CCM>Free Info >News Update>2nd volume No.1>
Last Update: March 31st, 2001
Miscellaneous Chemicals
Sample of Market Analysis
I. News Collection
 
Tobacco Fragrance in Guiyang (Last update: 03/19/2001)
Guizhou Fragrance Factory aims to produce fragrance for tobacco by making good use of the natural resources. It is reported that the production capacity of this kinds of fragrance is 1,000MT/year. This factory also produces other kinds of fragrance from natural resources like cedar wood oil, valerian, licorice, pubescent angelica root, etc. The total asset in this factory is RMB20 million. The total production capacity of fragrance is 2,000MT/year. (Source: China Food News)
 
Grain Plantation Decreased in 2000 (Last update: 03/07/2001)
Latest data from State Statistics Bureau shows that the grain production in 2000 is 462.51 million MT, decreasing 9.3% over 1999. But the product structure optimized in the last year. It is the first time in the history that the plantation area of economic crops accounts to 30% of the total plantation area, some of whose production are: oil crop 29.50 million MT, sugar crop 74.5 million MT. The meat production in 2000 is 62.7MT while the production of aquatic products is 42.90 million MT. (Source: China Food News)
 
20,000 Polyamide Slice Facility in Shijiazhuang (Last update: 03/05/2001)
The 20,000MT/year polyamide slice production line has been activated in Shijiazhuang Chemical & Fiber Co. Ltd. Most parts of the equipment are made in China. The total investment for this production line is RMB50 million, less than one quarter of that of imported equipment. Shijiazhuang Chemical & Fiber Co. Ltd. was set up in 1999. They are producing the following products: polyamide slice (25,000MT/year), nylon yarn(5,400MT/year), nylon cloth (13,7 million meter/year), caprolactam (50,000MT/year), ammonia sulfate (190,000MT/year). (Source: China Chemical News)
 
China Promotes Application of Seed Covertures Chemicals (Last update: 03/02/2001)
State Planning Committee and Ministry of Science & Technology lists the seed covertures chemicals as underlying item with high technology. Seed covertures is a kind of chemical clapping on the surface of seed to prevent attach from insect & pest, stimulate the growth of seed and to boost the output. It consists of pesticide, bactericide, composite fertilizer, trace element, growth regulator. In 1991, Tianjin North Seed Covertures Chemicals Factory got the license to produce seed covertures chemical, symbolizing that China entering the production of seed covertures production. By 1998, the total production of seed covertures chemical is 12,000MT. Now there are around 60 manufacturers in China, producing over 40 kinds of seed covertures product. The annual production is 10,000MT/year.(Source: China Chemical Industry News)
 
State Flavor, Fragrance & Cosmetics Standard Committee Set up (Last update: 02/22/2001)
State Flavor, Fragrance and Cosmetics Standard Committee was set up in Beijing. The task of the Committee includes: To suggest guideline, policy and measure as to the F & F, cosmetics industry to the associated authorities; To frame industrial standard system; To revise industrial standard; To put forward annual plan; To investigate and report the executation of industrial standard;etc. It is reported that the output value of F & F industry is RMB10 billion per year while the sales value of cosmetics is RMB3.5 billion per year. (Source: China Chemical Industry News)
 
Yangzi Produced 960,000MT Chemical Fiber in 2000 (Last update: 02/07/2000)
Being the largest suppliers of fiber raw material in China, Yangzi Petrochemical Corp has the facilities to produce PTA (600,000MT/year) and glycol (300,000MT/year). In 2000 Yangzi improved the production technology of PTA and enlarged the production capacity by 10%. The actual production quantity of PTA in 2000 is 722,000MT and the actual production quantity of glycol is about 240,000MT, including 238,000MT of pure glycol. (Source: International Trade News)
 
Huadu Gaoke to Build Largest Production Base of Silica in Asia (Last update: 01/22/2001)
Following the first production line of silica in Sichuan Kangding (10,000MT/year), Sichuan Gaoke Group Co. invests jointly with China Export Base Construction Corporation (CEBCC) Sichuan Branch to build another production line of silica (10,000MT/year) in Sichuan Luding. It is reported that Sichuan Gaoke will build the third production line of silica (20,000MT/year) in Sichuan Kangding in the future. After the finish of the third production line, Sichuan Gaoke will become the largest producer of silica in Asia, with annual output value of RMB250 million. (Source: China Chemical News)
 
Enlargement of PVC Project in Tianjin LG (Last update: Jan 2001)
Tianjin LG Dagu Chemical Co. Ltd. begins the enlargement on the PVC project. It is expected that the production capacity of PVC resin will be 180,000MT/year after the enlargement. At present the PVC capacity of Tianjin LG is 130,000MT/year. (Source: Domestic Petrochemical)
 
10,000MT/year Polyacrylamide Technology by Microbiological Method (Last update: Jan 2001)
The microbiological method for production of polyacrylamide (10,000MT/year) has been approved recently. The technology is developed by Shengli Oilfield. The polyacrylamide by this method is expected to be used in the third phase exploitation of crude oil. This technology can increase the output of oil by 60 million MT in the next 30-40 years. So far the annual demand for polyacrylamide in China is 120,000MT/year. It is used in the oil exploitation, paper making industry, etc. (Source: Shanghai Chemical Industry)
 
