SBR reveals overheated signs and accelerates its industry development

March 21, 2021

After the successful implementation of anti-dumping measures for styrene-butadiene rubber in 2003, it countered the low-cost sources of goods from Russia, Japan, and South Korea to the domestic market. In addition, the domestic demand was strong and domestic production capacity was fully released. The domestic production exceeded 400,000 tons for the first time. According to this, the industry People have been optimistic about the follow-up market, Kyrgyzstan in 2004 to expand the 50,000 tons / year of styrene-butadiene rubber projects in April successfully put into operation, Shenhua in March 2005 to expand 50,000 tons of new production capacity. In a good relationship between supply and demand, the development of the styrene-butadiene rubber industry has accelerated.
Although the number of imports from neighboring countries decreased significantly after the implementation of anti-dumping measures and the domestic self-sufficiency rate increased, the dependence on imports remained high. In 2003, imports reached 152,000 tons, accounting for 27% of the total domestic supply. Imports in 2004 It has dropped significantly, with an annual import of 115,000 tons, accounting for about 18% of the total domestic supply. However, due to the large scale currently being built in China, there are signs of potential investment in SBR.
It is reported that in the next three years, some manufacturers will plan to newly build or expand styrene-butadiene rubber projects. Yangzi Jinpu plans to add a new 100,000 tons/year milk polybutadiene butadiene rubber project. It is expected that the first phase of the project will be completed and put into production in the first half of 2006, and the sales volume will be calculated at 30,000 tons; Bridgestone plans to invest 50,000 yuan in the Nanhai petrochemical project. ~60,000 tons/year of butadiene styrene-butadiene rubber plant; Lanhua will build 100,000 to 150,000 tons/year of milk-based styrene-butadiene rubber plant by the end of 2007; Qilu Petrochemical plans to expand 100,000 tons/year of butadiene-styrene-butadiene rubber Rubber project, with a total capacity of 230,000 tons/year (with approval). If such new and expanded projects are implemented as planned, the total domestic output will reach around 770,000 to 780,000 tons.
According to the analysis of the development plans of major downstream processing enterprises in China, the consumption demand for styrene-butadiene rubber in China will steadily increase in the next three years, with an average annual growth rate of approximately 5% to 6%. According to this calculation, the total demand for styrene-butadiene rubber in 2008 will reach 700,000 to 720,000 tons. By then, the supply of styrene-butadiene rubber will exceed the consumption demand capacity, with an excess capacity of 60,000 to 70,000 tons. In addition, anti-dumping will end on September 9, 2008, and the oversupply situation will become even more pronounced. Therefore, the signs of current investment overheating should be properly controlled.

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