Wanhua chemical leads southeast asia market! korean petrochemical giants restructure million-ton capacity

This week, the chemical industry has seen numerous developments: In terms of strategic adjustments, Wanhua Chemical announced an increase in MDI prices in Southeast Asia and South Asia, while Lotte Chemical and HD Hyundai Chemical submitted an ethylene capacity restructuring plan. In collaborations and project progress, Covestro and XRG received final regulatory approval, and the Sino-Saudi Gulei ethylene project set a new height record for global facilities. In innovation breakthroughs, OnNew Materials' CPI project officially commenced, and SABIC launched high-pressure PPS materials to support new energy vehicles. For more industry news, stay tuned to this week's [Weekly New Material Plastics Update].

Company News

Wanhua Chemical announces an increase in MDI prices for Southeast Asia and South Asia.Product Price
On November 27th, Wanhua Chemical announced that starting from December 1st, 2025, it will increase the prices of polymeric MDI and pure MDI products in Southeast Asia and South Asia by 200 USD/ton, or implement as per established contracts.

Foshan Plastics Group Co., Ltd. and Sinopec have established a new materials company in Hunan.Registered capital 9.6

The Tianyancha App shows that recently, Hunan Guangxin Polymer New Materials Co., Ltd. was established, with Chen Guangyi as the legal representative, and a registered capital of 960 million RMB. Its business scope includes the manufacturing and sales of plastic products, as well as the production and sales of chemical products. Shareholder information reveals that the company is jointly held by Foshan Plastics Group Co., Ltd. (000973) and Sinopec Hunan Petroleum & Chemical Co., Ltd.

Two major petrochemical companies have applied for business restructuring, involving an ethylene production capacity of 195.10,000 tons/

According to Korean media reports, South Korea's two major petrochemical companies, Lotte Chemical and HD Hyundai Chemical, jointly announced on the 26th that they have submitted an application to the Korean government for the review and approval of the integration plan for their petrochemical businesses. This is the first specific restructuring plan presented by the industry since 10 Korean petrochemical companies signed agreements for business restructuring in August this year. According to Yonhap News Agency, the two companies stated that in order to enhance the comprehensive competitiveness of the petrochemical industry and optimize industrial layout, they have officially submitted an application to the Korean Ministry of Trade, Industry and Energy, requesting approval for the integration plan of the two companies' naphtha cracking facilities (NCC).

Covestro and XRGClearing the final obstacle for the milestone transaction

Germany's chemical giant Covestro AG and Abu Dhabi's XRG have received final regulatory approval for their strategic collaboration, obtaining permission from the German Federal Ministry for Economic Affairs and Energy. This decision clears the last hurdle under foreign investment regulations, paving the way for the transaction to be completed within days.

This collaboration, positioned to reshape the global chemical industry, will drive both parties to actively pursue innovation, circular production, and digital transformation.

PetroChina Lanzhou Petrochemical Company's polyolefin products East China market secondary packaging project officially launched.

Recently, the inauguration ceremony for China National Petroleum Corporation's first exemplary intelligent packaging line for polyolefin products, specifically the polyolefin product sorting, scanning, stacking, film wrapping, and secondary packaging project, was grandly held in Shanghai. In response to the East China market's demand for standardized and intelligent packaging of polyolefin products, and to address bottlenecks in logistics efficiency while enhancing product market competitiveness, the East China Chemical Sales Company, in collaboration with Lanzhou Petrochemical, Lanzhou Zhonglu Chemical Group Zhongkai Trade, and other units, jointly promoted the construction of this project. The project's annual packaging capacity reaches 90,000 tons, marking the first secondary packaging line within the China National Petroleum system established at the sales front. Gao Tieyan, General Manager of East China Chemical Sales Company, Li Zhijian, Deputy General Manager of Lanzhou Petrochemical Company, and customer representatives from companies like Prett Group and Kingfa Technology attended the ceremony.

Pingdingshan plans key nylon projects, including 100.10,000-ton adipic acid production capacity

During the 15th Five-Year Plan period, Pingdingshan plans key projects in new nylon materials with a total investment exceeding 80 billion yuan, aiming to establish a production capacity of 1 million tons of caprolactam, 1 million tons of adipic acid, and 1 million tons of nylon 66 chips.

