Shanxi’s coal-based ethylene glycol production plan exceeds 4.65 million tons (with statistical summary)

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Shanxi’s plan for coal-based ethylene glycol production exceeds 4.65 million tons (with statistical summary) Author/Source: Huahua Net Coal Chemicals Date: 2019-06-06 Clicks: 7 In recent years, the production of coal-based ethylene glycol in China has developed rapidly, and a number of such projects have been planned in the Shanxi region, with coal and coke oven gas serving as the main raw materials. According to statistics, 2 plants are currently in operation (the ethylene glycol technology comes from the two most representative domestic companies in this field, Gaochemical and Shanghai Pujing), with a total production capacity of 400,000 tons; all of these plants are subsidiaries of Yangmei Group. Currently, 14 enterprises are planned to produce ethylene glycol, with a combined production capacity of over 4.65 million tons. http://img.yf116.cn/image/img/20190606/719392637972.jpg On a national scale, by the end of 2018, the total production capacity of ethylene glycol in China across all production methods reached 10.54 million tons. By 2022, if the various ethylene glycol production facilities planned in China are put into operation as scheduled, the capacity for ethylene glycol production will reach 30.58 million tons. In 2018, China’s apparent demand for ethylene glycol was 16.68 million tons, and it is expected to reach 20.24 million tons by 2022. Based on the current assessment of the coal-based ethylene glycol industry, it is likely that this sector will face a risk of overcapacity. Statistics on coal-based ethylene glycol projects planned in Shanxi in 2018; Unit: 10,000 tons. http://img.yf116.cn/image/img/20190606/722172653726.jpg http://img.yf116.cn/image/img/20190606/722562657618.jpg For Shanxi, there is no demand for ethylene glycol locally, so it must be transported over long distances to regions such as East China. Since the coal-based production method cannot yet provide a 100% replacement for traditional methods, companies will face various challenges within the industry as well as internal constraints, such as low-price competition and low operational rates, which **reduce their competitiveness.