Memorabilia of the polyester industry in 2023

2023 is coming to an end, and looking back this year, the environment of the polyester industry chain continues to deduce, whether from the perspective of the industry or on behalf of enterprises, they are experiencing new development and transformation. The following is a selection of some major points, and more content is welcome to be added in the comment area.

The situation of high industrial capacity expansion continued, and the production capacity of PTA and polyester was put into operation at the level of 10 million tons

As the most important growth point of the global polyester industry, the polyester industry chain will continue to expand its capacity at a high level in 2023, and the growth momentum is still quite rapid: the PX production capacity in the domestic mainland has entered the prefix of "4", and Shenghong Refining & Chemical, Guangdong Petrochemical, Daxie Petrochemical, and CNOOC Huizhou Phase II have been put into operation; After the opening of the second phase of Yisheng Hainan plant, the new increase in PTA production capacity reached 10 million tons, and the new polyester production capacity also reached around 10 million tons, of which the expansion of polyester bottle flakes surged, and the production capacity growth rate reached 35%.

The upstream and downstream have achieved double-digit growth, and the growth rate of polyester output has reached a new high since 2012

In 2023, despite the pressure on the foreign trade market, with the significant recovery of domestic demand, the overall production and sales of the polyester market will be booming and the resilience will be strong, and the polyester industry chain will show a high growth trend, and the upstream and downstream will achieve double-digit growth simultaneously. According to preliminary statistics, the growth rate of polyester production is expected to reach more than 15% in 2023, the highest level since 2012, and the unexpected volume of polyester links has supported the rapid growth of the entire industrial chain.

New changes in the layout of polyester industry: the first set of direct-spinning filament yarn in Xinjiang was put into production, and Fuwell polyester short settled in Zhuhai

On March 19, the first set of polyspinning device of the first phase of the 300,000 tons/year polyester chemical fiber project of Xinjiang Yuxin New Materials Co., Ltd. was successfully started, which marked that Xinjiang achieved a zero breakthrough in the field of polyester direct spinning filament.

In October, the 100,000-ton low-melting point staple fiber project of Fuwell (Zhuhai) Composite Materials Co., Ltd. was successfully put into operation, which has also become a new bright spot in the field of direct spinning polyester stub in Guangdong Province in recent years.

Tongkun was promoted to a 10-million-ton polyester filament aircraft carrier and completed the industrial supporting facilities of the MEG sector

2023 is a big year for the concentrated production capacity of Tongkun filament, and a total of 3 million tons of direct spinning filament projects have been completed in Suqian, Nantong, Jiaxing, Alar and other places during the year, so that the production capacity of Tongkun polyester filament has reached 10 million tons, ranking first in the global market. In addition, with the successful commissioning of the 600,000 tons/year syngas-to-ethylene glycol project in Xinjiang Zhongkun in November, Tongkun Group has also completed the relevant supporting facilities of the MEG sector, and the industrial chain system has been further improved.

Indonesia's refining and chemical integration project was launched, and the industry's leading layout went abroad

On the evening of June 26, 2023, Tongkun Co., Ltd. and Xinfengming simultaneously disclosed that they plan to launch the Indonesia Beijia Refining and Chemical Integration Project of Taikun Petrochemical (Indonesia) Co., Ltd., with a project scale of 16 million tons/year of oil refining, a paraxylene (PX) production capacity of 5.2 million tons/year, and an ethylene capacity of 800,000 tons/year.

On the one hand, it will help build an international cross-border supply chain and ensure the supply of raw materials for the PTA-polyester industry chain of enterprises, and on the other hand, it is in line with the national "One Belt, One Road" strategy and will help consolidate the bilateral economic and trade relations between China and Indonesia and the friendly relations between China and ASEAN.