South America's two giants cooperate! OlinAnd BraskemJoin Hands to Promote Ethylene Dichloride (EDC)Production

Special Plastics Vision has learned that Olin Corp. and Brazil's Braskem Group have recently announced a collaboration to expand the production scale of ethylene dichloride (EDC) in the Brazilian polyvinyl chloride (PVC) market. The two parties have signed a long-term agreement, with Olin supplying ethylene dichloride. This move aligns with Braskem's transformation plan for its chlor-alkali and vinyl assets in Brazil. Olin Group is a global leader in chlor-alkali production, while Braskem is one of the largest petrochemical companies in the Americas and a leading PVC producer in the South American region. Both parties stated that this agreement marks a significant advancement in Olin's global vinyl products strategy, establishing a sustainable cooperation framework that allows Olin to strategically leverage its cost competitiveness in ethylene dichloride in the fast-growing Brazilian PVC market.

Production Dynamics

Zhongsha Gulley: World's Highest! Polypropylene Device Extrusion Granulation Framework Successfully Topped Out

Recently, the 125-meter-high extrusion granulation frame of the polypropylene unit of the Fujian Zhongsha Gulei Ethylene Project, contracted by China National Chemical Engineering Hualu Company, was successfully topped out. This marks a critical milestone in the project's construction phase and sets a new global record for the tallest framework of similar installations in the industry. As a key project that deeply aligns the high-quality Belt and Road Initiative with Saudi Arabia’s Vision 2030, the Fujian Zhongsha Gulei Ethylene Project has a total investment of approximately 44.8 billion yuan (about 6.4 billion USD) and is expected to be put into operation in the second half of 2026. Once completed, the project will focus on the production of high-end chemical products, which will be widely used in fields such as electronics and electrical, artificial intelligence, healthcare, and automotive manufacturing. This will not only fill the gap in the domestic market for high-end chemical products but also drive the development of downstream industrial clusters.

Lotte Chemical plans to shut down the Daesan cracker in South Korea!

According to reports from several local Korean media outlets on November 25, Lotte Chemical Corporation will permanently shut down its 1.1 million tons per year naphtha cracking plant in Daesan, South Korea. However, the reports did not mention a specific closure date. This decision was made following a restructuring agreement announced in June between Lotte and HD Hyundai Chemical. HD Hyundai Chemical also operates a naphtha cracking plant in Daesan with an ethylene production capacity of 850,000 tons per year. The two companies have previously agreed to integrate and optimize their production facilities at the site.

Wanhua Chemical: Ethylene Phase I Facility Expected to Complete Ethane Feedstock Modification by Year-End

Wanhua Chemical recently held its third-quarter performance briefing. Regarding the raw material modification of the ethylene plant, Wanhua Chemical stated that the ethylene phase I plant at the Yantai Industrial Park is expected to complete the ethane feed modification by the end of 2025. The raw material for this plant will be changed from propane feed to ethane feed, and the raw material cost is expected to significantly decrease.

PetroChina's first polyolefin intelligent packaging line has been established in Shanghai!

On November 25th, the inauguration ceremony for China National Petroleum Corporation's first exemplary intelligent packaging line for polyolefin products, featuring a cutting-edge market-frontier packaging line for secondary packaging involving scanning, stacking, and film covering of polyolefin products, was grandly held in Shanghai. In response to the Eastern China market's demand for standardized and intelligent packaging of polyolefin products, and to address efficiency bottlenecks in the logistics process while enhancing product market competitiveness, East China Chemical Sales collaborated with Lanzhou Petrochemical, Lanzhou Zhonglu Chemical Group Zhongkai Industry and Trade, and other units to jointly promote the construction of this project. The project's annual packaging capacity reaches 90,000 tons, making it the first secondary packaging line built at the sales frontier within the China National Petroleum system. Attending the ceremony were Gao Tieyan, General Manager of East China Chemical Sales Company, Li Zhijian, Deputy General Manager of Lanzhou Petrochemical Company, along with representatives from clients such as Prett Group and Kingfa Sci. & Tech. Co., Ltd.

Bohai Chemical PDHRoutine maintenance shutdown of the equipment is postponed.

