Ningxia Coal Polyolefins Expands into New Markets for Exports

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Ningxia Coal Industry expands into new markets for polyolefin exports. Author/Source: **Energy Group, Voices of Ningxia Coal Industry. Date: May 24, 2022. Click-through rate: 20. Under the guidance of **Energy Group’s marketing strategy of “facilitating the integrated internal circulation within the industrial chain and enabling integration into both the domestic and international dual circulation systems”, Ningxia Coal Industry has been actively expanding its overseas markets. As of May 20, 17,100 tons of polyolefins had been exported. In 2021, affected by the COVID-19 pandemic and extreme weather conditions, chemical companies in overseas regions such as North America and the Middle East successively halted production. This gradually disrupted the global supply-demand balance, providing a rare window of opportunity for China’s polyolefins industry to boost exports. The Sales Branch of Ningxia Coal Industry’s coal-to-oil and chemical division has actively reached out to units such as the Ningxia Customs, Department of Commerce, State Taxation Bureau, and Yinchuan Comprehensive Bonded Zone. It has sought to gain a comprehensive understanding of export policies, methods, and requirements, streamlined the export process, and improved its eligibility criteria. At the same time, maintain close communication with export enterprises and foreign trade logistics companies in the region to learn practical export experience. On this basis, the working approach of \"acting as an agent first, then operating independently\" was established. In 2021, 15,000 tons of polypropylene were exported through trading agencies, and it was sold to South American markets such as Ecuador, Peru, and Argentina. Since the beginning of this year, as the process for direct exports was established, Ningmei’s Coal-to-Oil and Chemicals Sales Branch has contacted through various channels domestic end-users with factories overseas, distribution partners who handle domestic trade converted into exports, as well as international freight forwarders. It has continued to work on promoting direct exports and related services, closely monitoring the price differences between domestic and international markets as well as changes in international shipping costs. By seizing the appropriate export opportunities, it has managed to export 17,100 tons of polyolefins, of which 13,400 tons were exported through trading agencies while 0,370 tons were exported directly. Through direct exports, new markets such as Thailand, the Philippines, Indonesia, Mexico, and Brazil were further developed, covering production areas such as short fibers, woven bags, and BOPP films; the average export price was 40 yuan per ton higher than the domestic selling price.