Xinhui Meida Nylon Project (Last update: Jan 2001)
The new project, Xinhui Meida-DSM Nylon Chips Project, has passed the approval recently. This new project belongs to Xinhui Meida-DSM Nylon Co. Ltd., the JV between Guangdong Xinhui Meida Nylon Co. Ltd. and Holland DSM Fiber Intermediate Co. Ltd. The total investment for this project is RMB400 million. The designed capacity of nylon chip is 45,000MT/year. It is expected that the annual sales will be RMB850 million. (Source: Shanghai Chemical Industry)
 
The First Domestic Made Facility for Polyester Production (Last update: Jan 2001)
The first large domestic designed facility to make polyester, with capacity of 100,000MT/year, has been installed in Jiangsu Yizheng Chemical & Fiber Co. Ltd. The qualified product comes out. It symbolizes an end to the reliance on the oversea polyester facility. It is reported that it only cost RMB200 million for this facility, saving about RMB 100 million for China. The production level of this facility can meet the international standard in 1990s. (Source: China SHH)
 
The First Production Base of Nanometer Industry (Last update: 01/09/2001)
Ministry of Science and Technology approved the first production base of nanometer in Tianjin Development Zone. It shows that China steps forward to fasten the industrialization of nanometer industry. (Source: China Chemical Industry News)
 
Superhigh Molecular PAAm Project in China (Last update: 01/09/2001)
The 30,000MT/year production line of polyacrylamide by microbiological catalyzed method has been set up. This project is carried out by Shanghai Biological Chemical Engineering Research Center and Beijing Hengju Oilfield Chemicals Co. Ltd. It is one of the top 51 projects of China during the Ninth-Five-Year Plan. By using this new technology, Beijing Hengju company can synthesize PAAm with molecular weight of 23-25 million/mole. Comparing with the chemical synthesis method, the production of PAAm by biological method is characteristic by its small investment, low production cost and low waste. (Source: China Chemical Industry News)
 
Humic Acid Enterprise in Xinjiang (Last update: 01/04/2001)
In Dec 2000, Xinjiang Huitong Hantilong Humic Acid Co. Ltd. merged with Xinjiang Huitong Humic Acid Science & Technology Development Co. Ltd. The new company can produce 20,000MT/year of humic acid per year. So far this is the largest manufacturer of humic acid in China. (Source: China Chemical Industry News)
 
II. Referential News/Policies
 
More Decision Right for Joint Ventures (Last update: 03/13/2001)
The Enterprise Operation Law for Joint Ventures in People's Republic of China has been amended. The main changes are: 1. The clause 9 No.1 is deleted. That is to say, the joint ventures no longer reports to the authorities about the production plan. 2. The clause 9 No.2 is changed. According to the new law, the joint ventures can purchase the raw materials, fuel, and other facilities in China or from abroad. (Source: China High-Tech Industry Herald)
 
China to Suspend 9 Bureau (Last update: 02/26/2001)

State Economic & Trade Committee suspends the function of 9 administrative bureaus: State Internal Trade Bureau, State Coal Industry Bureau, State Machine-Building Industry Bureau, State Metallurgical Industry Bureau, State Petrochemical Industry Bureau, State Light Industry Bureau, State Textile Industry Bureau, State Administration of Building Material Industry, State Nonferrous Metals Bureau. The administrative function of the above nine bureaus is transferred to State Economic & Trade Committee. In the same time, China establishes Sate Supervision & Administration Bureau of Safe Production.

The former 300 associations that are under the administration of the above nine suspended bureaus are now under the administrative of State Economic & Trade Committee. There are 10 associations that are under the direct administration of State Economic & Trade Committee: China Commerce Association, China Material Distribution Association, China Coal Industry Association, China Machine-Building Association, China Steel Association, China Petrochemical Industry Association, China Light Industry Association, China Textile Industry Association, China Building Material Association, China Nonferrous Metals Association. (Source: China Chemical News)

 
China Further Lowers the Tariff (Last update: 01/08/2001)
China decides to further lower the tariff level, from 16.4% in general to 15.3% in general. There are total 3,462 HS items listed in the area of tariff decrease, accounting to 49% of the total HS items. After adjustment the average tariff for the main products are: mineral 3.0%, metal material 7.4%, chemical product 10.6%, forestry product 12.3%, machine & equipment 14.3%, light industry product 14.8%, construction material 17.8%, weave product 21.3%, agricultural product 19.0%, communication tool 24.0%. (Source: China Chemical News)
 
Central Government Cancels 9 Bureaus (Last update: 01/06/2001)
State Council decides to cancel 9 bureaus that formerly under the directly administration of central government. After suspend these bureaus are under the administration of State Economics & Trade Committee. These bureaus include: State Machinery Bureau, State Metallurgy Bureau, State Coal Industry Bureau, State Oil & Chemical Industry, State Fiber Bureau, State Light Industry Bureau, State Domestic Trade Bureau, State Construction Material Industry Bureau, State Non-Ferrous Metal Industry Bureau. (Source: China Chemical Industry)
 
Statistics on Situation of High-Tech Industrial Develop Zone in 2000 (Last update: 02/06/2001)
The recent statistics shows that there are 53 national level high-tech industrial development zones at present. There are 19,000 enterprises settling in the zones, 1,015 enterprises having production value over RMB 100 million, and 8,800 enterprises being JVs. There are total 2.1 millions people working in the zones. The total production value in these zone in 2000 is RMB768 billion, with net profit of RMB52 billion. The total export of these zones in 2000 is USD 22 billion. (Source: China High-tech Industrial Herald)