Kelly Cui, Olefins Senior Consultant, discusses China’s aspiration to switch gears from being the world’s leading importer of olefins to becoming self-sufficient via CTO/MTO.
China has historically seen rapid rises in both ethylene supply and demand growth. Its supply has been dominated by steam crackers, which accounted for 98% of total supply in 2010. Demand growth was robust at 7% between 2010 and 2016, and it’s developing much faster than supply. To meet the increasing demand, China still needs other sources, such as coal- and methanol-based olefins (CTO/MTO). This method uses China’s abundant coal reserves and domestic and imported methanol resources, and it reduces China’s dependency on imports of olefins and derivatives.
Source: PCI Wood Mackenzie
As China’s CTO/MTO aspirations continue, how economically competitive will they be? How will they impact Chinese olefin prices, and how do they compare with other production routes globally? Attend our annual Americas Chemicals Conference to hear more from Kelly Cui or learn more about our China’s coal- and methanol-based olefins study, which delves into the intricate details and its effects on the global market.