the level of intrinsic safety and clean production, accelerate the quality change, efficiency change and power change of the petrochemical and chemical industry, and promote my country"s progress from a big petrochemical and chemical country to a strong country.

Mar 26, 2022: Saudi Aramco will participate in the development of a major integrated refinery and petrochemical complex in Northeast China. Huajin Aramco Petrochemical Company (HAPCO), a joint venture between Aramco, North Huajin Chemical Industries Group Corporation and Panjin Xincheng Industrial Group, will develop the liquids-to-chemicals complex.

Comment MCC:The scope and investment scale of these 14 projects further emphasizes Wanhua"s ambition to become a chemical leader not only on a national but on an international scale, reaching from petrochemicals to specialty chemicals.

Feb 13, 2022: During the "14th Five-Year Plan" period, Hebei Province will optimize and strengthen the petrochemical industry, vigorously develop high-end fine chemicals, actively expand synthetic materials, accelerate the construction of petrochemical parks, carry out the identification of chemical parks, and promote the transfer of industries to the coast and the agglomeration of chemical parks.

Feb 12, 2022:Shenghong"s Inner Mongolia Sierbang Energy and Chemical Technology Co., Ltd."s green new material circular economy industrial park project has been approved for pre-examination. The first phase covers the production of methanol and downstream acetic acid, formaldehyde, acrylic acid, 1.8 million tons/year of olefins, degradable materials, superabsorbent resins and other high-end new materials. and fine chemical products; the second-phase investment covers methanol, methanol-to-olefins and new downstream chemical materials

Feb 07, 2022:Hengyi Petrochemical, via its subsidiary Guangxi Hengyi New Materials Co., Ltd. plans to invest in a caprolactam-polyamide project with an annual output of 1.2 million tons. Fujian Fuhua Gulei Petrochemical received environmental approval for a 400 kt nylon 66 project.

Jan 16, 2022:The coal-to-ethylene glycol project of Xilingol Sunite Alkali Industry Co., Ltd., a wholly-owned subsidiary of Henan Zhongyuan Chemical Co., Ltd., will be terminated.

Comment MCC: Affected industries include petrochemicals and chemicals, potentially forcing relevant companies to reduce their water usage or invest in water recycling technologies.

Jan 04, 2022:In the latest list of China"s top 500 listed companies by market value, there are 9 chemical companies among the top 100: PetroChina ranks 11th, Sinopec ranks 20th, China Shenhua ranks 28th, Wanhua Chemical ranks 50th, China National Offshore Oil ranks 52nd, Enjie ranks 75th, Ganfeng Lithium ranks 86th, Salt Lake Co., Ltd. ranks 93rd, and Rongsheng Petrochemical ranks 99th.

Dec 28, 2021:Cummins Inc. and Sinopec Group have formed a 50:50 joint venture -- Cummins Enze (Guangdong) Hydrogen Technology Co., Ltd. The JV will produce proton exchange membrane electrolyzers for the production of hydrogen.

Dec 25, 2021:Hyosung Spandex (Ningxia) Co., Ltd. started a 360,000 tons of spandex and its raw material supporting project. It will produce 360,000 tons of spandex and 300,000 tons of polytetramethylene ether glycol, an investment of 12 billion RMB.

Comment MCC: The catalog includes 34 water-saving technologies in the petrochemical and chemical industry which range from very general ("chemical waste water recycling") to very specific ("a dry trapping device for isophthalonitrile")

Dec 06, 2021:During the period of the 14th Five-Year Plan, Jiangxi province has specific targets for the chemical industry, including 150 billion yuan for the petrochemical industry, 100 billion yuan for the fine chemical industry, 80 billion yuan for the new chemical materials industry, and 80 billion yuan for the chlor-alkali chemical industry.

Nov 29, 2021: The China Petroleum and Chemical Industry Federation is working on the establishment of a carbon accounting system for the petrochemical industry and related standards for carbon neutrality. The likely threshold for inclusion is annual carbon dioxide emissions of more than 26,000 tons in any year during 2013-2018. The Petrochemical Federation is conducting pilot projects in some sub-sectors such as oil refining, chlor-alkali, and calcium carbide.

Nov 25, 2021: Sinopec"s crude oil steam cracking to ethylene industrial test jointly developed by Beijing Research Institute of Chemical Industry, Engineering Construction Co., Ltd. and Tianjin Petrochemical Company showed a single-pass chemical yield of 48.24% based on crude oil.

Nov 11, 2021:While in 2019 about 60% of all petrochemical products in the Chinese market faced excess supply or severe excess supply, this share is expected to rise to 75% by 2025.

