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The \"Work Plan for Stabilizing Growth in the Petrochemical Industry (2025–2026)\」 calls for expanding effective investment, promoting transformation and upgrading, and exercising scientific regulation over the construction of major projects; it also emphasizes the need to strengthen guidance regarding the planning and layout of modern coal chemical projects in order to prevent overcapacity in the coal-to-methanol industry； Properly plan projects for coal-based oil and gas production as well as coal-based chemicals; carry out demonstration projects for the industrial application of coal chemical technologies in combination with new energy sources, as well as in the fields of advanced materials, technical equipment, and industrial operating systems; and also conduct demonstrations for carbon dioxide capture, utilization, and storage technologies. Over the past few days, reporters from the China Chemical Industry News have interviewed industry insiders in the coal chemical sector and learned that **the policy signals indicating a need to control the overall volume of production and improve quality in the coal chemical industry are quite clear. The industry needs to not only focus on \"addition\" but also on \"subtraction\" and \"multiplication\", using a combination of strategies to drive its green and low-carbon transformation. The industry has already done thorough work in terms of making \"additions\". As is well known, the rapid development of China’s coal chemical industry, particularly its modern coal chemical sector, in recent years has attracted global attention. Significant progress has been made in areas such as technological innovation, scale expansion, and optimized layout, resulting in the formation of a formidable modern coal-based energy and chemical industry ecosystem. A number of large-scale modern coal chemical projects such as coal-to-oil and coal-to-natural gas, funded primarily by central state-owned enterprises, have recently been launched or planned in regions rich in coal resources such as Xinjiang, Inner Mongolia, and Shaanxi. In addition, the main unit of the first phase of China Datang Fuxin coal-to-natural gas project was fully connected by mid-October 2025, entering a phase of full-scale resumption of construction. Yang Yong, Executive Deputy General Manager of Zhongke Synthetic Oil Technology Co., Ltd., and Liu Yongbing, Chief Engineer of Shaanxi Future Energy Chemical Co., Ltd., believe that this is directly related to China’s high dependence on imported oil and natural gas as a result of its resource profile; therefore, ensuring **energy security requires utmost attention. At the same time, it is necessary to pursue product diversification and high-end development, further accelerate the expansion and strengthening of the modern coal chemical industry chain, and vigorously develop coal-based fine chemicals and new chemical materials. For example, special oils, high-quality waxes, α-olefins, high-carbon alcohols, and high-carbon esters and other high-end products can be developed through the indirect coal-to-oil process. Qin Kexue, deputy general manager of Pucheng Clean Energy Chemical Co., Ltd., told reporters that the company has focused on developing downstream products based on coal-derived olefins, creating ultra-high molecular weight polyethylene, polyolefin elastomers, and special grades of polypropylene in order to differentiate its products and increase their added value, thereby supporting the development of high-end products. In the middle of winter, the construction site of the relocation, upgrading, and renovation project for Shaanxi Yanchang Petroleum Xinghua Yushen Chemical Co., Ltd., located in the Yushen Industrial Zone, is bustling with activity. This largest chemical industry relocation project in Shaanxi Province is set to be completed and put into operation by 2027. The person in charge of Xinghua Group Company said that, leveraging the advantages of its core business, the project plans to build on synthetic ammonia and ammonium nitrate as a foundation to develop high-end fine chemicals and new material products. Xinghua’s existing methanol products will no longer be produced, while ammonium nitrate and nitro-based compound fertilizers will fill the gaps in the local market in Yulin. However, its inherent deficiency of carbon and excess hydrogen makes coal chemical industry a major source of carbon emissions. It has become inevitable to reduce carbon emissions. In our country, over 70% of the capacity for producing synthetic ammonia and methanol relies on coal as a raw material, while 43% of the capacity for producing ethylene glycol utilizes coal-based chemical processes. With the countdown beginning for ammonia and methanol to be included in the carbon trading market, it is imperative for coal chemical enterprises to achieve carbon reduction at the source, during production processes, at the end of the chain, as well as to make use of carbon dioxide as a resource. On November 11, 2025, the first injection was successfully carried out at Well Yu Tan 1, the pilot project for Shaanxi Coal Group Yulin Chemical Co., Ltd.’s 4 million tons per year carbon capture and storage (CCS) demonstration project. This marked the completion of the entire process involved in carbon dioxide capture, transportation, and storage, filling a gap in China’s field of large-scale industrial applications for carbon capture and storage in modern coal chemical industries. Duan Libo, the general manager of the company, said that the project provides technical support and practical engineering experience for establishing a **-level carbon emission reduction demonstration base in the northwest region, thereby promoting the low-carbon and sustainable development of the coal chemical industry. While carrying out \"subtraction,\" combining coal chemical industry with new energy to achieve \"multiplication\" is another approach within this strategic strategy. Jia Yichen, senior director for low-carbon initiatives at the China Chemical Industry Energy Conservation Technology Association, believes that developing green hydrogen for the production of green alcohols and green ammonia, or using green hydrogen to replace or partially replace certain conversion units, can significantly reduce carbon dioxide emissions during manufacturing processes by adjusting the hydrocarbon ratio. This represents a path for the coal chemical industry to achieve green and low-carbon development. It is reported that by the end of 2024, the total production capacity of existing and planned green methanol projects in China exceeded 7.5 million tons, corresponding to an annual demand for green hydrogen of around 900,000 tons. Among them, 5 projects have been put into operation, with a total green alcohol production capacity of 360,000 tons. Among them, the 320,000-ton-per-year ammonia synthesis project, which is part of Farvision Energy’s world’s largest 1.5 million tons per year green hydrogen and ammonia project located in Chifeng, Inner Mongolia, began operations in March 2024, achieving the production of hydrogen using 100% green electricity ； The integrated demonstration project in Taonan, Jilin, operated by Shanghai Electric Group and focusing on wind power coupled with biomass for the production of green methanol, also began operations in July 2025 and has been running steadily; it is now the first project in China to utilize green hydrogen in combination with biomass gasification for the production of green methanol ； China’s first industrial demonstration project for the production of green methanol via carbon dioxide hydrogenation using entirely self-developed intellectual property – the 100,000 tons per year Liquid Sun project operated by China Coal Ordos Energy Chemical Co., Ltd. – is expected to be completed in April 2026, according to China State Construction ； The Rongsheng (Ordos) Green Coal Chemical Integration Project, with a total investment of 160 billion yuan, is set to commence construction. It aims to explore new pathways for integrated development of coal chemicals and new energy sources, thereby accelerating the low-carbon transformation of the coal chemical industry. Zhang Yong, president of the Shaanxi Chemical Industry Society, said that the production capacity for the vast majority of coal chemical products is already saturated, making large-scale development increasingly unlikely. As an effective complement to the petrochemical route, modern coal chemical industry should be developed in a moderate manner to serve as a model. Combining new energy sources to create an industrial chain of \"green electricity – green hydrogen – coal chemical industry\" will become an inevitable trend; this approach not only helps reduce carbon emissions in the coal chemical industry but also enables the local utilization of new energy sources.