China Petrochemicals Report Q2 2015

BMI Research
March 18, 2015
86 Pages - SKU: BMI5496818
Countries covered: China

China Petrochemicals Report Q2 2015

BMI View: The slowdown in the Chinese petrochemicals market has exacerbated the problem of oversupply in the Asia-Pacific region, according to BMI's latest China Petrochemicals Report. With significant excess capacity, the local petrochemicals industry has a strong basis for growth, moving the country towards self-sufficiency and even exporting a surplus in some segments. Coupled with falling naphtha costs, this will keep prices down over the short to medium term.

The rapid expansion seen in Chinese basic chemicals production capacity in recent years looks set to slow in the coming year. Ethylene capacity is expected to rise by 1mn tonnes per annum (tpa) to 25.7mn tpa in 2015, following a surge of 2.6mn tpa in 2014. Meanwhile, total polymer capacity is set to rise just 2.3% to 50.7mn tpa.



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