Home office notice
Dear customers and partners,
Please be informed that we will work from home starting from Thursday March 31 until Tuesday April 5, 2022. During this period, our business will proceed as usual.
The office closure decision comes in the wake of the Shanghai Municipal Government policy to control the COVID-19 pandemic which has mushroomed across the city in the past few weeks.
If you need any service or have any inquiries, please feel free to contact us. We will respond at our earliest.
The following are your potential points of contact
1, Ms. Claire Zhang (For Asia)
Phone: +86 130 2318 9025 (WeChat and WhatsApp)
E-mail: claire.zhang@pudaily.com
2, Mr. Vigil Chen (For the Middle East, Europe and Americas)
Phone: +86 138 1630 6917
E-mail: vigil.chen@pudaily.com
With warmest regards,
The PUdaily team

2021 China BDO-THF-PTMEG Market Report Sample
May 11, 2022    [Source:PUdaily]

Part 1: A review of China’s BDO-THF-PTMEG market in 2021 and its outlook for the coming years

Market review: In 2021, the Chinese government issued plastic limit order even as the prices of raw materials for BDO soared. At the same time, downstream spandex and GBL-NMP markets were booming. As a result, the BDO price started the year at CNY 12,600/ton, and ended the year at CNY 30,500/ton, up 142.1% from the end of last year. Later, the price fell to about CNY 16,000/ton as facilities previously undergoing maintenance were restarted and the high prices suppressed demand. But soon the price skyrocketed again. In this process, the prices of THF and PTMEG also surged on high feedstocks costs and strong demand from spandex industry.

Market outlook: With the issuance of plastic limit order, demand for biodegradable plastic PBAT has exploded, motivating firms to foray into this sector. Currently, proposed capacity for PBAT in China has exceeded 10 million tons per year. As new PBAT plants come online, demand for BDO is expected to increase sharply. As technologies are maturing the booming new energy vehicles and photovoltaic markets will also contribute to growth in BDO demand by first driving up demand for lithium-ion batteries, to which NMP as a solvent, produced from GBL, is essential. Additionally, the stable growth in spandex sector will have a positive impact on BDO demand as it boosts demands across the BDO-THF-PTMEG value chain. In a word, BDO demand will maintain its rapid growth in the coming years. As growth in supply remains slower than that in demand in 2022, the high BDO prices will probably continue into 2022. Starting from 2023, however, the prices may fall as growth in supply becomes faster than in demand.

Part 2: Main contents and highlights of the report

Main contents: Raw materials markets in China; China’s BDO/THF/PTMEG capacities and output; China’s BDO/THF/PTMEG imports and exports;price movement and profit margins of BDO/THF/PTMEG; demand for BDO/THF/PTMEG; expansion BDO/THF/PTMEG projects in China; and forecast of BDO supply and demand in China.

Highlights: The issuance of plastic limit order will lead to exponential growth in demand for PBAT, which in turn will drive up demand for BDO. The booming new energy vehicles and photovoltaic markets will also contribute to the growth in BDO demand by first pushing up the demand for lithium-ion batteries, to which NMP, produced from GBL, is essential. Additionally, the stable growth in spandex sector will have a positive impact on BDO demand as it boosts demands across the BDO-THF-PTMEG value chain. To sum up, there is huge growth space for BDO market.

Part 3: A snapshot of the 2021 BDO-THF-PTMEG Market Report (take BDO for example)

As Chinese manufacturers have assimilated and further improved foreign production technologies, the production capacities of domestic individual BDO facilities have expanded continuously. This has resulted in low capacity utilization rate and increasingly fierce competition in recent years, thus dampening the manufacturers’ interest in further expanding their capacities, which is proven by the 0% growth in domestic capacity in 2021. However, in the very year the status of overcapacity was disrupted as expansion of calcium carbide capacity was subject to restriction and demand accelerated from downstream spandex, GBL and PBAT industries. Thus firms again rushed to launch BDO projects. According to Suntower, China's effective BDO capacity in 2021 amounted to 2.179 million tons per year, remaining level with 2020. In the year, BDO production totalled 1.758 million tons, up 23.8%. All this indicates an industry operating rate of 80.7%, rising significantly from previous years.

