On November 29, the 2019 China Petroleum and Chemical Private Enterprise Development Conference was held in Beijing. At the meeting, the list of the top 100 Chinese petroleum and chemical private enterprises in 2019 was announced. A list of companies that have invested or will soon invest in the polyolefin industry is selected for readers’ reference.
In addition to the above-mentioned companies on the list, there are also many powerful private companies that have not appeared, such as: Hengli Petrochemical, Dongming Petrochemical, Yuhuang Chemical Industry, Shaoxing Sanyuan, Hongji Petrochemical, Haitian Petrochemical, Satellite Petrochemical, Sanjiang Petrochemical, Zhongjing Petrochemical, Longyou Chemical, Baolai Chemical, Lihe Zhixin, Jinneng Technology, Dongguan Juzhengyuan, Kingfa New Materials, Donghua Energy , Jiutai Energy, Jingbo Petrochemical (the above are listed in no particular order); these companies are also the backbone of our private polypropylene industry.
Including powder companies, there are a total of 40+ private companies that are currently or will soon enter the polypropylene resin industry, including 14 listed companies. This lineup is very powerful!
What will happen?
1. Private scale
So far, the scale of private polypropylene has risen to 9.04 million tons. After intensive investment and construction in the next 2-3 years, the scale of private polypropylene in our country will reach 17.7 million tons; compared with the scale of 9.82 million tons of Sinopec and the scale of 5.27 million tons of PetroChina, the scale and strength of private enterprises cannot be ignored. , accounting for more than 40%; perhaps in five years’ time, it is entirely possible that the scale of private enterprises in the polypropylene industry will exceed 50%.
2. Price war
In the next 2-3 years, the market will have 15 million tons Large-scale polypropylene products have entered the market, accounting for 55.7% of domestic apparent consumption of polypropylene in 2018. It is a routine operation to put the production capacity of new equipment on the market and seize market share at low prices with low cost. How can the price of polypropylene resin resist falling?
If the prices of polypropylene wire drawing materials, polypropylene fiber materials, and polypropylene low-melt copolymer materials run between 6,000 and When the price is in the range of 7,000 yuan/ton, or even when the price drops below 6,000 yuan/ton, who touches whose cheese? Have any old polypropylene plants been consolidated or phased out? From 2020 to 2022, the domestic polypropylene industry will face a severe winter. Who would deny it?
3. Stock competition
Taking into account the scale of polypropylene units that have been put into production in 2019, in the future In 2-3 years, 16.27 million tons of domestic polypropylene products will enter the market, accounting for 60% of domestic apparent consumption of polypropylene in 2018.
In the first three years after entering the market, most companies will focus on the production of general-purpose polypropylene materials to cope with the operation and running-in of equipment, the management and running-in of personnel teams, and the selection of outstanding talents. Alchemy base, how much space is left for the old polypropylene equipment to produce general-purpose materials? In particular, the polypropylene resin general material market has obvious price-only characteristics. Which companies will be flushed out in the process of scouring the sand?
With more than 150 billion yuan in financing, Zhejiang Petrochemical (Phase I) is already on the runway to warm up. Zhejiang Petrochemical has the pedigree of a private enterprise and embraces resources that seem to be on par with state-owned enterprises. With such a majestic configuration, it is about to start firing in the field of polyolefins.
Among the private companies that invest in polypropylene across industries, there are many chemical fiber giants such as Rongsheng Petrochemical, Hengli Petrochemical, Tongkun Petrochemical, Hengyi Petrochemical, Shenghong Petrochemical, etc. How has the past been? The company that has revolutionized the chemical fiber industry now dares to teach the polypropylene industry to make new progress with each passing day.
4. Cost competition
The 16.27 million tons polypropylene scale is gradually releasing production capacity in the market. The international crude oil price will be 60-70 US dollars per barrel, and the price of polypropylene will fall, fall, fall, and no one can stop it. The advantages of low cost and large scale have become the temporary trump card for victory on the battlefield. The old polypropylene plant has the advantages of no depreciation and mature channels. The newly put into production polypropylene plant has the advantages of low cost, few personnel and large scale. When the two powers meet, who will squeeze out the other?
5. Talent reserve
Sinopec and PetroChina have always been the Huangpu for domestic polyolefin resin talent training Military academy, the development of coal-based technology and light hydrocarbon technology is highly in line with the needs of non-petroleum companies investing in the polypropylene industry. With the construction of a set of equipment, not only the domestic supply capacity of polypropylene is increased, but also accelerating the development of the industry. The flow of talent.
After the device is completed and put into production, and after the general-purpose polypropylene material is discharged normally, the internal cultivation of talent utilization and retention must be put on the agenda and become another factor that determines the success or failure of the overall project. the core element.
When polyolefin people from all over the world come together, how to achieve the team spirit of becoming brothers instead of close relatives is really a big test of corporate management capabilities.
With a team, how to build a team echelon so that each echelon of the team is strong in business and can win the war? This is undoubtedly a type of work that requires slow work and careful work. .
6. Technical reserves
Introduced the most advanced process technology and attracted a large number of mature Key personnel, large-scale financial financing and construction, will not always be willing to stay in the production schedule of general materials, right? How to form a mechanism to support original basic innovation, and how to make enterprises carry the gene of technological innovation in their blood? How to make technological innovation become the core of enterprisesFocus on competitiveness and lead the company into the international advanced ranks?
Wanhua Chemical is here, and in 2020 Wanhua Chemical will also join the ranks of polyolefin resins. Regarding how companies invest in scientific research, how to convert technology into profits, and how to maximize the company’s scientific and technological innovation capabilities, Wanhua Chemical is undoubtedly the best benchmark for China’s petroleum and chemical industry. Now that there are role models in place, will it be difficult to learn from them?
Will the domestic polypropylene industry change with each passing day? Will it immediately enter the second half of competition? How much time is left to kill? Have you made plans for this timetable in your mind?
The beginning of privatization of domestic polypropylene resin:
Before 2006, there were many urban construction projects in Shandong, Zhejiang, Jiangsu, Guangdong and other provinces. The polypropylene powder company’s raw material basically comes from propylene monomer separated from catalytic cracking gas. The reactor is the basic configuration, and multiple reactors are connected in series to increase production. This is the first batch of private polypropylene production companies in China.
In October 2006, the 300,000 tons/year polypropylene unit of Zhejiang Shaoxing Sanyuan Petrochemical Co., Ltd. was put into operation, rewriting a history. China’s polypropylene pellet industry had its first Private Enterprise.
After 2014, thanks to coal-to-polyolefin technology and propane dehydrogenation-to-propylene technology, private enterprises have accelerated their entry into the polypropylene industry. Compared with 2009, my country’s polypropylene production scale has expanded three times.
Twenty years ago, Sinopec once occupied more than 70% of the PTA market share, but today it only occupies 1.7%. Now, with the competition among the leading players, will polypropylene regain the legend of PTA? Where will the polypropylene people go from here? </p
