In March 2019, the “March 21” extremely large explosion accident in Xiangshui shocked the country and severely damaged the chemical industry in Jiangsu Province. In order to reverse the decline in safety and environmental protection in the province’s chemical industry, Jiangsu Province has learned from the experience and set off a “storm” of safety and environmental protection rectification in chemical industry parks and enterprises across the province, aiming to make Jiangsu’s chemical industry return to safety and greenness.
Jiangsu Chemical Industry has set off a rectification storm!
The “3·21” accident affected far beyond Xiangshui County. In September last year, Jiangsu Province issued the “Notice on Setting Targets and Tasks for Improving Safety and Environmental Protection Improvements in the Province’s Chemical Industry in 2019” stating that the province had identified 4,022 chemical production companies that needed to be rectified. Among them, 1,431 companies plan to close and exit, 267 companies stop production for rectification, 1,302 companies undergo rectification within a time limit, 77 companies are relocated to other places, and 945 companies are renovated and upgraded. In 2019, it is planned to close and withdraw from 579 chemical production enterprises, and 9 chemical industry parks (concentration areas) that will close or cancel their chemical industry positioning.
The list of Jiangsu chemical companies that will be closed down for rectification in 2019 will be announced one after another!
The plan has been made, how is the implementation going? Recently, various regions in Jiangsu have successively announced lists of companies to be closed down in 2019.
1. Yancheng City
Xiangshui County:
List of closed chemical production enterprises in Xiangshui County in 2019
1. Xiangshui County Kunpeng Chemical Co., Ltd.
2. Xiangshui County Shenglong Pigment Chemical Co., Ltd.
3. Xiangshui County Fumei Chemical Co., Ltd.
4. Xiangshui County Xingping Chemical Co., Ltd.
5. Yancheng City Hehai Chemical Solvent Co., Ltd.
6. Xiangshui Huasheng Chemical Co., Ltd.
7. Xiangshui Taishe Chemical Co., Ltd.
8. Jiangsu Tianjiayi Chemical Co., Ltd.
9. Jiangsu Zhijiang Chemical Co., Ltd.
10. Yancheng Deli Chemical Co., Ltd.
11. Jiangsu Huapai New Material Technology Co., Ltd.
12. Xiangshui County Lanxiang Cellulose Co., Ltd.
Binhai County:
List of closed chemical production companies in Binhai County in 2019
1. Jiangsu Dolphin Pharmaceutical Co., Ltd.
2. Jiangsu Jianding Biotechnology Co., Ltd.
3. Yancheng Bohong Electronic Chemical Co., Ltd.
4. Binhai Taifeng Pharmaceutical Chemical Co., Ltd.
5. Yancheng Zhonghao Chemical Co., Ltd.
6. Yancheng Huaxin Chemical Co., Ltd.
7. Binhai Longjing Chemical Co., Ltd.
8. Binhai Huayuan Chemical Co., Ltd.
9. Binhai Weijia Chemical Co., Ltd.
10. Binhai Fuma Pharmaceutical Chemical Co., Ltd.
11. Yancheng Hengsheng Chemical Co., Ltd.
12. Yancheng Shunda Chemical Industry Co., Ltd.
13. Binhai County Xingrong Fine Chemical Co., Ltd.
14. Yancheng Fuyou Pharmaceutical Chemical Co., Ltd.
15. Binhai County Jingang Huasheng Gas Co., Ltd. (closed and dismantled all chemical production links)
16. Binhai County Hengya Dissolved acetylene gas plant (closed and dismantled all chemical production links)
17. Binhai Hengguan Pharmaceutical Chemical Co., Ltd.
Funing County:
List of closed chemical production companies in Funing County in 2019
1. Jiangsu Shen’an Fine Chemical Co., Ltd.
2. Funing Changxin Chemical Co., Ltd.
3. Yancheng Laite Chemical Technology Co., Ltd.
4. Yancheng Xingchen Chemical Co., Ltd.
5. Yancheng Kangbet Pharmaceutical Chemical Co., Ltd. Company
6. Yancheng Green Chemical Co., Ltd.
7. Yancheng Xiangyi Chemical Co., Ltd.
Sheyang County:
1. Sheyang County Baoshuo Chemical Co., Ltd.
Jianhu County:
1. Yancheng Guangda Acetylene Gas Co., Ltd.
2. Jianhu County Shanggang Acetylene Gas Co., Ltd.
2. Lianyungang
There are currently 20 chemical production companies that have met the municipal shutdown standards,
among them:
1. Three companies in the dismantling category of production equipment:
1. Lianyungang Shengli Resin Materials Co., Ltd.
2. Lianyungang Huili Resin Co., Ltd.
3. Lianyungang Xianda Chemical Co., Ltd.
2. 17 companies whose supporting facilities have been cut off:
1. Lianyungang Huatong Chemical Co., Ltd.
2. Jinxiang Chemical (Lianyungang) Co., Ltd.
3. Guannan Xinfeng Chemical Co., Ltd.
4. Lianyungang Changlong Fine Chemical Co., Ltd.
5. Lianyungang Taisheng Chemical Co., Ltd.
6. Lianyungang Yicheng Chemical Co., Ltd.
7. Nanlong (Lianyungang) Chemical Co., Ltd.
8. Jiangsu Vigres Chemical Co., Ltd.
9. Lianyungang Juxin Biotechnology Co., Ltd.
10. Jiangsu Chunlu Technology Co., Ltd.
11. Lianyungang Fengdie Chemical Co., Ltd.
12. Jiangsu Beihede Chemical Co., Ltd.
13. Lianyungang Xinfurong Biotechnology Co., Ltd.
14 , Jiangsu Huangma Agricultural Chemical Co., Ltd.
