Bio-based Material China Quarterly Report

Welcome to the Bio-based Material Quarterly Newsletter Q4 2022.

Policy

The Guzhen County Economic Development Zone updated on progresses made according to its Development Plan for PLA Products Manufacture Industrial Parks for 2020–2025 facilitating the industrial development of new bio-based materials in Oct.

Market dynamics & company performance

In Q4, some programmes have been accomplished in China: GS Biotech completed a Pre-A round of financing generating around USD14.04 million (RMB100 million) for development of HMF, FDCA, THFDM business; Weiqi Biotech completed process verification for new 10,000 t/a plus PHA production lines and launched its first batch of PHA products onto markets both at home and abroad; WOTE signed polyamide R&D agreement with SIAT hand in hand; some bio-based material projects have entered trial production, for instance, Eppen New Material's 20,000 t/a bio-based PDA and nylon 56 project (phase I), Sateri Changzhou's Loycell fibre production line with the largest capacity of 100,000 t/a in China and Bluepha's 25,000 t/a PHA project (phase I).

In the meantime, multiply new projects are brought up, including Huaheng Biotech's 1,3-PDO project, Shaanxi Coal Research Institute's PCHC preparation pilot project, Shengquan Group's hard carbon anode material project, Shangdong Gaochuang and Hubei Xingchen's PLA and PHA projects, Huafon Group's PTT project and the PLA project between Karamay municipal government and Huaxia Dadi, along with some reconstruction and expansion projects such as Jindan Technology's PLA project and Huaheng Biotech's bio-based SA project, and some in development, i.e. Kingfa and Jiangxi Keyuan's PLA and LA projects, Hongye Biotech's THF and methanol project and Huafon Group's PPC project.

Price

During Q4 2022, PLA prices fluctuated between USD3,229.20/t–USD3,299.40/t (RMB23,000/t–RMB23,500/t), while PHA prices remained stable.

The USD/CNY exchange rate in this newsletter is USD1.00=CNY7.1225 on 1 Dec., 2022, sourced from the People's Bank of China. Unless otherwise specified, all the prices mentioned in this newsletter will include the VAT.