Liaoning Huajin Chemical brought on-stream PP plant in China

MOSCOW (MRC) -- Liaoning Huajin Chemical has restarted its polypropylene (PP) unit following an unplanned outage, according to Apic-online.

A Polymerupdate source in China informed that the company has resumed operations at the unit on August 14, 2017. The unit was shut in end-July 2017 owing to shortage of feedstock.

Located in Liaoning province, China, the PP unit has a production capacity of 50,000 mt/year.

We remind that, as MRC informed before, in-mid May 2017, Sinopec Yangzi Petrochemical took off-stream its PP plant for a maintenance turnaround. The duration of the planned shutdown could not be ascertained. Located in Jiangsu province, China, the plant comprising three units have a production capacity of 200,000 mt/year, 100,000 mt/year and 100,000 mt/year.
MRC

CNPC: Chinas energy demand to peak in 2040 as transportation demand grows

MOSCOW (MRC) — China's energy demand will peak by 2040, later than the previous forecast of 2035, as transportation fuel consumption continues to rise through the middle of this century, state-owned oil major China National Petroleum Corp (CNPC) said on Wednesday, as per Reuters.

Energy consumption in China, the world's second-largest economy, will peak then at 4.06 Bt of oil equivalent, up from the previous forecast of 3.75 Bt 5 yr prior, CNPC said in its annual long-term energy outlook. CNPC raised its forecast because it predicts transportation demand will rise through to 2050, twenty years longer than previously estimated.

China's oil demand will reach a ceiling of 690 MMtpy, equivalent to 13.8 MMbpd, by 2030, CNPC said. The country is the world's second-largest oil consumer. That compares with last year's estimate of a peak of 670 MMtpy by 2027.

Oil demand will grow at an annual rate of 2.7% until 2020, slowing to 1.2% until 2030, the report said. The headline number indicates that Chinese energy markets will continue to set the pace globally. However, the slowdown in oil consumption raises further doubt about the future role of oil in China's energy mix as alternative fuels take a greater share of the transportation and power generation sectors.

Gasoline demand will peak as soon as 2025, CNPC said. That would mean China's gasoline demand would peak only shortly after the United States. China has vowed to cap its energy consumption in 2017 in order to raise the use of cleaner fuels as part of a wider campaign to fight air pollution.

Clean energy, including renewable fuels and natural gas, will replace coal power as the largest fuel source for power generation by 2030 and account for more than half of the nation's power generation by 2045, it said.

Natural gas consumption will rise to 620 Bcm in 2030, said CNPC, up from 510 Bcm in last year's report. Power demand will total 11.8 Tkw hours by 2050, the report said.

Annual crude output will remain around 200 MMt, or 4 MMbpd, until 2030, at which point it will start to fall. Gas output will reach 380 Bcm by 2050. At that point, China will account for around 15% of world's gas production, it said.
MRC

Hanwha Chemical to shut PVC plant in Ulsan for maintenance

MOSCOW (MRC) -- Hanwha Chemical is likely to undertake planned shutdown at its polyvinyl chloride (PVC) plant in Ulsan, as per Apic-online.

A Polymerupdate source in South Korea informed that the company has planned to shut the plant in October 2017 for a period of around 15-20 days. The exact date of the shutdown could not be ascertained.

Located in Ulsan, South Korea, the PVC plant has a production capacity of 300,000 mt/year.

As MRC reported before, in 2015, Hanwha Chemical merged two of its chemical compounds businesses, Hanwha Next and Hanwha Compound. The combined entity, named Hanwha Compound, produces polyethylene, polypropylene, polyvinyl chloride, and acrylonitrile-butadiene-styrene. The company operates manufacturing plants in Yeosu and Suncheon, with an annual capacity of 100,000 tons.

Hanwha Group is one of the largest business conglomerate in South Korea. Founded in 1952 as Korea Explosives Inc., the group has grown into a large multi-profile business conglomerate, with diversified holdings stretching from explosives, their original business, to retail to financial services.
MRC

Reliance opens research centre for polymer applications at Vadodara

MOSCOW (MRC) -- Reliance Industries Ltd (RIL) has opened a technologically advanced product application & research centre (PARC) for polymers at Vadodara, Gujarat. The PARC will focus on creating value addition opportunities, not only for RIL’s polymer business, but also for its customers by offering technical, product upgradations and application development services, said Business-standard.