In 2021, production capacities using Reppe process totalled 1.979 million tons per year, accounting for 91% of the total effective capacity. And those using allyl alcohol process amounted to 200,000 tons per year, accounting for 9% of the total effective capacity. Presently, capacities using maleic anhydride process all have been closed and thus are not included in the effective capacity. In China, all BDO manufacturers use Reppe process except Chang Chun Chemical(Panjin) and Yizheng Dalian, which adopt allyl alcohol process. 

Table 1 China’s BDO capacities and output 2017-2021 (in 10kt)

 

2017

2018

2019

2020

2021

Capacity

**

**

**

**

217.9

Output

**

**

**

**

175.8

Capacity utilization

**

**

**

**

80.7%

 

Table 2 Domestic BDO manufacturers’ capacities, output and operating rates in 2021

Manufacturer

Location

Capacity

Operating rate

Output

Markor Chemical

Korla, Xinjiang

26

109%

28.3

Henan Energy&Chemical Industry

Hebi and Yima, Henan

21

95%

20

Sinopec Great Wall Energy and Chemical

Yinchuan,Ningxia

**

**

**

Xinjiang Blue Ridge Tunhe Chemical Industry Joint Stock

Changji,Xinjiang

**

**

**

Xinjiang Guotai Xinhua Mining

Changji, Xinjiang

**

**

**

Chang Chun Chemical(Panjin)

Panjin, Liaoning

**

**

**

Shanxi Bi Diou

Weinan, Shaanxi

**

**

**

Dongyuan Group

Wuhai, Inner Mongolia

**

**

**

Sichuan Tianhua

Luzhou, Sichuan

**

**

**

Xinjiang Tianye

Shihezi, Xinjiang

**

**

**

Chongqing Jianfeng Chemicals

Fuling, Chongqing

**

**

**

Shaanxi Yanchang Petroleum

Yan'an,Shaanxi

**

**

**

Shanxi Ronghe Chemical

Yumu, Shaanxi

**

**

**

Xinjiang Xinye Energy and Chemical

Wujiaqu, Xinjiang

**

**

**

Shaanxi Heimao Coking

Hancheng, Shaanxi

**

**

**

Yizheng Dalian

Yangzhou, Jiangsu

**

**

**

Fjpec Joint marketing

Quanzhou, Fujian

**

**

**

Total

217.9

81%

175.8

Fig. 1 Movement of average monthly BDO price in China 2020-2021

Fig. 2 Movement of average monthly BDO profits in China 2020-2021

Thanks to the booming market BDO profits have remained fat since the beginning of 2021. As a result, many firms have been lured into the industry. At present, proposed BDO capacities have exceeded 10 million tons per year. With a construction period of about two years, these new projects won't come online until the second half of 2022.

Table 3 BDO projects under construction and proposed in China

Manufacturer

Location

Capacity

Note

Hengli Energy (Yulin) New Material

Yulin, Shaanxi

180

With previous project suspended, the manufacturer plans to shift to maleic anhydride process.

Inner Mongolia Junzheng Chemical

Wuhai, Inner Mongolia

120

The company plans to launch a green recycling project, consisting of two 600kt/a BDO plants and two 1000kt/a PBAT/PBS/PBT/PTMEG plants, which will be built in two phases. The construction period is from May 2021 to December 2023.

Xinfa Group

Jining, Shandong

120

The project includes a 1200kt/a BDO and an ancillary formaldehyde unit, a 400kt/a acetic acid facility, a 100kt/a vinyl acetate, a 600kt/a PBAT unit, 400kt/a PTMEG facility, a 400kt/a spandex plant and a 100kt/a GBL/NMP unit.

Inner Mongolia Sanwei New Material

Wuhai, Inner Mongolia

90

The company plans to build an integrated project consisting of BDO, PBAT and PTMEG facilities. The Phase I project involves building a 600kt/a BDO plant, with a construction period from August 2021 to August 2024. The Phase II project involves building a 300kt/a BDO plant, with a construction period from March 2023 to December 2026.

Inner Mongolia Huaheng Energy Technology

Yima, Henan

72

Environmental Impact Assessment Report is published for public comment.

