In recent years, China’s polyethylene industry has maintained a strong momentum of development, with the growth rate of output and consumption leading the world. At the same time, China is still the largest importer of polyethylene in the world. However, along with the rapid development of the industry, structural contradictions have gradually emerged, such as overcapacity of medium and low-end products, serious homogeneous competition, and the predicament of unit loss. Therefore, it is the key breakthrough direction of the industry to promote the upgrading of product structure of polyethylene products and realize product specialization, differentiation, high-end, green and customization. It is also an important factor for enterprises to seize the opportunity under the fierce competition in the future industry.
At present, polyethylene is mainly used in the following 5 fields, film, injection molding, hollow and drawing, pipe. With the development of the degradable field, polyethylene is bound to seize a certain market share, while other UHMWPE, MLLDPE, EVA and POE elastomers will give the advantages of products in five fields, such as high-end lithium battery diaphragm, photovoltaic packaging film, photovoltaic packaging agent and high-end field packaging film and military Marine field applications.
In 2022, China’s polyethylene production capacity will increase to 29.81 million tons/year, with an average annual growth rate of 12.32%, and it will maintain a high speed expansion rate of 12% in the next five years. Therefore, the upgrading of product structure is the trend of The Times. Domestic polyethylene production enterprises are divided into HDPE, LDPE and FDPE three types of devices, the above three devices account for 44%, 16% and 40% of the total capacity respectively. At present, with the accelerated development of China’s polyethylene industry, in order to solve the structural contradiction of “excess low-end products and shortage of high-end products”, the industrial pattern will shift to differentiation and high-end. In order to seize the future consumer market in advance, product specialization, differentiation and high-end are imminent.
At present, there are three types of high-end plastic products that can be produced in the original production facilities of the enterprise, namely MLLDPE (metallocene polyethylene), UHMWPE (ultra-high molecular weight polyethylene) and EVA; POE elastomer and degradable plastic products need to be produced by a new device. These five types of products belong to high-end plastic varieties with high prices, rich profits and broad prospects. Driven by the strategic goal of “double carbon” and environmental protection policies, China, as a major consumer, will take advantage of the east wind of the policy, with unlimited potential and promising future.
Post time: Feb-03-2023