The PARC, initially set up in Mumbai in 1990 with the sole objective of providing product support solutions to customers, has now been transformed into a crucial R&D facility for polymers, such as polypropylene (PP), polyethylene (PE) and polyvinyl chloride (PVC).

Ajay Shah, president - polymer chain, Reliance Industries, said, "The PARC at Vadodara possesses a spacious shop floor and state-of-the-art labs that are equipped with the world’s finest processing and testing equipment. It has been tailored to cater to the ever-growing needs and expectations of our customers. A dynamic set of young engineers and technologists at the labs will play a crucial role as the vital link between end users, converters and manufacturing plants. I believe that a facility of this magnitude will go a long way to ensure that Reliance is at the quality frontier of our industry, globally."

The PARC houses the best brains of polymer technology, engineering and sector specialties. The team works tirelessly, creating opportunities and providing solutions to the ever-growing market needs and customer demands. The team is equipped at providing best-quality technical services, benchmarking, development of new grades in polymers, and inventions of applications.

Perry Vyas, Managing Director, Skaps India, said: “We are eager to use RIL’s world-class PARC facility as it is manned by the best talent in India. The unique combination of ultra-modern machineries, experienced technologists and engineers will help us boost the quality of our product offerings, and save costs as well. The facility will serve as an incubator for us to innovate and manufacture top quality products for international markets."

The processing machinery section at PARC is equipped with advanced machineries that can use PE for making mono & multilayer blown films, PP TQ film, PE & PP cast films & sheets. The huge shop floor also equipped to make articles through the processes of blow molding, injection molding, roto molding, compression molding and pipe extrusion.

The PARC team also engages with end-user industries, such as FMCG, automobile, food and beverages, agriculture, OEMs converters and other polymer processors.

The applications laboratory at the PARC is capable of performing tests for characterisation of polymers in accordance with the Indian and international standards. It is equipped with facilities for physical, mechanical, thermal, optical, environmental and rheological tests.

The PARC offers processing and testing services – such as value-added services like evaluation of their existing products, formulation of new products and creation of new applications - to customers and help them meet the global standards.

Apart from the PARC, RIL houses its product development centre at Vadodara, which specialises in plasticulture application development and creates awareness by providing on-ground training to farmers about plasticulture product usages and their benefits. Also, there is the elastomer customer support centre for research, testing and product development activities for elastomer.
MRC

PE imports to Russia up by 7% in the first seven months of 2017

MOSCOW (MRC) -- Overall imports of polyethylene (PE) into the Russian market increased in January-July of 2017 by 7% year on year to 320,000 tonnes. Imports of high density polyethylene (HDPE) and ethylene-vinyl-acetate (EVA) grew significantly, according to MRC's DataScope Report.

Last month's PE shipments to the Russian market dropped to 45,000 tonnes from 49,800 tonnes in June, with HDPE from Uzbekistan accounting for the main decrease in supplies.Overall PE imports reached 320,000 tonnes in January-July 2017, compared to 300,100 tonnes a year earlier. The HDPE and EVA segments accounted for the increase in imports, whereas other PE grades accounted for the decrease in import shipments.

The structure of PE imports looked the following way over the stated period.


Last month's HDPE imports fell to 15,000 tonnes from 21,000 tons in June, local companies reduced their purchasing of film grade and blow moulding HDPE in Uzbekistan. Overall HDPE imports reached 118,100 tonnes in the first seven months of 2017 versus 79,200 tonnes a year earlier.

July imports of linear low density polyethylene (LLDPE) were 14,400 tonnes, compared to 13,000 tonnes a month earlier, shipments of film grade PE increased, whereas demand for PE for rotational moulding of large items decreased. LLDPE imports totalled 101,600 tonnes in the first seven months of the year, compared to 124,000 tonnes a year earlier. An increase in the domestic output, particularly, by Nizhnekamskneftekhim, helped to reduce imports.

Last month's imports of low density polyethylene (LDPE) grew to 7,800 tonnes from 7,400 tonnes in June, shipments of PE for paper lamination from Europe increased. Overall LDPE imports decreased to 37,600 tonnes in January-July 2017 from 44,400 tonnes a year earlier.

July EVA imports were about 3,000 tonnes, compared to 3,800 tonnes a month earlier, demand subsided from footwear and cable and wire producers. Imports of this ethylene copolymer grade grew by 30% over the stated period to 22,200 tonnes.

Imports of other ethylene polymers totalled 25,200 tonnes, compared to 21,100 tonnes a year earlier.

MRC