BASF Enters Dongfeng Liuzhou Motor's Supply Chain; Avient Unveils New Products at Exhibition; CAI Introduces Novel Flame Retardant

International News Highlights:

Material News - Avient Showcases Latest Sustainable Polymer Solutions at EgyptPlast

Automotive News - BASF Enters Dongfeng Liuzhou Motor's Supply Chain

Additives News - CAI Launches Novel High-Efficiency Halogen-Free Flame Retardant, Revolutionizing Nylon Formulations

Other News - PlasticsEurope Leads the Way in Building a Circular Plastics System

Macro News - Goldman Sachs Expects Two Fed Rate Cuts This Year

Price Information - CFR Northeast Asia at $745/ton, CFR Southeast Asia at $725/ton

Below are the details of international news:

Avient Showcases Latest Sustainable Polymer Solutions at EgyptPlast

Avient Corporation, a leading provider of specialized material solutions, highlighted its latest portfolio of polymer solutions for the agriculture, packaging, and construction industries at EgyptPlast, the largest plastics and rubber exhibition in the MENA region, held in Cairo from January 9 to 12.

CAI Launches Novel High-Efficiency Halogen-Free Flame Retardant, Revolutionizing Nylon Formulations

CAI Performance Additives, an advanced polymer additives technology developer, recently introduced ST-MCA-H, a high-efficiency halogen-free flame retardant. Specifically designed for nylon materials, this product enables UL-94 V-0 flame retardant standards at lower addition levels, offering a new solution for the modification of unfilled PA6 and PA66.

The development of ST-MCA-H aims to resolve the conflict between high-efficiency flame retardancy and the retention of key mechanical properties in polyamide materials. By meeting flame retardant requirements with reduced additive loading, the product effectively maintains the mechanical integrity of nylon composites, reduces material density, and simplifies the formulation design process.

"The Agency Revolution" — BASF Enters Dongfeng Liuzhou Motor's Supply Chain

Recently, Dongfeng Liuzhou Motor Co., Ltd. posted a seemingly routine announcement on the "Dongfeng Motor Procurement Bidding and Trading Platform" — the "Pre-approval Announcement for Entrusted Agency Procurement Projects — 2026 Commercial/Passenger Vehicle Outsourced Parts and Raw Materials Project." However, behind this page of text lies a quiet "agency revolution" reshaping the landscape of China's automotive supply chain. Global chemical giant BASF, through its joint venture BASF Shanghai Coatings Co., Ltd., has officially entered Dongfeng Liuzhou Motor's supply system. The relevant automotive coatings will be supplied by Liuzhou Defu Coatings Sales Co., Ltd. as the first-level agent, with an estimated annual procurement value of up to 35.13 million yuan (excluding tax). This cooperation is by no means a simple commercial order but a profound restructuring of the traditional OEM procurement model.

On the surface, this is just a routine operation where an international chemical enterprise enters an automaker's supply chain through local channels. However, in-depth analysis reveals that behind this cooperation is a strategic compromise by automakers. Under pressure to reduce costs and increase efficiency, they are forced to abandon the fantasy of "direct procurement" and shift to an "agency model." It marks the end of an era — an era of industrial idealism that prided itself on "independent control and vertical integration" — and heralds the dawn of a new era: a modern supply chain order characterized by "risk outsourcing, service value-added, and efficiency first."

PlasticsEurope Leads the Way in Building a Circular Plastics System

Recently, Brussels-based PlasticsEurope announced that Rob Ingram, CEO of INEOS Olefins & Polymers Europe, has taken over as President of the association effective January 1, 2026, succeeding Benny Mermans, Vice President and Head of Sustainability at Chevron Phillips Chemical. The association confirmed that Ingram will lead the drive towards a circular economy and enhance the industry's competitiveness. Representing the association, Ingram emphasized that while building a circular plastics system is achievable, it requires collaborative action across the entire value chain. Furthermore, urgent policy measures are needed to safeguard this strategically critical European industry, helping it get back on track to achieve the circular economy goals urgently needed in Europe.

100% Recycled Plastic Bricks: A New Weapon Against Floods, Replacing Traditional Concrete

At CES 2026, WES-Tec Global showcased an innovative construction technology — the ECOCCUBE system. Designed to address plastic pollution and infrastructure risks posed by climate change, the system converts waste plastic into durable building modules. It is particularly suitable for vulnerable environments prone to flooding, aiming to provide a sustainable alternative to traditional concrete in certain civil engineering applications. While addressing coastal erosion, flooding, and structural instability, it also solves the massive problem of plastic waste on a large scale.

The core material of ECOCCUBE is 100% recycled waste plastic. WES-Tec Global employs a proprietary process called Newcycling, which uniquely retains the physical properties of the plastic while endowing it with new structural uses. Unlike traditional recycling systems, the Newcycling process does not require sorting or cleaning of mixed plastic waste; specialized "Newcycling factories" can directly convert this waste plastic into construction-grade bricks.

