A coal-based MMA plant with an investment of 5.5 billion yuan and a production capacity of 400,000 tons is being established in Yiwu, Xinjiang
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400,000 tons of coal-based MMA to be produced in Xinjiang; multiple projects in China are exploring the use of clean raw materials for MMA production. Recently, another investment project for the production of methyl methacrylate (MMA) from coal was established in Xinjiang. Xinjiang Zhongyou New Materials Technology Co., Ltd. plans to invest 5.5 billion yuan in Yiwu County, Xinjiang, to build a facility capable of producing 400,000 tons per year of coal-based MMA. This project utilizes the coal-based MMA production technology developed by the Institute of Process Engineering, Chinese Academy of Sciences – the only such technology in China that holds intellectual property rights. It has completely ended the long-term reliance on imported high-end MMA, and has been included in the \"Catalogue of Industries Encouraged in the Western Region (2025)\」, becoming a model for green transformation that receives strategic support. It is reported that the project will be constructed in phases. Phase 1 is expected to have an annual production capacity of 100,000 tons of MMA products; construction is set to begin as soon as possible this year, with operation starting by the end of 2026. Phase 2 will commence construction at an appropriate time. Upon completion, the project will become a leading coal-based MMA production facility. It will be able to meet the raw material needs of strategic emerging industries such as lightweight materials for new energy vehicles and high-end optical resins, thereby fostering the development of related industrial clusters. The project is expected to generate an output value of 5.2 billion yuan and total profits and taxes of 1.2 billion yuan; it will also create employment for over 400 people. This will contribute to expanding the scale of Yiwu’s coal chemical industry and accelerating the process of modern industrialization by serving as a model for others to follow. As the third effective route for producing MMA in China, following the isobutylene oxidation method and the ethylene-co-gas method, and one that features independent intellectual property rights, coal-based MMA technology was independently developed by the team led by Zhang Suojiang, an academician of the Chinese Academy of Sciences and a researcher at the Institute of Process Engineering, Chinese Academy of Sciences. In September 2022, Xinjiang Zhongyou Puhui Technology Co., Ltd. (located in the Naomaohu Coal Chemical Circular Economy Industrial Zone of the Yiwu County Industrial Park) introduced for the first time the coal-based MMA technology developed by the Institute of Process Engineering, Chinese Academy of Sciences. As an industrial demonstration plant capable of producing ten thousand tons per year, it was successfully brought online and has been operating stably, with its products meeting all quality standards. As a result of this move, domestic methyl methacrylate production shifted from relying entirely on petroleum-based raw materials to using coal-based raw materials. The project of Xinjiang Zhongyou Puhui Technology Co., Ltd., which has an annual production capacity of 110,000 tons of methyl methacrylate (MMA), a high-performance polymer synthesis material, utilizes the coal-based (C1 process) MMA technology developed by the Institute of Process Engineering, Chinese Academy of Sciences. Methanol is the main raw material used in this process; it overcomes key technical barriers, and it offers significant environmental benefits for China’s rapidly developing coal chemical industry. The coal-based MMA production process compares favorably with traditional petroleum-based processes in terms of environmental benefits: there is no wastewater generated, and no pollution is emitted. The entire production takes place at normal temperature and pressure, avoiding high-temperature oxidation reactions; thus, it represents a clean and environmentally friendly production method. The MMA we produce using coal-derived methanol as raw material has a cost that is 20% to 30% lower per ton compared to traditional processes.
