[recycling pe weekly facility update] agricultural film recycling line undergoes major overhaul, local equipment failures tighten spot supply

This week, the overall operating rate of domestic recycled PE was 45.2%, down 1.8 percentage points week-on-week. The off-season for agricultural film dragged down the operating rate of the recycled LDPE segment to just 40.8%.

Tianjin’s 100,000-ton/year agricultural film-grade recycled LDPE facility began a 15-day planned overhaul on July 3 and remained fully shut this week, resulting in a weekly capacity loss of 1,710 tons. In Shandong’s Linyi and multiple HDPE hollow recycled lines in Shanxi, operators carried out staggered single-line maintenance, with overall plant utilization generally at 50%-60%. In Ningbo, Zhejiang, a 70,000-ton/year high-pressure transparent recycled PE line was fully shut down on July 6 due to a cooling water pump failure and resumed operation after repairs on July 8, tightening spot supply of transparent recycled PE in East China in the short term. In South China, Guangdong and Guangxi have maintained a stable operating rate of 60%-65% for recycled PE producers, supported by export orders.

On the capacity deployment side, the 40,000-ton-per-year bottle-grade recycled HDPE production line in Qingyuan, Guangdong has completed equipment commissioning and will begin small-batch trial production this week. In Vietnam, two recycled LLDPE units are facing a shortage of waste film feedstock and have been operating at a long-term low load of 45%. In the United States, domestic recycled PE units are running steadily, while the monthly arrival volume of pellets shipped to China has edged down slightly.

The total industry capacity scheduled for maintenance this week is 290,000 tonnes, with a weekly capacity loss of 1,447 tonnes. Downstream packaging and pipe terminal demand remains weak, and companies are controlling production on a needs basis. Next week, another three small and medium-sized recycled PE production lines are scheduled for short-term maintenance.

The data in this article is compiled from publicly available information and is for market reference only. It does not constitute any investment or trading advice.