Top 10 Olefin Projects in 2026!

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1. Sinopec Yueyang Ethylene Integration Project: Investment amount: 35.68 billion yuan. Latest progress: Full construction is scheduled to begin in 2026, with operation expected to start in 2028. Project highlights: As the largest industrial project in Hunan Province to date in terms of investment, it will involve the construction of an ethylene plant with an annual production capacity of 1 million tons, along with 14 downstream processing units. Once completed, this project will fill the gap in terms of large-scale ethylene plants in Hunan Province and enhance the layout of the petrochemical industry chain in central and southern China. The main construction components of the ethylene project include: an ethylene plant with a capacity of 1 million tons per year, a pyrolysis gasoline hydrogenation plant with a capacity of 500,000 tons per year, an aromatic extraction plant with a capacity of 300,000 tons per year, a benzene production plant from aromatics with a capacity of 300,000 tons per year, a butadiene extraction plant with a capacity of 150,000 tons per year, a styrene extraction plant with a capacity of 20,000 tons per year, an EVA plant with a capacity of 300,000 tons per year, an HDPE plant with a capacity of 400,000 tons per year, an LLDPE plant with a capacity of 400,000 tons per year, and an MTBE/butene-1 plant with capacities of 10/40,000 tons per year respectively. The main equipment to be purchased includes an ethylene plant with a capacity of 1 million tons per year, as well as 14 sets of equipment for downstream chemical processing units. This encompasses production equipment such as cracking furnaces, polymerization reactors, ethylene oxide/ethylene glycol plants, polyethylene/polypropylene plants, butadiene extraction units, and styrene plants, in addition to supporting facilities like storage tanks, pumps, valves, heat exchangers, and compressors. Automated and safety control systems such as DCS control systems and SIS safety instrumented systems are also to be installed. 2. Fujian Zhongsha Gulei Ethylene Project: Investment amount: 42.07 billion yuan. Latest progress: As of March 2026, over 93% of the project’s work has been completed; it is now in the final stage of equipment installation, with completion and operation planned for the second half of 2026. Project highlights: A model of Sino-foreign cooperation (China-Saudi Arabia energy partnership). The installation of its 1.5 million tons per year ethylene plant and the world’s largest EO reactor has been completed, marking the full resolution of the project’s technical challenges; it will be one of the super projects to commence production at the fastest pace this year. Overall progress: Over 93% completed; the project has fully entered the stages of equipment installation, pipeline construction, and production preparation. Core unit: The installation of the main structure of the 1.5 million tons/year ethylene cracking unit is in full swing. Key milestones: – The world’s largest EO reactor (with an outer diameter of 9.3 meters and a weight of 1,540 tons) has been installed; – The installation of the 5 oversized towers in the ethylene plant was completed in 32 days, reducing the construction time by nearly half; – All 10 largest cracking furnaces in China have had their structures completed; – The construction of the 44 largest spherical tanks in China has also been finished; – The eastern water system was successfully delivered, and the first key supporting unit in the plant is now ready for commissioning. 3. Shandong Yulong Petrochemical’s downstream and extended industrial chain projects: Investment amount: 117.857 billion yuan. Latest progress: In March 2026, the project officially began the land reclamation work for expanding its downstream industrial chain, creating the necessary space for subsequent deep-processing projects. Full operation is expected to begin by 2029. Project highlights: Leading investment scale. The project focuses on high-end chemical new materials, with facilities for producing 400,000 tons per year of POE elastomers and similar products planned; it aims to fill the gaps in related technologies in China and serves as a benchmark for private refining companies to transition toward high-end new materials. 4. Dushanzi Petrochemical’s Tarim 1.2 million tons/year Phase II ethylene project: Investment amount: approximately 20 billion yuan. Latest progress: The project is now in the final construction phase; completion is scheduled for June 30, 2026, with commissioning set for September 30 of the same year. Project highlights: Located in Xinjiang, this project features a domestic equipment utilization rate of over 98%, and is equipped with low-concentration carbon dioxide capture systems. It serves as a model for the transformation of resources from the source areas of the \"West-to-East Gas Transmission\" project, demonstrating the technical innovations pursued by traditional oil companies in the context of the \"dual carbon\" goals. 5. Inner Mongolia Rongxin Chemical’s project to produce 800,000 tons of olefins per year: Investment amount: 9.83 billion yuan. Latest progress: As of mid-March, work on the project has resumed in full, with 60% of the construction completed; efforts are being made to meet the goal of completing the project and putting it into operation by the end of 2026. Project highlights: Utilizing the advanced DMTO-Ⅲ patented process technology, the methanol consumption per ton of olefins is reduced by about 10% compared to the industry average. Against the backdrop of high oil prices and high costs associated with the naphtha route, the cost advantages and technical maturity of olefin production from coal (methanol) are attracting more attention. 