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Recently, progress updates and announcements have been released for several POE projects one after another. On the one hand, these projects represent further progress built on those announced in previous POE projects, or they represent certain interim achievements in the advancement of those projects ； On the other hand, there are public announcements regarding new companies entering the POE industry; these companies generally have long-term plans for the development of POE projects in the future, and it is doubtful whether they will actually start operating such POE projects. According to incomplete statistics, as of the end of December 2023, China had only 30,000 tons per year of POE production capacity in industrial-scale operations, with another 6 projects being in pilot stage. So to date, China’s total POE production capacity is approximately 36,000 tons per year. However, the number of projects under construction is substantial; if the 200,000 tons per year POE production facility planned by Yatong Chemical, which was announced in December 2023, is included in this category, then the total capacity of POE production facilities under construction in China by 2030 will exceed 4.5 million tons per year. In particular, around 2025, the scale of POE projects under construction will be at its highest. In other words, the scale of China’s POE industry is set to experience rapid growth in the future, with the industry landscape changing swiftly. Based on the estimated scale of POE production facilities under construction, the majority of these will be for producing octa-carbon POE. By 2030, the industry’s production capacity is expected to reach nearly 7 million tons per year, accounting for 80% or more of the total planned POE production capacity in China. In addition, a small number of projects for four-carbon POE are also set to come online, with an intended production capacity of nearly 1 million tons per year, accounting for about 20% of the total planned POE production capacity in China. It should be specifically noted that there are currently no planned projects for six-carbon POE; the main focus for future development will remain on the production of eight-carbon POE products. As an important representative of the development of China’s new materials industry, Chinese companies began making plans for this field many years ago. However, due to insufficient supplies of comonomers and ethylene, it was not until 2024 that true industrial production on a domestic scale was achieved. This represents the commitment and perseverance of Chinese companies in the POE industry, and it marks the beginning of its development. The new material properties of POE have attracted many companies to enter this field, which will result in significant additional pressure in the future. If the project under construction comes online, the landscape of China’s POE industry could change in the following ways: First, there will be a temporary supply surplus in the POE industry, leading to increased competitive pressure and a rapid drop in market prices. Over the past few years, POE has largely relied on imported materials for supply, with pricing power held by international companies; as a result, the cost for downstream consumers in China is high, with the highest grades of POE selling for up to 50,000 yuan per ton in the domestic market. Based on the historical experience of changes in the supply and demand dynamics in China’s chemical industry, it can be inferred that once domestic production becomes feasible, the market pricing system will favor domestic companies, resulting in a clear downward trend in price levels. Especially in the second year following the concentrated rollout, Chinese POE market prices could see a significant drop. On one hand, this helps to reduce the costs for consumer-oriented enterprises; on the other hand, it will lead to the withdrawal of some planned or under-construction enterprises, thereby further correcting the imbalances in industrial development. Second, the supply of high-end PE grades will increase rapidly, which is expected to address the imbalance between supply and demand in the PE market. A significant feature of POE is its use in blending with PE for modification; PE blended with POE exhibits improved material properties, including enhanced strength, impact resistance, and toughness, as well as better chemical stability and film-forming capabilities. Its applications are very wide-ranging. Currently, the volume of PE blends containing POE in the Chinese market is less than 500,000 tons, mainly due to the high cost of POE. If the planned POE project comes online, the scale of domestic production is expected to increase rapidly, which is of great significance for the swift development of PE/POE blending and modification in China. Third, the rapid development of the POE industry contributes to the accelerated progress of the photovoltaic sector. When used as a photovoltaic sealing film, POE offers better resistance to PID (potential-induced degradation) compared to EVA, and it also has superior water-blocking properties, making it suitable for use in applications such as hydroelectric power plants. The advantages of POE encapsulant lie in its low water vapor transmission rate and high volume resistivity. It effectively helps double-sided PERC cells combat PID degradation, ensuring the safety of the modules when operating in high-temperature and high-humidity environments, as well as their long-term aging resistance, thereby enabling the modules to be used for an extended period. Therefore, from the perspective of the long-term development trends in the photovoltaic industry, although POE-based photovoltaic sealing films are more expensive than EVA-based ones, their superior material properties mean that, given the trend toward double-sided photovoltaic panels, the use of POE in this field is an inevitable trend in China. The rapid development of the POE industry will inevitably drive the accelerated progress of the photovoltaic industry.