Status Quo of Ethylene Industry in China
China currently has 16 ethylene production companies operating 18 production units. In 2004, the country produced 6.27 million tons of ethylene, securing the third position globally. It also manufactured 15.30 million tons of synthetic resins across five categories, ranking fifth worldwide, and 1.29 million tons of synthetic rubber, placing it fourth. Additionally, China produced 10.43 million tons of five types of synthetic fibers, which put it at the top of the global rankings. By 2005, ethylene output had increased to 7.55 million tons.
Over the past 15 years, China's ethylene consumption experienced rapid growth, with an annual average increase of 16.1%, outpacing the 9.3% annual GDP growth rate. This resulted in an elasticity coefficient of 1.7, highlighting the strong link between economic expansion and ethylene demand. During the "Eleventh Five-Year Plan" period, the demand for ethylene continued to rise sharply, reflecting the country’s growing industrial and consumer needs.
In recent years, the technical capabilities of China’s ethylene industry have significantly advanced. Key technologies such as large-scale ethylene cracking furnaces, polypropylene production, acrylonitrile manufacturing, catalytic pyrolysis of heavy feedstocks, and SBS elastomers have been successfully developed. Many specialized pieces of equipment are now domestically produced, reducing reliance on foreign imports. The so-called “three doses†— referring to critical components like catalysts, additives, and solvents — are largely sourced within China and are now at or near international standards.
Previously, large-scale ethylene projects were built using imported complete sets of equipment. However, this approach has evolved, with only the process package and a few key components being imported. The overall project management has shifted from foreign general contracting to domestic design, procurement, and construction, showcasing the industry’s increasing self-reliance and technical maturity.
According to the "Medium- and Long-Term Development Plan for the Ethylene Industry" issued by the National Development and Reform Commission on March 16, during the "Eleventh Five-Year Plan" period, China aimed to strictly enforce the access system for the ethylene industry, aiming to enhance industrial scale, resource efficiency, and environmental safety. Specific measures included ensuring that new ethylene projects align with the industrial layout principles of "base, large-scale, integrated, and park-based." New projects were generally expected to be integrated with existing large oil refining enterprises, promoting synergy between refining and chemical industries. Each project was required to have a single-line capacity of at least 800,000 tons. Downstream petrochemical plants were expected to reach world-class economic scales. For Sino-foreign joint ventures, foreign partners needed to possess advanced technology or raw material supply capabilities, while the Chinese side should maintain a controlling stake.
Taizhou Tianma Plastic Products Co. LTD , https://www.tmepp.com