Xinjiang Korla Zhongtai Petrochemical

Guangzhou, Guangdong

60

The manufacturer plans to launch a BDO project in Shangku Petrochemical Industrial Park, Korla, Bazhou, which includes two 300kt/a BDO plants using natural gas-to-acetylene technology transferred from Sinopec Chongqing SVW Chemical.

Fujian Zhongjing Petrochemical

Fuqing, Fujian

60

The company has launched a 600kt/a BDO project. The Phase II project, which is under construction, is scheduled to be completed by 2023. The Phase Ⅲ project, which utilizes the by-product hydrogen as a raw material to further extend the value chain, will be put into production by 2024.

Shanxi Tond Chemical
 

Yizhou, Shanxi

50

The company has launched a 500kt/a BDO project. The Phase I 240kt/a project, started in April 2021, is expected to begin production in December 2022. Some BDO products from the project will be supplied to the company's PBAT project as raw materials, and the remainder will be sold.

Wanhua Chemical

Meishan, Sichuan

10

The company’s 100kt/a BDO project, which is designed to provide raw materials for its 60kt/a PBAT project in Sichuan, is projected to come onstream in 2022. The annual operating time for the facility is 8,000 hours. The project adopts Reppe process, which sources acetylene by converting natural gas into the feedstock.

East China Engineering Science and Technology

Hefei

10

The manufacturer has launched a 100kt/a BDO and 120kt/a PBAT project, with a construction period of about 26 months.

Xinjiang Guotai Xinhua Mining

Xinjiang Zhundong Economic and Technological Development Zone

 

The 100kt/a project is expected to begin production in 2022.

Hebei Bohang New Material

Renqiu,Hebei

9

The company plans to launch an integrated 110kt/a n-butane, 100kt/a maleic anhydride, 90kt/a BDO and 60kt/a PBS project.

Shandong Ruian Biotechnology

Jining, Shandong

5

The company has started a 55kt/a BDO project using maleic anhydride process, which is scheduled to begin production in October 2023.

Total

1064.4

Growing at a CAGR of 12.3% for the 2017-2021 period, China’s BDO consumption reached 1.75 million tons in 2021, up 17.4% from 2020. In 2021, the biggest consumer was the PTMEG-spandex sector, which accounted for **% of the total BDO consumption. It is followed by PBT and GBL industries, which made up **% and **% of the total consumption, respectively. PU represented **% of the total consumption. Although PBAT accounted for only **% of the total consumption in the year, the share is expected to grow rapidly due to the effects of plastic limit order.

Table 4 BDO consumption by different downstream sectors 2017-2021 (10kt)

 

2017

2018

2019

2020

2021

PTMEG-spandex

**

**

**

**

**

PBT

**

**

**

**

**

GBL

**

**

**

**

**

PU

**

**

**

**

**

PBAT

**

**

**

**

**

Others

**

**

**

**

**

Total

**

**

**

**

175.0

 Since the beginning of 2021, the booming BDO market has lured many firms into this industry. Currently, proposed capacity for BDO in China has exceeded 10 million tons per year. But how much capacity will actually be delivered depends on the implementation of downstream PBAT projects. Although proposed capacity for PBAT has also exceeded 10 million tons per year, an annual capacity of only about ** tons is anticipated to come online by 2025. Considering this fact and demands from other downstream industries, it is estimated that only about ** tons of new capacities will come onstream by 2025. Meanwhile, BDO production is estimated to reach 3.57 million tons and consumption will amount to 3.52 million tons by the same year.

Table 5 Forecast of China’s BDO output for 2022-2025 (in 10kt)

 

2022E

2023E

2024E

2025E

Total output

**

**

**

357

 Table 6 BDO consumption by different downstream sectors 2022-2025 (10kt)

 