Bohai Chemical announced that on October 14, 2025, the company released the "Announcement on Routine Shutdown and Maintenance of the PDH Unit of Tianjin Bohai Petrochemical Co., Ltd., a Wholly-Owned Subsidiary" (Announcement No. Lin 2025-049). It disclosed that the PDH unit (600,000 tons/year) of its wholly-owned subsidiary, Tianjin Bohai Petrochemical Co., Ltd. (referred to as Bohai Petrochemical), began its routine shutdown and maintenance on October 13, 2025, according to the annual plan. The maintenance is expected to last about 30 days. During the maintenance period, the company organized relevant forces to carry out maintenance work in an orderly manner according to the maintenance plan. Due to the needs of the new acrylate and superabsorbent resin material projects within the Bohai Petrochemical plant, the PDH unit needs to be jointly commissioned and tested with the acrylate and superabsorbent resin material projects for equipment and utility engineering. To ensure stable production operation of the unit, the maintenance period of the PDH unit needs to be extended for a certain period, and it is expected that the PDH unit will resume production by the end of February 2026.

ONYU Advanced Materials High-end CPIThe project has officially started.

Sichuan Aonew New Material Co., Ltd. (hereinafter referred to as Aonew New Material) held the production commencement and ignition ceremony for the CPI project at its production base located in the Shuangliu Economic Development Zone in Chengdu. This marks the official start of production for this highly anticipated high-performance material project, taking a crucial step towards achieving domestic substitution.

Lianyungang High Carbon α-Alkene Kiloton-Scale Industrialization Pilot Project First Announcement

On November 24th, the first public announcement of the environmental impact assessment for the ethylene oligomerization to high-carbon olefins kiloton-level industrial test project by Yapei Alkene (Lianyungang) New Material Technology Co., Ltd. was made. The company is currently focused on advancing a project with an annual production of tens of thousands of tons of polyolefins and alkyl aromatics, with a total investment exceeding 12 billion yuan. The site is located in the Xuwei New District of Lianyungang, covering approximately 206 acres, and will be expanded in three phases. The goal is to establish the largest high-end polyolefin industrialization base in China. The first phase is divided into two stages: the first stage involves constructing a 36,000 tons/year polyolefin facility, which upon completion will have a production capacity of 36,000 tons of polyolefins and 5,200 tons of mixed alkanes annually; the second stage involves building a 20,000 tons/year alkyl naphthalene facility, which will have an annual production capacity of 20,000 tons of alkyl naphthalene upon completion.

BASF's new high-performance dispersant production line officially launched in Nanjing, China.

BASF's new high-performance dispersant production facility has officially commenced operations in the Nanjing Jiangbei New Material Hi-tech Park. This investment will employ Controlled Free Radical Polymerization (CFRP) technology to produce advanced dispersants and achieve localized production. Combined with the supply from the production base in Heerenveen, Netherlands, this expansion will further enhance global capacity, making the supply more reliable and flexible.

Approved! 200 Year Overrun Hyperbranched Polyolefin Elastomer Catalyst Project

Recently, the project of Quzhou Xingchuan Julong New Material Co., Ltd. for the annual production of hundreds of tons of polyolefin elastomer catalysts has been approved for filing! The project plans a total investment of approximately 2,118.24 million yuan, of which the fixed asset investment is about 2,018.24 million yuan, with an additional land use of approximately 129.665 acres. The project will be implemented in two phases: the first phase plans a total investment of 1,059.48 million yuan, including a fixed asset investment of 1,009.48 million yuan, with an additional land use of about 81.305 acres, to establish an annual production capacity of 200 tons of hyperbranched polyolefin elastomer catalysts. The proposed start time is December 2025, and the proposed completion time is December 2028.

Huajin Aramco Petrochemical and Raw Material Engineering Project Ethylbenzene/The styrene plant has successfully achieved mechanical completion.

Recently, the 736/700 KTA Ethylbenzene/Styrene unit of the Huajin Aramco Petrochemical and Raw Material Engineering Project successfully achieved mechanical completion. This unit was constructed by the Shenyang branch of Kunlun Engineering. The Huajin Aramco Petrochemical and Raw Material Engineering Project is a large-scale integrated refining and chemical complex, planned to include 32 process units, including 15 million tons per year of refining and 1.65 million tons per year of ethylene. Among these, the ethylbenzene/styrene unit is one of the main units.

Another large ethylene plant permanently closed!