Oct 29, 2021:Evonik Industrial Group and China Zhejiang Xin"an Chemical Group Co., Ltd. jointly established Ying Chuang An (Zhenjiang) Silicon Materials Co. for the production of Aerosil fumed silica.

Comment MCC: This is a major bet on this biobased polyamide, which so far is only produced in France but which will be produced both in Singapore and China from 2023. Given the applications of PA11 and China"s support of bio based materials, producing the material locally seems sensible.

Oct 24, 2021: Henan Energy Chemical Group Hebi Coal Chemical Company and Meirui New Materials Co., Ltd. will jointly construct a 100,000-ton degradable plastic (PBS) project.

Oct 23, 2021: Albemarle will buy Guangxi Tianyuan New Energy Materials Co., Ltd. (Tianyuan), a lithium converter located in Guangxi, China for approximately $200 million. Tianyuan has a designed annual conversion capacity of up to 25,000 metric tons LCE and is capable of producing battery-grade lithium carbonate and lithium hydroxide. It currently is in the commissioning stage and is expected to begin commercial production in the first half of 2022.

Oct 10, 2021: On October 5th, an explosion occurred in the ethyl chloride workshop of Jinrunsheng Biotechnology Co., Ltd. in Huinong District, Shizuishan City, Ningxia. There were no casualties.

Oct 01, 2021:Shenghong Group"s Serbon Petrochemical and Iceland Carbon Recycling Company signed a contract in Beijing for a carbon dioxide capture and utilization project.

Sep 25, 2021: Major chemical companies in China have adopted different approaches to carbon reduction, with Sinopec and Petrochina mainly focusing on diversification into hydrogen and photovoltaic as well as exploring carbon storage. Wanhua has moved into wind energy, photovoltaic and biomass while Hengli focuses on biodegradable materials.

Sep 14, 2021:During the period of the 14th Five-Year Plan, Shandong province aims to reach an output value of the chemical industry of 2.65 trillion yuan, higher than Guangdong"s petrochemical industry scale of over 2 trillion yuan and Zhejiang"s 1.8 trillion yuan expectation.

Sep 13, 2021: Several private domestic companies including Zhejiang Hongji Petrochemical and Baofeng Energy have entered the field of metallocene polyolefins.

Comment MCC:The list reflects several trends - the growing relative importance of the Chinese companies (all 6 Chinese top 50 companies rose in the rankings), the growing importance of some of the independent players (e.g., Hengli rose from rank 27 to rank 14) and the strong position of Sinopec (ranked 2) and ChemChina (ranked 7, from8). It also raises some questions with regard to its accuracy. On rank 44, there is a new entrant, Shanghai Petrochemical. It is somewhat puzzling that this should be a separate entrant as it is a Shanghai-based petrochemical subsidiary of Sinopec and thus presumably already included with its sales in the Sinopec entry.

Sep 03, 2021:Zhejiang Jiaotong will transfer its 100% equity interests in Ningbo Zhetie Jiangning Chemical Co., Ltd. and Ningbo Zhetie Dafeng Chemical Co., Ltd. to Zhenhai Refinery Chemical, a Sinopec company. After the transaction is completed, the company will focus on the main business of infrastructure construction and will no longer engage in the chemical business.

Sep 01, 2021:Saudi Basic Industries, a world-renowned diversified chemical company, and Fujian Petrochemical Group will establish a JV to build and operate a 40 bn Yuan petrochemical complex at the Gulei Petrochemical Base in Fujian Province, China. Planned output includes 1.5 million tons of ethylene as well as downstream production of PE, PP, PC and EG.

Aug 26, 2021:The Ministry of Industry and Information Technology announced the first batch of technologies and product catalogs encouraged to be promoted and applied by the petrochemical and chemical industries.

Aug 06, 2021: According to Bloomberg, metals demand from lithium-ion batteries will increase by a factor of 5.5 for copper, 5.3 for lithium, 9.3 for manganese and 5.2 for nickel

Aug 01, 2021: A recent report comparing the petrochemical industry in China and the US sees advantages for China related to low project investment costs, the concentration of downstream markets, and reduced operating costs due to large-scale optimization capabilities.

Comment MCC:The authors of the report believe that these advantages can compensate for the lack of local raw materials, and are particularly optimistic about the large integrated private companies such as Hengyi Petrochemical, Hengli Petrochemical, Rongsheng Petrochemical, Dongfang Shenghong.