2022E

2023E

2024E

2025E

PTMEG-spandex

**

**

**

**

PBT

**

**

**

**

GBL

**

**

**

**

PU

**

**

**

**

PBAT

**

**

**

**

Others

**

**

**

**

Total

**

**

**

352.1

 Part 4: Catalogue of 2021 China BDO-THF-PTMEG Market Report

        1.Profile of BDO, THF and PTMEG  

1.1 Properties 

1.1.1 BDO      

1.1.2 THF       

1.1.3 PTMEG

1.2 Applications     

1.3 Production processes

1.3.1 Reppe process       

1.3.2 N-butane-to-maleic anhydride process 

1.3.3 Propylene oxide process       

1.3.4 Butadiene process 

1.4 An overview of upstream raw materials markets    

1.4.1 Methanol       

1.4.2 Maleic anhydride  

1.4.3 Calcium carbide    

2. An analysis of the BDO industry    

2.1 China’s BDO capacity and output 2017-2021

2.2 Capacities and output of BDO producers in China 

2.3 China’s BDO imports and exports in 2021     

2.3.1 China’s BDO imports in 2021      

2.3.2 China’s BDO exports in 2021      

2.4 Price movement of BDO in 2021    

2.5 Profit margin of BDO in China 2020-2021     

2.6An analysis of downstream markets in 2021   

2.7China's BDO projects under construction and proposed for the coming years       

3. An analysis of the THF industry    

3.1 China’s THF output and capacity in 2021       

3.2 China’s THF imports and exports in 2021      

3.2.1 China’s THF imports in 2021       

3.2.2 China’s THF exports in 2021

3.3 Movement of THF price in China 2020-2021

3.4 Profit margin of THF in China 2020-2021      

3.5 An analysis of downstream markets in 2021   

3.6China's THF projects under construction and proposed for the coming years       

4. An analysis of the PTMEG industry      

4.1 China’s PTMEG capacity and output 2017-2021   

4.2 Capacities and output of PTMEG producers in China    

4.3 China’s PTMEG imports and exports in 2021

4.3.1 China’s PTMEG imports in 2021 

4.3.2China’s PTMEG exports in 2021  

4.4 Movement of PTMEG price in China 2020-2021  

4.5 Profit margin of PTMEG in China 2020-2021

4.6 An analysis of downstream markets in 2021   

4.7 China's BDO projects under construction and proposed for the coming years       

5. BDO demand from downstream sectors in 2021  

5.1 An overview of downstream markets      

5.2 An analysis of downstream markets in 2021   

5.2.1 Spandex market    

5.2.2 PBT market   

5.2.3 GBL market  

5.2.4 PU market     

5.2.5 PBAT market

5.2.6 Other sectors 

6. Market outlook 2022-2025      

6.1 Forecast of BDO supply in China for 2022-2025

6.2 Forecast of BDO demand in China for 2022-2025 

6.2.1 Demand from spandex market      

6.2.2 Demand from PBT market    

6.2.3 Demand from GBL market   

6.2.4 Demand from PU market      

6.2.5 Demand from PBAT market 

 

Table& Chart Catalog

Table 1 Specifications of different PTMEG grades       

Table 2 Main applications of BDO

Table 3 Evolution of the production process 

Table 4 China’s BDO capacities and output 2017-2021 (in 10kt)

Table 5 Different BDO manufacturers’ capacities, output and operating rates in 2021

Table 6 Monthly volumes of China’s unenumerated glycols imports in 2021 (in 10kt)

Table 7 China’s other glycols (including BDO) imports in 2021 

Table 8 China’s unenumerated other glycols (including BDO) imports through different customs ports in 2021

Table 9 Monthly volumes of China’s unenumerated glycols exports in 2021 (in 10kt)

Table 10 China’s unenumerated glycols (including BDO) exports through different customs ports in 2021     

Table 11 China’s unenumerated glycols (including BDO) exports through different customs ports in 2021     

Table 12 BDO projects under construction and proposed in China      

Table 13 Monthly volumes of China’s unenumerated glycols imports in 2021 (in 10kt)

Table 14 China’s unenumerated glycols (including THF) imports through different customs ports in 2021     

Table 15 China’s unenumerated glycols (including THF) imports through different customs ports in 2021     

Table 16 Monthly volumes of China’s unenumerated glycols exports in 2021 (in 10kt)

Table 17 China’s unenumerated glycols (including THF) exports through different customs ports in 2021     

Table 18 China’s unenumerated glycols (including THF) exports through different customs ports in 2021     

Table 19 China’s PTMEG capacities and output 2017-2021 (in 10kt) 

