Lagos — China is expected to register the highest propylene capacity additions globally by 2028, contributing about 49% of the total capacity additions from 38 upcoming projects, says GlobalData, a leading data and analytics company.
GlobalData’s latest report, “Propylene Industry Capacity and Capital Expenditure Forecasts with Details of All Active and Planned Plants to 2028” reveals that China is likely to witness a propylene capacity additions of 26.98 million tonnes per annum (mtpa) during 2024 to 2028 from 33 planned and five announced projects.
Nivedita Roy, Oil and Gas Analyst at GlobalData, Comments: “Propylene is a basic petrochemical that is used in the production of various important compounds such as polypropylene, acrylonitrile, and propylene oxide. The increasing demand for these chemicals in the packaging, consumer goods, and automotive sectors is driving the growth of the global propylene industry.”
In China, the major capacity addition is expected from the planned project, Shandong Yulong Petrochemical Longkou Propylene Plant 1, with a capacity of 2.30 mtpa. Shandong Yulong Petrochemical is the operator, with a 90% equity stake in the project. Currently under commissioning stage, it is likely to come on stream in 2024.
Fujian Eversun New Material Putian Propylene Plant 2 and SABIC Fujian Petrochemical Zhangzhou Propylene Plant follow next with capacities of 1.10 mtpa and 1.02 mtpa, respectively. Located in the Fuijan province of China, both facilities are currently under construction and are anticipated to commence production of propylene in 2026.
