my country’s ethylene glycol production technology is gradually maturing and output continues to increase

Ethylene glycol, also known as “glycol”, abbreviated as EG, is one of the subcategories of glycols. Ethylene glycol is a colorless, odorless, sweet liquid that is miscible with water and acetone, but has low solubility in ethers. Due to its low molecular weight, ethylene glycol can undergo oxidation, acetalization, alcoholization, dehydration, esterification, etherification and other reactions, and can be used to produce hygroscopic agents, plasticizers, synthetic fibers, gas dehydrating agents, surfactants, antifreeze, Polyester resin, PET bottle flakes, polyester chips, polyester, etc.

At present, my country’s ethylene glycol production technology has gradually matured, with a variety of preparation methods, which can be roughly divided into oil-to-ethylene glycol, coal-to-ethylene glycol and other methods. Among them, oil-to-ethylene glycol mainly processes petroleum to produce ethylene, which is then oxidized into ethylene oxide to generate ethylene glycol; coal-to-ethylene glycol uses coal as raw material and processes it through It is produced with various types of syngas into oxalate esters, which are further made into ethylene glycol products.

From the perspective of my country’s ethylene glycol downstream market, polyester filament has become the largest market segment for ethylene glycol, accounting for the largest share of the overall market, accounting for 48.5%; followed by polyester chips, accounting for 17.3% of the market; Ranking third is polyester staple fiber, with a market share of 13.8%. At present, polyester has become the most important consumer area of ​​ethylene glycol in my country.

As a common chemical fiber fabric, polyester has good wrinkle resistance and shape retention. It is mainly used in the production of clothing, bags, tents and other products. It is widely used in clothing, car interiors, packaging, home textiles and other fields. With the continuous improvement of my country’s economic level and the rapid development of clothing, home textiles, automobile interiors and other fields, the demand for polyester continues to increase. Against this background, my country’s polyester production has gradually grown steadily. According to data released by the China Chemical Fiber Industry Association, my country’s polyester output in 2022 will be 53.43 million tons, almost the same as in 2021. As an important raw material for the production of polyester, ethylene glycol’s market has also fluctuated.

According to the “2023 Ethylene Glycol Industry Investment Prospects Forecast and Investment Strategy Suggestions Report” released by the Industrial Research Center, in recent years , my country’s ethylene glycol downstream market demand is gradually increasing, but there is still a large gap between consumption and production, and large amounts of imports from abroad are needed to fill the gap. In order to reduce the dependence of ethylene glycol on imported resources, my country’s ethylene glycol industry continues to optimize the industrial structure, gradually improves production technology, gradually expands the allocation rate of industrial equipment, and its output shows a steady growth trend. From 2018 to 2022, my country’s ethylene glycol production increased from 6.683 million tons to 13.283 million tons, with an average annual compound growth rate of 18.74%.

Industry analysts said that at present, my country’s ethylene glycol industry has low concentration and the market structure is relatively dispersed. The major ethylene glycol companies in my country include Hengli Group, Zhenhai Refining and Chemical, Sinopec, Hualu Hengsheng, Satellite Chemical, Fude Energy, Sanning Chemical, Yangmei Group, Sanning Chemical, etc. With the continuous development of my country’s ethylene glycol market and the gradual industrial integration within the industry, its market concentration will gradually increase in the future.