News
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PP/PE Industry Capacity Pattern Reshaped: Green Transition and Project Upgrade as Core Themes
China’s PP/PE (polypropylene, polyethylene) industry is undergoing a capacity reshuffle, with key developments including the commissioning of BASF’s Zhanjiang polyethylene plant and progress on PetroChina Dalian Petrochemical’s new polyolefin projects driving the sector toward larger-scale, high-end production. BASF (Guangdong)’s 500,000-ton/year polyethylene plant, contracted by Huanqiu Contracting & Engineering Corporation, has successfully started operations and produced qualified products. The project, a key Sino-German cooperation initiative witnessed by both countries’ premiers, is BASF’s largest overseas investment to date. Located in Zhanjiang’s Donghai Island Petrochemical Industrial Park, the plant adheres to global construction st... -
PVC Industry’s Expansion Cycle Ends, 2026 Supply-Demand to Improve Marginally
China’s polyvinyl chloride (PVC) industry has concluded its nearly eight-year capacity expansion cycle, with no new capacity plans for 2026, entering a structural adjustment phase. Coupled with overseas high-cost capacity withdrawal and export support, supply-demand dynamics are expected to improve marginally, verified by authoritative institutions. Supply-side data shows steady growth in domestic PVC capacity and output from 2018 to 2025. 2025 saw 2.2 million tons of new capacity added, with ethylene-based PVC proportion rising to 28%. Only minimal new capacity is pending globally in 2026, marking the end of expansion. The 2025 PVC market correction led to industry-wide losses, with acetylene-based PVC hitting a historic low. Despite a year-end rebound, prices remain at the bot... -
How significant is the cancellation of export tax rebates for the PVC market?
On January 9, the Ministry of Finance and the State Taxation Administration jointly issued the Announcement on Adjusting the Export Tax Rebate Policy for Photovoltaic and Other Products. The product list explicitly includes PVC powder, unplasticized PVC, and plasticized PVC in the scope of adjustment. The core impact clause concerns PVC exports: starting from April 1, 2026, the value-added tax (VAT) export tax rebate for PVC powder will be canceled. At present, the export tax rebate rate for this category stands at 13%. The far-reaching impact of this policy on the PVC market has attracted widespread attention from the industry and the capital market. Li Min, an analyst at Zhuochuang Information, stated that this policy will directly increase export cost... -
TPU Film Extrusion: Compound Selection vs Finished Film Supply
Application Note TPU Film Extrusion: Compound Selection vs Finished Film Supply In TPU film projects, customers often face an early decision that is rarely discussed in depth: whether to purchase TPU film compounds for in-house extrusion, or to source finished TPU films directly. While both approaches are common, they represent fundamentally different allocations of process responsibility and risk. Application Context TPU films are used across bedding protection, functional laminations, medical covers, and packaging applications. Depending on production scale, equipment capability, and stability requirements, some manufacturers prefer to extrude films internally using compound, while others rely on externally supplied finished films. Compound vs Finished Film: A Structural Differe... -
When Standard TPU Grades Fail in Film Extrusion Applications
Application Note When Standard TPU Grades Fail in Film Extrusion Applications TPU film extrusion projects often begin with standard grades that appear suitable during initial trials. In many cases, samples pass basic evaluation, only to encounter instability, surface inconsistency, or performance drift during continuous production. These failures are rarely random and usually indicate structural limitations of standard TPU grades. Application Context TPU films are widely used in bedding protection, medical covers, breathable laminations, and functional packaging. While standard TPU grades are often sufficient for short trial runs, film extrusion places unique demands on melt stability, surface uniformity, and long-term process consistency. Why Standard Grades Often Reach Their Lim... -
Extrusion Stability vs Initial Appearance in TPU & TPE Applications
Application Note Extrusion Stability vs Initial Appearance in TPU / TPE Applications In many TPU and TPE extrusion projects, material evaluation is heavily influenced by initial sample appearance. Smooth surface, good gloss, and clean profiles are often treated as indicators of material quality. However, materials that look better at the sample stage frequently perform worse in long-term, continuous production. Application Context Extrusion processes are widely used for wire and cable jackets, profiles, tubes, and flexible components. During early trials, evaluation often focuses on surface smoothness and visual consistency of short sample runs. These early impressions, while intuitive, do not reflect the conditions of continuous industrial production. The Hidden Trade-off In sof... -
Why “Correct Hardness” Still Fails in TPU / TPE Applications
Application Note Why “Correct Hardness” Still Fails in TPU / TPE Applications In many TPU and TPE projects, material selection often begins with a single number: hardness. While hardness is an important descriptor, it is frequently treated as a decision variable rather than a result. This oversimplification is one of the most common reasons why applications fail even when the “correct” hardness has been selected. Application Context Hardness-based selection is common across extrusion, injection molding, overmolding, and soft-touch applications. In early project stages, materials with similar Shore hardness values are often considered interchangeable. However, field performance frequently diverges despite identical nominal hardness. Key Constraints That Ha... -
Europe’s Chemicals Sector: Potential Shift from Net Exporter to Net Importer
Market insiders note that as Europe’s market influence weakens, global chemical trade flows are tilting toward emerging Asian markets, with Asia (especially the Middle East) solidifying its status as a top chemical export hub. This trend could drive Europe to switch from a net exporter to a net importer of chemicals in the long run. Europe’s chemical market is in a sustained downturn. Stefan Schnabel of Germany’s Helm AG points out that Europe’s shrinking income-generating workforce and outflow of consumer spending have weakened local demand, benefiting surplus-producing regions like the Middle East and East Asia. Udo Lange of Denmark’s Stolt-Nielsen adds that Europe’s chemical industry is seeing capital outflow, domestic plant closures, and minimal new local investments—with short-term... -
Happy New Year 2026!
Wishing You And Your Team A Prosperous And Successful New Year! -
Merry Christmas!
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Welcome to Chemdo’s Booth at the 2026 International Plastics Exhibition Conference & Convention
Welcome to Chemdo’s Booth at the 2026 International Plastics Exhibition Conference & Convention Booth No.: H1GA-C82 Date: Feb 05~10th Time: 10:00AM~06:00PM Address: Bharat Mandapam New Delhi, India -
Focus on Hainan’s Island-wide Independent Customs Operation! Zero Tariffs on 6,600 Tariff Lines and 15% Income Tax Preference: How Can Plastics and Chemical Enterprises Seize Policy Dividends?
On December 18, 2025, Hainan officially implemented its customs closure, with a series of supporting documents, including the “Notice on Taxation Policies for Goods Entering and Exiting the ‘First Line’ and ‘Second Line’ in the Hainan Free Trade Port and Their Circulation Within the Island,” simultaneously taking effect. These documents clarified core rules such as the prohibited and restricted import/export lists and the catalog of taxed imported goods. This significant measure has drawn widespread attention, with the distinction between the concepts of “border closure” and “island sealing” becoming the focal point for the public. Clarifying the differences between the two is key to understanding the essence of the policy. The...