15. Lianyungang Yongda Chemical Co., Ltd.
16. Lianyungang Shuangdie Dyestuff Chemical Co., Ltd. Company
17. Lianyungang Keerjian Chemical Co., Ltd.
Lianyun District:
1. Lianyungang Kuanyang Laver Co., Ltd.
2. Lianyungang Debao Construction Engineering Co., Ltd.
3. Lianyungang Feiheng Building Materials Co., Ltd.
4. Lianyungang Qiangsheng Cement Products Manufacturing Co., Ltd.
Haizhou District:
3. Yangzhou City
▽List of closed chemical companies in Jiangdu District (second batch)
▽ListofclosedchemicalcompaniesinJiangduDistrict(firstbatch)
4. Xuzhou City
Other cities The county has not yet been announced, but I believe it will be announced gradually during this period
The number of chemical companies in Jiangsu will be reduced to 2,000 in 2020!
On April 1, 2019, Jiangsu Province issued an emergency notice to solicit opinions on the “Jiangsu Province Chemical Industry Rectification and Improvement Plan (Draft for Comments)”, requiring the province to The number of chemical companies will be reduced to 2,000, and no more than 1,000 in 2022;
The number of chemical industry parks (concentration areas) will be reduced to 20.
2020 is the year of the end of the “13th Five-Year Plan” and the year of building a moderately prosperous society in an all-round way. To this end, Jiangsu Province will continue to complete the goals set in 2019 and complete the ” The deployment and implementation of the “Plan” will further promote special actions such as “263” and strive to make the chemical industry in Jiangsu Province continue to develop towards safe, green and sustainable development.
80% of chemical companies will complete relocation by the end of this year!
This is not the first time that domestic chemical companies have closed and exited on a large scale. Since 2017, under the influence of the new environmental protection policy, Chinese chemical companies have begun to reshuffle. In August 2017, the “Guiding Opinions on Promoting the Relocation and Renovation of Hazardous Chemical Production Enterprises in Densely Populated Urban Areas” issued by the General Office of the State Council stated that by 2025, the existing hazardous chemicals in densely populated urban areas will not meet the safety and health protection distance requirements. Chemical production enterprises must be renovated on-site to meet standards, relocated to standardized chemical industry parks, or closed and exited.
According to statistics from the Ministry of Industry and Information Technology, as of the end of 2018, provinces had reported a total of 1,176 chemical companies that needed to be relocated and renovated, including 479 relocating to other places, 360 renovating on-site, and 337 closing and exiting.
According to a thorough investigation by the Ministry of Industry and Information Technology, 80% of chemical companies should complete their relocation by the end of 2020. Due to many policies involving compensation funds, relocation and renovation funds, land, etc., there is considerable resistance to the relocation of chemical companies. Although thousands of chemical companies have been shut down and exited, market competitors have reduced, and some production capacity has been cleared, the operating performance of leading chemical companies this year has been unsatisfactory, and state-owned enterprises, private enterprises, and multinational companies are no exception.
In the first three quarters of last year, Wanhua Chemical (600309.SH) revenue was 48.53 billion yuan, down 12.48% from the same period last year; net profit was 7.899 billion yuan, down 12.48% from the same period last year; It fell 41.75% over the same period. “The decline in profitability is affected by factors such as the slowdown in global economic growth, falling prices of main products, and increased export costs.” Wanhua Chemical said in its third-quarter financial report. Sinopec (600028.SH) is no exception.
The financial report shows that in the first three quarters, Sinopec’s chemical sector’s operating income was 16.56 billion yuan, a year-on-year decrease of more than 30%.
German chemical giant Covestro’s revenue and profits are also not optimistic. In the third quarter, Covestro’s profit before interest, taxes, depreciation and amortization was 425 million euros, a year-on-year decrease of 50.5%; net income dropped to 147 million euros, a year-on-year decrease of 70.4%.
On the whole, the chemical industry is likely to continue last year’s profit decline in 2020.
��, Sinopec’s chemical segment operating income was 16.56 billion yuan, a year-on-year decrease of more than 30%.
German chemical giant Covestro’s revenue and profits are also not optimistic. In the third quarter, Covestro’s profit before interest, taxes, depreciation and amortization was 425 million euros, a year-on-year decrease of 50.5%; net income dropped to 147 million euros, a year-on-year decrease of 70.4%.
On the whole, the chemical industry is likely to continue last year’s profit decline in 2020. </p
