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Petroleum resin industry how to get out of the dilemma

2018-04-14 00:00:43

Petroleum resin enterprises are experiencing the "winter" of raw material shortage and market weakness, and enterprises can only develop by focusing on the research and development and production of high-end products. The weakness of the petroleum resin market has been particularly severe in recent years. The petroleum resin market as a whole is experiencing a "cold winter", and foreign market demand is always in a weak situation. On the one hand, international crude oil prices are still under great pressure,WTI prices are volatile, and Brent oil prices are volatile. On the other hand, the cracking C5 and C9 markets continued to maintain a stable downward trend due to the impact of oil prices, and bearish factors dominated the market. Raw materials are the biggest concern. The raw material of petroleum resin comes from the by-products C5 and C9 in the production process of ethylene, which are not fully supplied by the market and become one of the bottlenecks restricting the long-term development of petroleum resin enterprises. Product homogenization is serious, product quality has no industry standards, and low-level repeated construction is also troubling enterprises. Some representatives pointed out that although the industry was small, there was still a tendency towards overcapacity. At present, some petroleum resin equipment new technology, advanced equipment, and sufficient supply of raw materials, with strong competitiveness, to some old petroleum resin enterprises caused pressure, but also formed a potential surplus. At present, high-end products are in short supply, but enterprises can not meet the market needs. It is understood that the annual output of the petroleum resin industry is about 500,000 tons, but high-end products still need to be imported from abroad. It is understood that the price of petroleum resin is 7,000 to 8,000 yuan/ton, and imported products are about 3,000 dollars/ton, the difference between the two is 2 to 3 times. Foreign companies often import low-end products from China, process and purify them, and then sell them back to the Chinese market for high profits. The petroleum resin industry to go through the "winter", it is urgent to formulate strict industry standards, form a set of scientific and complete standard system, guide enterprises to standardize production. Petroleum resin in daily use products, medical products market prospects are very broad, enterprises should vigorously develop high-end petroleum resin products.

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