China Plastics Products Network tells you about the industrial problems of polyethylene

In the steady development of the polyethylene industry, the problems inherent in the industry itself cannot be underestimated. China is a country with “less oil, lack of gas and rich coal”, but naphtha olefins are the main production method of olefin products in China, which will inevitably lead to the existence of raw materials and cost pressure of polyethylene in China, and in the case of high oil prices, cracking The start of the installation will be limited. Secondly, China's petrochemical enterprises have limited research and development capabilities, and their products are concentrated at the general material level, while they lack performance in high-end special materials. Moreover, the current petrochemical enterprises mostly adopt pricing or the sales strategy of deferred settlement first. For the deferred settlement mode, because the cost is not locked, the traders cannot use their own flexibility and have to follow the petrochemical guidance price to determine the selling price. In addition, the production capacity and industrial distribution are uneven, mainly distributed in the three regions of North China, East China and South China. Of course, this is related to China's regional economic development, and is also associated with convenient transportation, but uncoordinated development has led to the three major markets. Too saturated is not in line with the country's strategy to promote the development of the central and western regions.
At the same time, downstream plastic products factories are also facing many problems, such as numerous small and medium-sized enterprises in the industry, low overall equipment level, backward production process, unreasonable product structure, insufficient investment in science and technology, weak innovation ability and low product intensification. Unbalanced development of the industry, unordered competition in the market, and weak ability to withstand risks. In addition to the problems existing in the above-mentioned enterprises, the development of SMEs faces more prominent problems such as difficulty in financing, rising labor costs, and excessive rise in raw material prices. It is more difficult to produce and operate, and the external environment for the development of SMEs needs to be improved.

Jiuzhi Plastics Network

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