The automotive industry or the fastest growing region of China's modified plastics consumption

In October 2016, the China Automotive Engineering Society released the “Technology Roadmap for Energy Saving and New Energy Vehicles”. According to the road map, by 2020, 2025, and 2030, the vehicle quality needs to be reduced by 10%, 20%, and 35%, respectively, compared to 2015. Automotive engineering plastics mainly include polypropylene, polyurethane, ABS materials, HDPE, polycarbonate, and nylon. The data shows that the total output of plastics in China has increased from nearly 18 million tons in 2004 to nearly 80 million tons in 2016, and the modification rate has also increased from 8% to 19%. However, compared to 40% of the world's modified plastics used in the automotive industry, China is only about 10%.

In late November 2016, China Soft Packaging Group Zhongjing Petrochemical's annual production of 1.5 million tons/year of polypropylene project was started in Fuzhou Jiangyin Industrial Concentration Zone. The project introduces the production technology of Leander Basel Industrial Company with a total investment of 5 billion yuan, an annual output of 1.5 million tons and an annual output value of 18 billion yuan. The project is expected to go into production in 2018. The products will be used in high-end industries such as automobiles and aviation.

It is expected that the automotive industry will become the fastest growing area of ​​China's modified plastics consumption in the next few years. It is estimated that the annual output of China's autos will reach 30 million in 2021. According to the conservative use of 300kg/set of automotive modified plastics, the compound annual growth rate of the automotive modified plastics industry will exceed 26% in the next five years. In the next few years, petrochemical and coal chemical polyolefin and engineering plastic products will be upgraded, and it is necessary to focus on the automotive plastics market.