Towards the end of the year, the competition landscape of the PTA industry is quietly changing.
As the Xinfengming Dushan Energy Phase I PTA project is officially put into operation, the top 10 companies in the industry are ranked Being rewritten is a foregone conclusion. Not only that, according to the current production plans of various companies, after the Xinfengming Phase II PTA project is also put into production by the end of next year, the third position in the industry may also change hands.
After the second phase of Dushan Energy PTA project is put into operation, Xinfengming may jump into the top three in the industry
One of the most watched events in the PTA market in 2019 is the start of trial production of the Xinfengming Dushan Energy Phase I PTA project. As the PTA device with the largest single series production capacity in the world, this is Xinfengming’s first project extending to the upstream of the industrial chain. When fully put into operation, it will form a PTA production capacity of 2.2 million tons/year.
Considering that Xinfengming’s polyester production exceeds 3 million tons per year, based on the calculation that 0.85~0.86 tons of PTA is needed to produce 1 ton of polyester, even if the project is fully produced, its There is also a gap of hundreds of thousands of tons in the supply of PTA raw materials. Therefore, no matter from the perspective of production capacity or production and sales, Xinfengming is expected to become one of the top 8 companies in the industry as soon as it enters the PTA field.
The changes don’t stop there. Prior to this, the second phase of Xinfengming Dushan Energy’s green and intelligent PTA project also started construction in March this year and is expected to be completed and put into operation in the third quarter of 2020. By then, Xinfengming’s PTA production capacity will reach 5 million tons, second only to Yisheng Group, Hengli Petrochemical, and Fuhaichuang. However, due to the long-term shutdown of Fuhaichuang’s 1.65 million-ton production unit, the actual production capacity is less than 5 million tons, so Xinfengming may Become one of the new PTA Big Three in the future.
Do not rush into production capacity layout, self-sufficiency of raw materials and cost reduction are the driving forces
Even with a PTA production capacity of 5 million tons, I am afraid it will only be able to meet Xinfengming’s self-sufficient needs in the future.
In recent years, Xinfengming has made rapid progress in the polyester filament industry. The company’s polyester filament output has climbed from 890,000 tons in 2012 to 3.09 million tons in 2018. This year, in the first three quarters alone, it has reached 2.8214 million tons, a year-on-year increase of 26.43%, and the growth rate is more than four times higher than the overall growth rate of the industry.
Benefiting from this, Xinfengming’s market share in the polyester filament industry has reached 10.88% in the third quarter A new high for the same period, a cumulative increase of 6.75% compared with the end of 2012, ranking first in the industry, and among the top six companies in the industry, it is the only company to achieve continuous increase in market share for 8 consecutive years, and maintains nearly 100% all year round High capacity utilization and high production and sales rate.
In order to meet market demand, Xinfengming has formulated a polyester filament production capacity plan to reach 5.4 million tons by the end of 2020, and the corresponding PTA demand will reach 4.6 million tons. In other words, after the second phase of Dushan Energy’s PTA project is put into operation, even if there is no export sales at all, it still needs to reach a capacity utilization rate of 92% to meet the company’s raw material demand for polyester filament production, which is much higher than the industry-wide 78.79% in 2018. Overall capacity utilization. The company’s PTA production capacity layout is obviously formulated based on future needs.
In addition, the production technology used in Xinfengming’s new PTA device also has obvious competitive advantages in terms of single device scale, material consumption, and energy consumption. It is reported that the project uses the latest PTA process technology and patented equipment of the industry-leading British BP company; compared with traditional PTA technology, it can reduce 95% of solid waste, 65% of greenhouse gases and 75% of wastewater emissions, and has the characteristics of energy saving, consumption reduction, three wastes It has the characteristics of low emission, low production cost, saving on equipment investment and high degree of automation.
Therefore, some investors also pointed out that as PTA projects are put into production one after another, Xinfengming will support filament production capacity near the PTA factory in the future, and the integration of the industrial chain will further reduce costs, which is expected to improve the company’s profitability and competitiveness. Strength and anti-risk capabilities have been greatly enhanced. </p