The wave of shutdowns in European petrochemical plants continues. According to foreign media reports, ExxonMobil has once again announced the closure of an ethylene plant in Europe, which will affect over 400 jobs. Given the current economic and policy environment in the UK, coupled with market conditions, high supply costs, and the operational efficiency of the plant, it can no longer maintain its competitive edge in the future market. On November 18, ExxonMobil confirmed its plan to permanently close its steam cracker facility in Mossmoran, UK, by February 2026.

Innovative materials

Ube Maruzen Polyethylene Co., Ltd. begins sales with ISCC PLUS certification.Certified Sustainable EVA

On November 26, 2025, Ube Maruzen Polyethylene Co., Ltd., jointly funded by UBE Corporation and Maruzen Petrochemical Co., Ltd., announced that the ethylene-vinyl acetate copolymer (EVA) produced at the Chiba factory in Japan has been actively marketed as ISCC PLUS certified products using sustainable materials through the mass balance method since obtaining ISCC PLUS certification in December 2023. The company is pleased to announce that these products are now fully available for sale.

Innovative Application

F1 Race cars use bio-based materials! SismoCo wins international award.

Global advanced materials leader Syensqo has been awarded the "Green Tech Award" at the Race Tech World Motorsport Symposium for its bio-based MTM 49-3 epoxy prepreg. Developed using 30% bio-based monomers, this product maintains the same mechanical strength, 190°C glass transition temperature, and processing performance as traditional epoxy prepregs, while achieving up to 40% weight reduction compared to metal materials.

Pegasus MaterialsPromoting new bio-based materials, targeting electronics and aerospace 3D.

The Dutch high-performance materials startup Pegasus Materials BV has announced the official launch of two new bio-based materials aimed at the electronic connectors and industrial 3D printing sectors. At the same time, the company announced the completion of an extended seed round of financing, with the addition of new investor Ferment, a venture capital firm, while existing investors LIOF and Fibrant BV continue to support. This round of financing will accelerate the commercialization process of the company's products.

In the era of high voltage, materials take precedence: SABICInnovative PPSMaterials Empower IGBTMore stable and stronger.

SABIC has launched a new high-performance PPS modified material, LNP™ THERMOCOMP™ OFM76XXP, specifically designed for high-voltage electric drives and power module structural components. It achieves technological breakthroughs in electrical insulation, mechanical strength, and long-term stability, providing more reliable material support for new energy vehicle high-voltage platforms.

Ningbo Color Masterbatch: Certain plastic masterbatch products are used downstream for 3D printing.Printing the coloring of plastic parts by the manufacturer.

Ningbo Color Masterbatch responded on the investor interaction platform on November 26 that certain plastic masterbatch products of the company are used for coloring plastic components in downstream 3D printing manufacturers.

Prite: Company LCPThe product is 6G.Essential Materials for the Communication Era

On November 24, Pretec responded on the investor interaction platform stating that the company's LCP products have molecular chain rigidity and high orientation degree, achieving low dielectric constant and low dielectric loss in high-frequency and high-speed scenarios. These are essential foundational materials for the 6G communication era. Currently, related materials are undergoing various interfacing and validation work with customers in the base station sector and consumer electronics application fields.

Hengbo Co., Ltd.: PEEKApplicable to humanoid robots and other fields.

According to a report by Securities Star, Hengbo Co., Ltd. (301225) responded to investor inquiries on the investor relations platform on November 24. An investor asked: Your company is a supplier of robot structural components. Do you use injection molding technology in the manufacture of high-strength engineering plastic parts? Have you introduced domestic equipment such as Yizumi? If applied, how does it perform in high-temperature and high-pressure environments? Does it have the capability to replace imported equipment? Hengbo Co., Ltd. replied: Dear investor, hello. PEEK is a special engineering plastic with excellent properties such as high-temperature resistance, wear resistance, corrosion resistance, and self-lubrication. It is suitable for fields with high requirements for lightweight and material mechanical properties, such as industrial, new energy vehicles, humanoid robots, aerospace, semiconductors, and medical devices. The specific production process and equipment supplier information are considered company trade secrets and cannot be disclosed publicly. We appreciate your understanding. The company strictly adheres to relevant information disclosure regulations, and relevant information will be available in the company's subsequent official information.