6. Sinopec Dalu Coal-to-Olefins Upgrade Demonstration Project (Inner Mongolia) Location: Dalu Industrial Park, Ordos, Inner Mongolia. Investment amount: 22.067 billion yuan (800,000 tons per year). Latest progress: The environmental impact assessment was approved in January 2026; construction is scheduled to begin in August 2026, with completion and operation expected by August 2029 ； On March 15, the full-scale construction was officially launched, entering a new phase of development. The scale of construction is 2.26 million tons per year of methanol and 900,000 tons per year of polyolefins. Highlights of the project: It has been designated as a landmark project for Sinopec in implementing its strategy for the development of coal-based chemical industries. On February 25, the project team held a working symposium with the Zhenggeer Banner government, stating clearly that they would \"push forward the project construction at full speed, with an attitude of going all out from the very beginning, treating it as a race from the start.\" The project focuses on creating three major demonstrations: the replacement of gasoline-driven systems with electric drives, the full domestic production of the coal-to-olefins process, and the integration of green electricity and green hydrogen. Its core indicators, such as energy efficiency and environmental protection, have reached advanced industry levels. It is positioned as Yanshan Petrochemical’s “New Life Project”. 7. Baofeng Energy’s Phase 4 Olefins Project in Ningdong: Investment amount: 9.83 billion yuan. Location: Ningdong Energy and Chemical Industry Base, Ningxia. Latest progress: Completion and commissioning are scheduled for the end of 2026. Project highlights: As an important part of Baofeng Energy’s new capacity expansion plan, it will create synergies with the 2.6 million tons per year project in Inner Mongolia. In addition, the preliminary work for the Xinjiang olefin project and the second-phase olefin project in Inner Mongolia is also progressing steadily. 8. Inner Mongolia Baofeng “green hydrogen + coal-to-olefins” coupling demonstration project. Location: Inner Mongolia. Latest progress: Recently, Shanghai Electric Power Generation Group reached a cooperation agreement with Inner Mongolia Baofeng Coal-based New Materials Co., Ltd., officially signing a contract for the supply of core equipment for its wind and solar-powered hydrogen production project. Under the agreement, Shanghai Electric will supply 8 alkaline electrolyzers with a capacity of 1,250 Nm³/h each for the first phase of the project’s water electrolysis hydrogen production facility, as well as the world’s largest single-unit separation and purification system to date, with a capacity of 5,000 Nm³/h. Project highlights: The world’s first and largest single-site demonstration project for the coupling of \"green hydrogen\" and \"coal-based olefins\". \"Zero-carbon\" green hydrogen produced from wind and solar power directly replaces coal-based \"gray hydrogen,\" providing a model solution for the large-scale utilization of wind and solar energy. 9. Shaanxi Coal Yulin Chemical’s 15 million tons per year demonstration project for clean and efficient conversion of coal based on different quality levels. Location: Yushen Industrial Zone, Yulin, Shaanxi. Investment amount: The total investment in the chemical processing facilities is 176 billion yuan (approximately 62 billion yuan for Phase 1 of Stage 2). Latest progress: On March 15th, the civil engineering work for Unit 1 of the olefin separation facility, which is part of Phase 1 of the project aimed at producing olefins, aromatics, and products through further processing, was completed successfully. This marked the achievement of a key milestone in the civil engineering phase of the project, as well as representing a partial completion of the same. Project highlights: **The Demonstration Project for Clean and Efficient Utilization of Coal is currently the coal chemical project with the largest individual investment.** Through the deep integration of the coal-to-olefins and coal-to-aromatics pathways, high-value products such as polyolefins, EVA, and POE are ultimately produced. The project is planned to be constructed in two phases: Phase I: A 1.8 million-ton/year ethylene glycol plant and a 1.2 million-ton/year coal pyrolysis unit have been completed; a 500,000-ton/year DMC plant is currently under construction ； Phase 2: It is planned to build facilities for the production of olefins, aromatics, and products derived from their further processing. By making efficient use of coal through careful separation and grading, this project will produce key platform products such as olefins, aromatics, and base oils. Further processing will then enable the production of four categories of end products with high added value: materials for use in batteries, solvents for battery electrolytes, biodegradable materials, and special types of oils, thereby achieving coordinated development between coal chemical industry and petroleum chemical industry. 10. Ningxia Baofeng’s 500,000-ton/year coal-to-olefins project. Location: Ningdong Energy and Chemical Industry Base, Ningxia. Latest progress: On March 11, 2026, the first key piece of equipment for the project—a new catalyst tank weighing 213 tons—was successfully hoisted into place. This marks the official transition of the project from the civil construction phase to the equipment installation phase. Currently, 80% of the civil construction work for the project has been completed, and 20% of the electrical and instrumentation grounding work is done. The hoisting of the remaining 17 pieces of large-scale equipment is proceeding in an orderly manner. The project team will continue to advance the subsequent installation work to high standards, ensuring that the project is completed and put into operation at an early date. Project highlights: Adoption of DMTO technology and olefin separation technology. Currently, 80% of the civil engineering work has been completed, and the installation of the remaining 17 large-scale equipment is progressing in an orderly manner.