Jul 22, 2021: On June 12, 2021, a methyl formate leak occurred at Guizhou Sanqiang Xingxing Chemical Trading of Guiyang City, causing 8 deaths. On Jul 3, a hydrogen sulfide poisoning suffocation accident occurred at Zhejiang Maike New Materials Co., Ltd. in Haining City, Jiaxing City, causing three deaths. On Jul 4, a reactor explosion at Guangdong Yike Chemical in Donghua Town, Yingde killed one person. On July 19, 2019, a major explosion occurred at the Yima Gasification Plant of Henan Gas, resulting in 15 deaths

Jul 13, 2021:WuXi STA, the small-molecule drug arm of WuXi AppTec, one of the world"s largest pharmaceutical services firms, plans to build a plant in Middletown, Delaware.

Jul 09, 2021: Sinopec launched the construction of China"s first megaton-level CCUS (Carbon Dioxide Capture, Utilization and Storage) project, the Qilu Petrochemical-Shengli Oilfield CCUS project .

Jul 06, 2021: Kanghui Dalian New Material Technology Co., Ltd., a subsidiary of Hengli Petrochemical, plans to invest 1.8 billion yuan to build a 450,000-ton PBS biodegradable plastic project

Jul 04, 2021:98 hazardous chemical production enterprises in Jiangsu province including Nanjing Jiahe Daily Chemical Co., Ltd. have terminated the production of hazardous chemicals as their production licenses were canceled.

Comment MCC: This is in line with government targets to finish relocalization of even the biggest chemical plants by 2025. It also offers PetroChina the opportunity to shift Dalian Petrochemical"s focus from being a fuel-based to a chemical-based refinery. This step will assure that the refinery will remain relevant even if the demand for fuel decreases.

Jun 13, 2021:Wanhua Chemical and Hengyi Group will cooperate in all aspects of petrochemical downstream industrial chain projects, research, and development, trade, overseas project operations, etc. Both parties will establish a JV in Brunei as the main investor to carry out cooperation business.

Jun 05, 2021: Several cities and provinces have set requirements for the operation time of coatings, chemical, petrochemical, and other production enterprises and the spraying process to reduce VOC emissions particularly during the hottest time of the day.

Comment MCC:As a consequence of government measures to promote biodegradable plastics, major petrochemical players such as Hengli now are entering the market despite these materials so far accounting for less than 1% of plastics consumption

May 13, 2021: Zhejiang province has issued the 14th Five-Year Plan for the petrochemical industry, aiming at increasing refining capacity of more than 100 million t/a, olefin capacity of 15 million t/a and aromatics capacity of 14 million t/a by 2025

May 08, 2021:The Oriental Fortune Research Center released the 2020 China Top 500 List of Listed Companies in Revenue. 23 chemical-related production companies are on the list: Sinopec, PetroChina, China Shenhua, Yanzhou Coal, CNOOC, Hengli Petrochemical, China Coal Energy, Rongsheng Petrochemical, Hengyi Petrochemical, Zhongtai Chemicals, Shanghai Petrochemical, Wanhua Chemical, Sinochem International, Yuntianhua, Xinfengming, Kingfa Technology, Huajin Co., Ltd., Donghua Energy, Huayi Group, Qixiang Tengda, Oriental Shenghong, Tianyuan Co., Ltd., Sinochem Fertilizer . Among them, Sinopec and PetroChina are ranked first and second, while Hengli Petrochemical, Rongsheng Petrochemical, and Kingfa Technology have risen by more than 20 places

Comment MCC: As the long-term future of the petrochemical industry will probably depend more on producing chemicals than fuel, Sinopec already adapts its portfolio accordingly in order to stay relevant. Of course, one could also call this "mission creep".

Apr 26, 2021:Many chemical plants of LG Chem, Yanshan Petrochemical, CNOOC, Fushun Petrochemical, Sinopec Mitsubishi and others are scheduled to be shut down for maintenance or under maintenance in May. May is historically the month with the highest overhaul intensity.

Apr 22, 2021: 6 Chinese companies (12%) are among the top 50 chemical companies listed by C&EN, namely Sinopec, Formosa Plastics, PetroChina, Hengli Petrochemical, Syngenta and Wanhua Chemical.

Apr 15, 2021: A Chinese epoxy resin company recently adopted a bidding model for inventory sales, only accepting bids from old customers, setting a starting price for a specific amount of resin and awarding the product to the highest bid received within 24 hours.

