Ningbo Huatai Shengfu shut its cracker, PE and SM plants due to technical issue

MOSCOW (MRC) -- Ningbo Huatai Shengfu Wealthy Polymer Material was forced to shut down its hydrocarbon ethylene cracker in Daxie, Ningbo on 8 November 2021 due to a technical glitch, according CommoPlast.

The cracker has an annual output of 600,000 tons/year of ethylene. At the time of this report, it is unclear to when the company would be able to bring the unit back online.

As a result of feedstock disruptions, the producer has taken all of its downstream units at the same complex offline, including a 450,000 tons/year styrene monomer (SM) plant, and a 450,000 tons/year FDPE plant until the cracker resume operation.

As MRC informed earlier, the company launched this cracker in Ningo in July, 2021.

Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,868,160 tonnes in the first nine months of 2021, up by 18% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,138,510 tonnes in January-September 2021, up by 30% year on year. Supply of propylene homopolymer (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding statistical copolymers of propylene (PP random copolymers) decreased significantly.
MRC

MOSCOW (MRC) -- Polyethylene (PE) imports into Kazakhstan fell in January-September 2021 by 16% year on year to 117,500 tonnes. High density polyethylene (HDPE) and linear low density polyethylene (LLDPE) accounted for the decrease in shipments, reported MRC analysts.

September PE imports to Kazakhstan reached 12,100 tonnes versus 14,300 tonnes a month earlier, Russian producers reduced their PE shipments to the local market due to scheduled shutdowns for maintenance. Overall PE imports totalled 17,500 tonnes in January-September 2021, compared to 139,300 tonnes a year earlier. Purchases of low density polyethylene (LDPE) grew significantly, whereas HDPE and LLDPE imports decreased.

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

September HDPE imports dropped to 9,900 tonnes from 10,800 tonnes, Russian producers reduced their export sales of pipe grade PE to the local market because of shutdowns for repairs. Overall HDPE imports totalled almost 93,300 tonnes in the first nine months of 2021, down by 19% year on year.

September LDPE imports decreased to 1,300 tonnes from 2,600 tonnes a month earlier, a Russian producer restricted its shipments to the local market. Overall LDPE imports reached 16,200 tonnes over the stated period, up by 15% year on year.

September LLDPE imports reached 900 tonnes versus 800 tonnes a month earlier. Overall LLDPE imports reached 8,100 tonnes in January-September 2021, down by 19% year on year.

MRC

MOSCOW (MRC) - Imports of polypropylene (PP) into Belarus increased to about 88,300 tonnes in first nine months of this year, up 5.3% year on year. Demand for all PP grades increased, as per MRC DataScope.

September PP imports into Belarus dropped to 9,200 tonnes from 9,400 tonnes a month earlier. Local companies decreased their purchases of propylene homopolymer (homopolymer PP) in Russia, whereas their purchased of propylene copolymers increased. Overall imports of propylene polymers reached 88,300 tonnes in January-September 2021, compared to 83,900 tonnes a year earlier. Demand increased for all propylene polymers, but homopolymer PP accounted for the main growth in demand.

The structure of PP imports by grades looked the following way over the stated period.
September imports of homopolymer PP dropped to 7,100 tonnes from 7,600 tonnes a month earlier, purchases of injection moulding homopolymer PP in Russia decreased. Overall imports of homopolymer PP reached 65,300 tonnes in the first nine months of the year, up by 6.5% year on year.

September imports of propylene copolymers to Belarus were about 2,100 tonnes versus 1,800 tonnes a month earlier, local companies increased significantly their procurement of injection moulding block-copolymers of propylene (PP block copolymer) from Russian producers. Thus, overall imports of propylene copolymers reached 23,000 tonnes over the stated period, up by 2.1% year on year.


MRC

MOSCOW (MRC) - Imports of polypropylene (PP) in Kazakhstan grew to 33,700 tonnes in first nine months of this year, up 14% compared to the same period of 2020. PP exports increased more significantly by 49%, reported MRC analysts.

September PP shipments to Kazakhstan grew to 4,600 tonnes from 4,500 tonnes a month earlier, local converters increased their purchasing of pipe copolymer propylene in South Korea. Overall PP imports into the country exceeded 33,700 tonnes in the first nine months of the year, compared to 29,600 tonnes a year earlier. At the same time, the stable operation of the local producer during this period of time allowed to increase export sales of polypropylene by almost one and a half times.

September imports of homopolymer PP and propylene copolymers increased to 3,800 tonnes and 800 tonnes, respectively, versus over 3,900 tonnes and 600 tonnes a month earlier, local companies significantly increased their PP purchases from South Korea. Overall imports of homopolymer PP and propylene copolymers reached 24,200 tonnes and 9,500 tons, respectively, in January-September 2021, compared to 24,000 tonnes and 5,600 tonnes a year earlier.

September exports of PP from Kazakhstan increased to 6,000 tonnes against 3,100 tonnes in August. Kazakhstan's PP exports over the first nine months increased to 25,700 tonnes, whereas this figure was 17,300 tonnes a year earlier. About 93% of total exports accounted for Russia.


MRC

MOSCOW (MRC) -- China's Sinopec Corp said on Wednesday it plans to build a 1-MMtpy crude-to-olefin plant, having completed successful trial processing crude oil directly into olefin at its subsidiary plant in Tianjin, without giving further details, reported Reuters.

Thus, the top Asian refiner is one of the world's few companies that have applied the technology at an industrial scale. ExxonMobil is another firm equipped with such technology, Sinopec said.

With a yield of close to 50%, the manufacturing process cuts significantly production cost as well as CO2 emissions, compared with the traditional approach of refining crude into intermediate fuels which are further processed into olefin, Sinopec added.

Olefin - mainly ethylene and propylene - is the key building block for making petrochemicals such as plastics and synthetic fibre.

China, the world's largest emitter of green house gases, is expected to cap its primary crude oil refining capacity at 1 B tons annually by 2025 (20 MMbpd), under a national goal to hit carbon emission peak before 2030. But it remains short of petrochemicals such as plastics and synthetic fibre.

As MRC informed before, in August, 2021, Sinopec, the world's petrochemical major, launched the first phase of the Gulei refining complex in Zhangzhou city in China’s southeastern Fujian province. The refining complex, a 50:50 joint venture between Sinopec’s Fujian Petrochemical Company Ltd and Taiwan Xuteng Investment Company Ltd, invested 27.8 billion yuan (USD4.28 billion) in the first phase. That will result in an 800,000 tonnes per annum ethylene plant, a 600,000 tonnes per annum styrene unit and seven other downstream petrochemical units, Sinopec said.

Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,868,160 tonnes in the first nine months of 2021, up by 18% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,138,510 tonnes in January-September 2021, up by 30% year on year. Supply of propylene homopolymer (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding statistical copolymers of propylene (PP random copolymers) decreased significantly.

China Petrochemical Corporation (Sinopec Group) is a super-large petroleum and petrochemical enterprise group established in July 1998 on the basis of the former China Petrochemical Corporation. Sinopec Group's key business activities include the exploration and production of oil and natural gas, petrochemicals and other chemical products, oil refining.
MRC