Saudi Aramco acquired the stake in Rongsheng Petrochemical at a premium and signed a cooperation framework agreement with Dongfang Shenghong

On March 27, 2023, Saudi Aramco announced that it had signed a definitive agreement with Rongsheng Petrochemical to acquire 10% plus one share of Rongsheng Petrochemical at a price of 24.3 yuan per share, with a total consideration of 24.6 billion yuan (about 3.6 billion US dollars), a premium of 88%. At the same time, it will supply 480,000 b/d of Arabian crude oil to Zhejiang Petrochemical Co., Ltd., a subsidiary of Rongsheng Petrochemical, with an initial fixed term of 20 years, which will be extended over a five-year period. On July 21, the official WeChat public account of Rongsheng Holding Group announced that the strategic shareholding was officially completed.

On September 27, 2023, Saudi Aramco and Jiangsu Oriental Shenghong Co., Ltd. ("Oriental Shenghong") signed a cooperation framework agreement to facilitate discussions regarding Saudi Aramco's possible acquisition of a 10% strategic stake in Jiangsu Shenghong Petrochemical Group Co., Ltd. ("Shenghong Petrochemical"), a wholly-owned subsidiary of Oriental Shenghong, subject to due diligence and necessary regulatory approvals.

The accelerated pace of Saudi Aramco's investment in China will help strengthen cooperation between China and Saudi Arabia's refining and chemical industry chains and achieve win-win results in terms of raw material supply, advanced technology, and market expansion.

The Hengli (Huizhou) Industrial Park project was put into operation, and the PTA industry of Hengli Petrochemical was deployed in the Greater Bay Area

On March 18, 2023, the first PTA production line in Hengli (Huizhou) Industrial Park was successfully put into operation at one time and successfully produced qualified products on the next day, and on July 11, the second PTA production line was successfully put into operation and officially put into operation, marking the full operation of the 5 million tons/year PTA project in the industrial park.

Hengli (Huizhou) Industrial Park is the first project of Hengli Group to implement the development strategy of Guangdong-Hong Kong-Macao Greater Bay Area, and it is also another major production base in addition to Hengli (Dalian Changxing Island) Industrial Park. Hengli (Huizhou) PTA project can undertake the digestion of paraxylene in Daya Bay Petrochemical Park and convert it into upstream raw materials required by the new material industry on the spot, which can effectively reduce the production cost of enterprises, improve the market competitiveness of products, and help Huizhou and even Guangdong petrochemical industry chain to further make up for the shortcomings in the middle and lower reaches.

Trends of other polyester industry chain related enterprises

Opening of the second production line of the original Chenggao Packaging: In August 2023, after one and a half years of asset restructuring of China Resources, the second production line of the original Chenggao Packaging with an annual output of 600,000 tons of PET bottle flakes was put into production, marking the total production capacity of China Resources bottle flakes reaching 3.3 million tons/year.

Fujian Billion domestic bottle flakes project investment: In August 2023, Fujian Billion with an annual output of 700,000 tons of polyester bottle flakes plant was successfully put into operation, and its overseas bottle flakes production capacity is also gradually expanding, forming an industrial layout of domestic and overseas two-way development.

Hengli Petrochemical (Dalian) new projects have been put into operation one after another: From October to November 2023, two sets of polyester chip projects of Hengli Petrochemical (Dalian) New Material Technology Co., Ltd. have been put into operation one after another, marking the production progress of its 1.6 million tons/year high-performance resin and new material projects.

Yipu New Materials New Entry into the Bottle Flakes Industry: In December 2023, a new polyester plant with an annual output of 120,000 tons will be gradually put into operation in Xinjiang Yipu, which will produce light chips in the early stage and may be equipped with polyester bottle flakes in the later stage. Yipu New Materials Co., Ltd. is located in Karamay City, Xinjiang, and is funded by Yangzhou Pulit Technology Development Co., Ltd. (70%) and Karamay Guangsheng Industrial Investment Co., Ltd. (30%).

Yongsheng Technology's film production capacity expanded to 430,000 tons: In December 2023, Yongsheng Technology's fourth German DORNIER 10.6-meter high-speed wide-width film production line in Zone C was successfully put into operation, and successfully produced qualified products, marking that Yongsheng Technology's annual output of 250,000 tons of functional polyester film expansion project has been successfully put into operation. So far, the company's annual production capacity of polyester film has reached 430,000 tons, ranking among the top four in China.

Edit | Huarui Information New Media Team

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