Metso to Build New Rubber Products Factory in China

According to Plastmatch, to meet growing market demand and enhance service quality for regional customers, Metso Corporation (Espoo, Finland) announced plans to invest in a new rubber products factory in Quzhou City, Zhejiang Province, China.

The new factory will produce rubber and Metso Poly-Met mill liners, as well as Trellex® screening media designed to improve equipment performance and reliability. Through this new facility, Metso aims to expand its supply capacity for high-quality, reliable wear parts made of rubber and Metso composite wear-resistant materials in the Chinese market, ensuring customers have access to products with excellent performance and stable supply.

Sol Tiox Acquires Former Venator Italy Plant, Set to Restart Titanium Dioxide Production

Plastmatch learned on January 12 that the former Venator Italy plant, located in Casone di Scarlino, Grosseto province, central Italy, was acquired by Sol Tiox at the end of December. The transaction was completed under the framework of an agreement signed in early December led by the Italian Ministry of Enterprises and Made in Italy. Sol Tiox is jointly controlled by the Solmar Group (1% stake) and its subsidiary Nuova Solmine (99% stake).

The plant, which had been idle for two years, has been reactivated and is expected to resume titanium dioxide (TiO₂) production in the coming weeks, with raw materials supplied by Nuova Solmine itself.

Overseas Macro Market:

Iranian FM: Internet Services to Resume After Coordination with Security Agencies

On January 12 local time, Iranian Foreign Minister Abbas Araghchi stated that Iran's internet services will resume after coordination with security agencies. Internet services were disrupted in Iran starting at 20:00 local time on the 8th, with network controls implemented in the capital Tehran. NetBlocks, an international non-governmental organization monitoring global internet access, stated that the nationwide network restrictions in Iran are related to ongoing protests in various locations.

Trump Claims Taking Over Greenland is to Prevent Chinese and Russian "Coveting"; MFA: Don't Use Other Countries as Excuses for Selfish Interests

On January 12, Foreign Ministry Spokesperson Mao Ning chaired a regular press conference. Mao Ning stated that the Arctic involves the overall interests of the international community. China's activities in the Arctic aim to promote peace, stability, and sustainable development in the region and are in line with international law. The rights and freedoms of all countries to carry out activities in the Arctic in accordance with the law should be fully respected. "The United States should not use other countries as excuses to seek selfish interests," she said.

Vice Finance Minister Liao Min Says China is Willing to Resume Economic and Financial Dialogue and Cooperation with Canada

According to a Ministry of Finance announcement, Vice Minister Liao Min met with former Canadian Prime Minister Jean Chrétien in Beijing to exchange views on China-Canada relations, bilateral economic and trade ties, and two-way investment. Liao Min stated that China is willing to resume and restart dialogue and cooperation with Canada in economic, financial, and other fields to promote the healthy, stable, and sustainable development of China-Canada relations and economic and trade ties.

Goldman Sachs Expects Two Fed Rate Cuts This Year

Goldman Sachs economists stated that the U.S. economy will receive a boost this year from tax cuts, rising real wages, and higher wealth levels, while inflation will decline. According to the bank's "2026 U.S. Economic Outlook" report released on January 11, given the greater uncertainty in the labor market outlook, the Federal Reserve is expected to cut interest rates by 25 basis points in June and September respectively.

China Now Possesses Independent R&D and Construction Capabilities for Large LNG Carriers

Over the past two days, at CSSC Hudong-Zhonghua Shipbuilding in Shanghai, an LNG carrier adopting the world's latest generation of dual-fuel low-speed propulsion systems is under intense construction and will be officially delivered by the end of the month.

Price Information:

RMB/USD Central Parity Hits Highest Level Since September 30, 2024

The RMB/USD central parity rate was set at 7.0108, up 20 pips; the previous trading day's central parity was 7.0128, the previous trading day's official closing price was 6.9821, and the previous night session closed at 6.9785.

Upstream Raw Material USD Market Prices

CFR Northeast Asia: $745/ton; CFR Southeast Asia: $725/ton.

Northeast Asia propylene FOB Korea average to $710/ton; CFR China average to $740/ton.

North Asia refrigerated cargo CIF: propane $547-549/ton; butane $607-609/ton.

China South China refrigerated cargo CIF for early February arrival: propane $595-605/ton; butane $590-600/ton.

Taiwan refrigerated cargo CIF: propane $547-549/ton; butane $607-609/ton.

LLDPE USD Market Prices

Film: $780/ton (CFR Xiamen); Injection: $900/ton (CFR Yantian).

HDPE USD Market Prices

Film: $890/ton (CFR Huangpu); Injection: $770/ton (CFR Huangpu); Blow molding: $795-820/ton (CFR Huangpu); Pipe: $1000/ton (CFR Huangpu).

LDPE USD Market Prices

Film: $940/ton (CFR Huangpu); Coating: $1050-1180/ton (CFR Qingdao).

PP USD Market Prices

Injection: $785/ton (CFR Dongguan); Copolymer: $820-850/ton (CFR Nansha); Film: $960/ton (CFR Huangpu); Transparent: $1000/ton (CFR Huangpu); Pipe: $1100/ton (CFR Shanghai).