Comment MCC: Given that Sinopec"s EBIT in chemicals shrank by about 47% in 2020, the increased investment indicates a strong long-term focus on chemicals. Presumably, partly this is due to the partial shift of Sinopec"s focus on the hydrogen economy, which will have a much larger impact on fuel demand than on demand for petrochemicals.

Mar 28, 2021: Axalta will buy Anhui Shengran Insulating Materials Co., Ltd., a Chinese producer of wire enamels used in a range of consumer electronics, electric vehicle, and industrial applications

Mar 27, 2021:SK Global Chemical has partnered with Chinese chemicals firm Zhejiang Satellite Petrochemical to build an eco-friendly packaging plant in Lianyungang, China (Chemical Technology). The 60/40 JV will produce ethylene acrylic acid (EAA), an adhesive copolymer widely used in packaging materials. The planned capacity is 40 kta.

Mar 24, 2021: In a recent speech, Fu Xiangsheng of the CPCIF discusses the challenges of the chemical industry to meet the "2030 peak carbon" and "2060 carbon neutrality" targets, pointing out that the petrochemical industry accounts for about 10% of all of China"s emissions.

Comment MCC:Interestingly, he sees the relatively low targeted GDP growth figure of 6% as an indicator of a shift from volume to quality. He also highlights the opportunities to innovate in the petrochemical industry, e.g., new technologies for energy conservation and emission reduction, new green technology, and the production of chemicals using carbon dioxide as raw materials.

Mar 06, 2021:The Nanjing Emergency Management Bureau investigated a case of illegal storage of hazardous chemicals by Nanjing Rubber Co., Ltd., and imposed a penalty of 3.45 million yuan, the highest fine ever issued in the case of illegal storage of hazardous chemicals in Jiangsu.

Mar 02, 2021:Xu Wenhua, a representative of the Municipal People"s Congress, deputy secretary of the Party Working Committee of Ningbo Petrochemical Development Zone, promotes establishing a China Chemicals Futures Exchange in Ningbo.

Feb 17, 2021: Brand Finance, a brand valuation company, valued Rongsheng Chemical at number 11 of its most recent ranking of global chemical companies. The next Chinese entry is Xinjiang Zhongtai.

Comment MCC: According to the company, Rongsheng`s brand value is about 1.6 bn USD compared to leading BASF`s 7.3 bn USD. To me, the exercise of determining these values seems relatively murky, and I doubt anybody would pay that much for Rongsheng as a stand-alone brand name (BASF might be a different matter). Still, the valuation company achieves its goal of getting some publicity, such as getting mentioned in this post.

Feb 10, 2021: WuXi STA, a subsidiary of WuXi AppTec responsible for pharmaceutical production, will acquire Bristol Myers Squibb"s plant in Switzerland

Comment MCC:This indicates a shift of profitability towards the more specialized, more downstream parts of the petrochemical value chain. Even within the chemical segment, this shift is visible as the annual operating income and profit of basic chemical products decreased (-5.2%, -2.6%) while that of pesticides (+6.1%, +0.5%) and specialty chemicals (+1.6%, +13.4%) increased.

Feb 07, 2021: Ongoing 2020 performance forecasts by domestic listed chemical companies show substantial increases in profit margin. For example, the profit of Rongsheng Petrochemical is expected to increase by about 230% yoy.

Jan 19, 2021:Hunan Province issued a "Five-Year Action Plan for the Industrial Chain of New Chemical Materials in Hunan Province (2021-2025)", focusing on new petrochemical synthetic chemical materials, fluorine chemical materials, functional coatings, new chemical materials, and rail transit applications. The target is to achieve a total output value of 120 billion yuan, with 480 new chemical material companies that have passed the certification, 3 companies with more than 10 billion yuan, and 20 companies with more than 1 billion yuan.

Comment MCC: While the rankings of the three major petrochemical SOEs are somewhat lower than before, several others have gone up the ranks, including Tianci Materials, Dongfang Shenghong, Xinyubang and Sankeshu. This indicates that the market views companies active in new materials and related areas very favorably.

Jan 13, 2021:The production equipment of the 300,000 tons/year ethylene glycol project of Inner Mongolia Cornell Chemical Industry Co., Ltd. will be auctioned off

Jan 12, 2021: According to a ranking of the world`s top brands, there are 10 oil and petrochemical brands among the top 500. Four of these are Chinese: Petrochina, Sinopec, CNOOC, Sinochem

Jan 07, 2021: On December 23, 2020, Jiangsu Huaer Chemical Co., Ltd. passed the on-site inspection by relevant departments of Guannan County. The company will resume production after obtaining the approval of the municipal chemical industry safety and environmental protection improvement leading group.