Hangzhou sits in one of the most industrialised provinces of China, Zhejiang. The explosive growth in the economy over the past twenty years has resulted in the proliferation of industrial complexes including refineries, petrochemical plants and steel mills, in Zhejiang and neighbouring Jiangsu provinces. It is with this in mind that since early 2016, the central government in Beijing, in conjunction with the local authorities in Zhejiang and neighbouring Shanghai and Jiangsu, have requested enterprises to help play the role of a good host for the string of G20 meetings. This insight report discusses the ways in which such shut downs will affect the polyester value chain in China, and the likely implications on polyester supply and demand in Asia for the coming months. Use it to sharpen your commercial planning and understand the likely supply/demand patterns that will shape polyester prices into the coming autumn.
Table of contents
G20: why it matters to China’s polyester industry
Who’s cutting what, where and how much, how long?
After G20: it should all bounce back, but just how strongly?
Impact on Polyesters
Impact on PTA and paraxylene
Impact on MEG
Post G20: still all the way down for China’s polyester industry?