Table 20 Different PTMEG manufacturers’ capacities, output and operating rates in 2021  

Table 21 Monthly volumes of China’s PTMEG imports in 2021 (in 10kt)  

Table 22 China’s PTMEG imports through different customs ports in 2021

Table 23 China’s PTMEG imports through different customs ports in 2021

Table 24 Monthly volumes of China’s unenumerated glycols exports in 2021 (in 10kt)

Table 25 China’s PTMEG exports through different customs ports in 2021

Table 26 China’s PTMEG exports through different customs ports in 2021

Table 27 PTMEG consumption by different downstream sectors in China 2017-2021 (10kt)   

Table 28 PTMEG projects under construction and proposed in China 

Table 29 BDO consumption by different downstream sectors 2017-2021 (in 10kt)       

Table 30 Synthetic leather resin manufacturers’ capacities and output in 2021 (in 10kt)

Table 31 Sole resin manufacturers’ capacities and output in 2021 (in 10kt)

Table 32 TPU manufacturers’ capacities and output in 2021 (in 10kt) 

Table 33 PBAT projects under construction and proposed   

Table 34 Forecast of China’s BDO output for 2022-2025 (in 10kt)     

Table 35 BDO consumption by different downstream sectors 2022-2025 (in 10kt)       

 

Fig. 1 Movement of average methanol price in 2021   

Fig. 2 Movement of average maleic anhydride price in 2021       

Fig. 3 Movement of average calcium carbide price in 2021 

Fig. 4 Different production processes’ shares of the total BDO capacity in 2021       

Fig. 5 Different manufacturers’ shares of the total BDO capacity in 2021   

Fig. 6 Different manufacturers’ shares of the total BDO output in 2021      

Fig. 7 Movement of average monthly BDO price in East China 2020-2021

Fig. 8 Changes in average monthly BDO profits in China 2020-2021 

Fig. 9 Different production processes’ shares of the total THF capacity in 2021       

Fig. 10 Different production processes’ shares of the total THF output in 2021       

Fig. 11 Comparison of average monthly prices of THF and feedstock BDO in East China 2020-2021

Fig. 12 Changes in average monthly THF profits in China 2020-2021

Fig. 13 Different manufacturers’ shares of the total PTMEG capacity in 2021       

Fig. 14 Different manufacturers’ shares of the total PTMEG output in 2021       

Fig. 15 Movement of PTMEG 1800 price in East China 2020-2021   

Fig. 16 Changes in average monthly PTMEG profits in China 2020-2021  

Fig. 17 Analysis of downstream sectors

Fig. 18 Spandex manufacturers’ capacities in 2021 (in 10kt)

Fig. 19 PBT manufacturers’ capacities in 2021 (in 10kt)      

Fig. 20 GBL manufacturers’ capacities in 2021 (in 10kt)     

Fig. 21 PBAT manufacturers’ capacities in 2021 (in 10kt)   

Fig. 22 Different downstream industries’ shares of BDO consumption in 2021       

 

You can subscribe to this report via

Tel: 86-21-61250986 and E-mail: info@pudaily.com                                                                                                             

 

Contact
  • Tel: 0086-21-61250980;
  • Fax: 0086-21-61159277;
  • E-mail: info@pudaily.com
  • Add: Room 607, Block B, Rhine Hongjing Center, No. 1439, Wuzhong Road, Shanghai

Copyright Statement: 2005-2022 Suntower Consulting Limited. All Rights Reserved. The material including but not limited to text, photo, multimedia information, etc on this site may not be reproduced, modified or used in any form without the original author or copyright holder's permission. PUdaily is a member of Suntower Consulting Limited.

Any questions please contact at email: info@pudaily.com; Tel: 0086-21-61250980

Disclaimer: This information published in this website is only for reference and no responsibilities or liabilities will be accepted by PUdaily for commercial decisions claimed to have been based on information.

About Us  |  Feedback  |  Clients  |  Contact
Tel: 0086-21-61250980 E-mail: info@pudaily.com Fax: 0086-21-61159277
© 2007 Suntower Consulting Limited.  All Rights Reserved  沪ICP备07503201号 gs沪公网安备31011202002186号