A brief analysis of China's polypropylene import and export in 2021

In 2021, China's polypropylene import and export volume changed greatly. Especially in the case of the rapid increase in domestic production capacity and output in 2021, the import volume will drop sharply and the export volume will rise sharply.

1. The import volume has dropped by a wide margin

Figure 1 Comparison of polypropylene imports in 2021

According to customs statistics, polypropylene imports totally in 2021 reach 4,798,100 tons, down 26.8% from 6,555,200 tons in 2020, with an average annual import price of $1,311.59 per ton. Among them, 3,179,900 tons of primary shape polypropylene, 1,434,500 tons of ethylene-propylene polymers, and 183,700 tons of other primary shapes of propylene copolymers.

From February to March 2021, the extremely cold weather in Europe and the United States caused supply disruptions, overseas PP offers rose, import profits were compressed, and import volumes fell sharply. In addition, the price of sea freight increased during the year, and the import cost increased. Domestic PP has a price advantage, and the import window Long-term closure, China's polypropylene imports will shrink by 26.8% in 2021.

Figure 2 Analysis of the proportion of China's polypropylene import source countries in 2021

China's polypropylene import sources are relatively concentrated. According to customs import data statistics, the top three sources of polypropylene imports in Chinamainland in 2021 are South Korea, Singapore, and Taiwan, China, with import volumes of 1.1332 million tons, 766,400 tons, and 605,000 tons respectively. ton, accounting for 23.62%, 15.97%, and 12.61% of the total import volume, respectively. The top three sources of polypropylene imports in 2020 are South Korea, Singapore, and Taiwan, China, which is consistent with 2021 and has a stable structure.

2. The export volume rose sharply

Figure 3 Comparison of polypropylene exports in 2021

According to customs statistics, the total export volume of polypropylene in my country in 2021 will be 1,391,100 tons, an increase of 227.24% from 425,100 tons in 2020, and the average annual export price is 1,535.02 US dollars / ton. Among them, 1,274,200 tons of polypropylene in primary shape, 98,500 tons of ethylene-propylene polymers, and 183,700 tons of propylene copolymers in other primary shapes.

In 2021, the export volume has reached 1.3911 million tons, a record high. In recent years, domestic polypropylene production capacity has been continuously expanding. In this context, the pressure of market supply and demand has gradually become prominent, and the opening of the export market can better balance the relationship between supply and demand. Based on this, major petrochemical companies, CNPC and large traders have been actively To open up export channels and achieve certain results, in addition, in order to improve international competitiveness and encourage exports, the country has formulated an export tax rebate system, and 13% of polypropylene export taxes can be refunded. The price is more competitive, the export arbitrage window is opened from time to time, and the export volume is increasing year by year; in February 2021, the extreme cold weather occurred in the United States, which forced the closure of its domestic polyolefin plants. The rare situation lasted until October, creating a good opportunity for my country's polypropylene export. Domestic traders tried to export one after another, and the export volume increased significantly during the year.

Figure 4 Analysis of the proportion of China's polypropylene export source countries in 2021

In 2021, China's polypropylene export production and sales countries changed. According to customs export data statistics, the top three polypropylene export production and sales countries in my country in 2021 are Vietnam, India, and Bangladesh, with export volumes of 237,000 tons, 126,000 tons, 93,500 tons, accounting for 17.04%, 9.06%, and 6.72% of the total export volume, respectively. Compared with 2020, the changes have changed a lot. The top three polypropylene export producing and selling countries in 2020 are Vietnam, Hong Kong, China, and Japan. Under the influence of emergencies in 2021, the international supply and demand pattern will undergo a short-term change, China will gain greater export opportunities, and the scope of domestic polypropylene production and sales will expand and the number will increase.