In the first half of October, the mainstream factory price of polypropylene drawing materials in North China was 11,550 to 11,600 yuan (ton price, the same below), a year-on-year decrease of 1.3%; the mainstream price of copolymerization grades was 11,900 to 12,000 yuan, a year-on-year decrease of 1.7%. From January to August in 2012, China's cumulative polypropylene production was 7.165300 tons, an increase of 659.96 tons, an increase of 10.1%; cumulative apparent consumption of 102.027 million tons, an increase of 8.12%. The representative of Datang Energy Chemical Sales Co., Ltd. Dai Bingxin said that from the data analysis since 2006, it can be seen that the performance consumption of polypropylene in China except for the negative growth of the global financial crisis in 2008 (-2.1%), other Years have increased year-on-year, with rapid growth in 2009 and 2010, at 23% and 12% respectively. It is expected that the apparent consumption in 2012 will reach 1,550 tons, an increase of 7.8% over the same period of last year. With the increase in the production capacity of polypropylene and the development of downstream industries in recent years, there has been a shortage of low-end varieties and high-end varieties in the polypropylene market. China's largest consumer of polypropylene is woven bags, packaging bags and tying ropes and other woven products, which account for about 50% of the total amount of polypropylene. Due to the low threshold, production is mainly for small and medium-sized enterprises, of which powders and recycled materials account for a certain percentage. Due to fierce competition, some companies have begun to move to the western and northern regions, and some companies have experienced unsaturation. Injection molded products are the second largest consumer of polypropylene, accounting for about 20% of the total amount of polypropylene. Mainly used in hard packaging, home appliances, auto parts, medical supplies and other fields. However, about half of China's injection molding materials still need to be imported. Another major consumer area is film products, accounting for about 20%, of which BOPP film is the main product, and is widely used in printing, coating, cigarette and food packaging bags, vacuum aluminum plating, capacitors and so on. However, in recent years, the production capacity of the BOPP industry has experienced a serious surplus, and the growth rate has slowed down. Fiber is the fourth largest consumption area of ​​polypropylene, and it is also a species with large potential for development. In addition to clothing fibers, polypropylene is the most active market for industrial use. With the emphasis on project quality, the application of polypropylene non-woven fabrics in roads, reservoirs, and dam construction will increase. In addition, consumption growth in medical and health materials is also fast. At this stage, the polypropylene market in China is still in a situation where supply is less than demand. Due to the limited capacity of domestic polypropylene, China still needs a lot of imported polypropylene each year. It is understood that from January to August this year, China's polypropylene imports totaled 3,188,500 tons, accounting for 31.3% of China's apparent consumption of polypropylene. However, with the rapid development of China's coal-based polypropylene industry, the pattern of the shortage of polypropylene products in China is expected to change. The domestic coal-produced polypropylene companies with established production capacity, such as Datang Inner Mongolia Duolun, Shenhua Baotou, Shenhua Ning Coal and Zhongyuan Ethylene, have a total capacity of 1.36 million tons, accounting for 10.6% of the polypropylene market. In addition, a batch of methanol-based polypropylene companies are also entering the market one after another. This part of the production capacity is also considerable. Dai Bingxin believes that at present, the structure of polypropylene products in China is uneven and there are structural excesses and shortages. The structural excess products are mainly general products based on drawing materials. General polypropylene products such as drawing and low-melt copolymers in domestic polypropylene production enterprises have a large proportion of major products; domestic coal-to-olefins have developed rapidly, and the initial stage is drawing-grade products; at the same time, production capacity in the Middle East has expanded significantly, and low-cost products have flooded into the domestic market. Also drawing general products such as drawing. Structural shortage products mainly refer to special materials such as high impact injection plastics, high melting fiber materials, high-grade BOPP special materials, CPP, tube sheets, and so on. This is due to the increasing demand for high-end special materials in China, and the weak development of high-end special materials in China, and limited production capacity. At present, the structural problems that have arisen in the polypropylene market have attracted the attention of many people of insight in the industry. Many companies have already focused on structural adjustment and started to increase the research and development of special products. Return Elbow Bender is key machine for 90 degree elbow bending process, Return Elbow bender can process range tubing from 1/4" to 1-1/2" copper tubing ro aluminum tubing.
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Polypropylene Market Structure Excess and Shortage Coexist