China is exploring new routes for synthesizing MMA from clean raw materials. According to Huizheng Information, the **cyanohydrin method (ACH) is a mature technology and has long been the main method used in MMA production in China; however, in the \"Guidelines for Industrial Structure Adjustment (2019 edition)\” issued by the National Development and Reform Commission, MMA produced using the ACH method is classified as a substance subject to restrictions. Ethylene carbonylation for MMA production is a technology supported under China’s 13th Five-Year Plan, and it offers significant advantages in terms of reducing carbon emissions and saving energy ； Compared with the traditional ACH synthesis route, it has a wide range of raw material sources, a shorter process flow, and is environmentally friendly. Currently, internationally, Germany’s BASF produces MMA using the ethylene-propionaldehyde method, while Lucite produces MMA using the ethylene-methyl propionate method ； Several domestic companies and institutions have also joined forces to develop MMA technology using the ethylene method. In addition, new domestic technology routes for the clean synthesis of MMA using C1-C4 as raw materials are under pilot-scale testing and industrial validation in various projects. Yan’an Energy Chemical and CNOOC began relevant explorations as early as 2022. Led by CNOOC Materials Science Institute, in collaboration with CNOOC Petrochemical Engineering Co., Ltd. and Yan’an Energy Chemicals, a joint research effort was carried out to develop palladium-based catalytic systems for carbonyl esterification with low temperature and high selectivity, as well as alkali catalysts for the gas-phase condensation of aldehydes and esters. This led to the establishment of a two-step process for producing MMA using ethylene, methanol, carbon monoxide, and formaldehyde as raw materials. On September 5, 2023, Yan’an Energy Chemical started a pilot plant for the production of methyl methacrylate (MMA) with an annual capacity of 400 tons, and by May 2024 this pilot plant was operating successfully. In February 2025, Yan’an Energy Chemicals announced that it would proceed with the approval process for a project to produce 50,000 tons per year of MMA. During the same period, in 2022, Henan Zhongke Puyuan New Materials Co., Ltd. collaborated with the Institute of Process Engineering of the Chinese Academy of Sciences to adopt the ion liquid-catalyzed ethylene-based method for producing MMA, and constructed a production facility with an annual capacity of 100,000 tons of MMA. This facility was also the first in China to utilize the new ion liquid-catalyzed ethylene-based method for MMA production. Additionally, the 150,000 tons per year MMA production facility at Chongqing Yixiang Phase II was put into operation in the first half of 2024 ； In the second half of the year, Yingke Chemical in Dongying, Shandong, put into operation a 50,000-ton-per-year MMA production facility using the C4 process ； In November, the 100,000-ton annual production project for new materials at Panjin Sanli entered the commissioning phase, with the MMA production facility using the C2 process planned to have an output capacity of 50,000 tons. By 2025, Jilin Petrochemical is expected to put into operation a methyl methacrylate production facility using the ACH process with an annual capacity of 100,000 tons in the second quarter ； Sinochem Quanzhou is expected to begin operations officially in the first quarter of 2025.
Changes in the global MMA market landscape: Globally, MMA production capacity is concentrated among the leading companies; the CR5 (the combined market share of the top five companies) accounts for approximately 60% of the total production capacity. Among them, Mitsubishi Chemical stands as the absolute leader in MMA production, with a production capacity of 1.5 million tons and a 28% market share. In the domestic market, the capacity concentration of MMA is also relatively high, with a CR5 of 63%; the key companies include Chongqing Yixiang, Jilin Petrochemical, Qixiang Tengda, Luceite, and Sierbang. Among them, Chongqing Yixiang is a wholly-owned subsidiary of Shuangxiang Co., Ltd., and its MMA products are primarily used to support the company’s downstream operations. In 2024, the methyl methacrylate market in China exhibited significant fluctuations. Taking the East China region as an example, the average annual price of methyl methacrylate in 2024 was 14,466 yuan per ton, representing a year-on-year increase of 28.68% compared to the same period last year. The average market prices in South China and Shandong provinces also reached 14,836 yuan per ton and 14,581 yuan per ton respectively, showing a significant year-on-year increase. This market change is primarily influenced by export factors. In the first half of the year, international plant capacity declined successively due to maintenance work on such plants in Southeast Asia, Europe and other regions, as well as changes in strategic directions in countries such as Japan and Singapore, which led to a significant drop in the supply of international spot goods. China’s exports enjoy a significant price advantage; coupled with limited growth in domestic downstream PMMA production facilities, overall demand has not increased much. As a result, major domestic producers have become more inclined to export their products. According to statistics, China’s MMA exports in 2024 amounted to approximately 350,000 tons, representing a year-on-year increase of 147.87% and reaching a record high in five years.
I remember there was also a state-owned enterprise in the vicinity, Xinjiang Hami Xinneng Coal Chemical, which also produced MMA from coal, but it seems to be inactive now.