Event

Asia has become a growth center of global olefins demand

During 2013 to 2017, Asia will account for 67% of additional demand for light olefins (mainly ethylene and propylene) worldwide and China, in particular, will make up 47% of the new demand. Asia’s total capacity of ethylene and propylene is expected to reach 100 million tonnes by the end of 2013, making up 39% of the world total. Ethylene equivalent demand in China will be increased from about 33 million tons in 2012 to 44 million tons in 2017, among which 15 million to 16 million tons of demand will rely on import.

MTO route vs. PDH route

China’s methanol-to-olefins (MTO) industry is taking shape. According to statistics collected in January 2013, there are 28 approved MTO plants in China with total capacity at 14.4mmt/yr. DMTO-II technology has made a 10% improvement of olefin yields based on DMTO-I. The DMTO-III which is still in research stage will further increase the cost advantage of this route. In view of ongoing high international oil prices, China’s coal-based methanol products will soon dominate the international market.

The production of propylene by propane dehydrogenation (PDH) has also begun to take shape. Tianjin Bohai Chemical’s 600kt/yr PDH project has been constructed. Another four projects are expected to complete in late 2013/early 2014 with total capacity at 2.1mmt/yr. New start-ups of PDH projects in China have narrowed the spread of propylene to propane in the past decade. Meanwhile, in the United States, the extensive development of shale gas has encouraged a number of new PDH projects including seven on-going projects. From 2015 and onwards, top priority must be placed on propane supply security, cost control and forward integration.

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By Business Type

5%Petrochemical Feedstock

30%Olefin Producers Olefin Downstream

20%Olefin Traders

10%Consultancy & Research Institute

5%Technology Provider

3%Logistics & Storage

2%Finance

By Job Title 

30%CEO/Chairman/President/MD/GM

30%Sales & Marketing

10%Business Development

6%Project Management

6%Production

6%Purchasing

6%Technology Innovation

6%Market Research

By Region

20% SEA

10% Europe & America

15% China

30% ME & Africa

16% Japan & Korea

7% India

2% Australia & New Zealand

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