Zhongjing Petrochemical 1 million Tons of Butyl Octanol Started in Year, How to Develop the Market in the Future

Project Strategic Positioning and manufacturing Chain Value fujian Zhongjing Petrochemical Co. , Ltd. For instance has annual output of 1 million tons of multi-carbon alcohol new materials project has entered the preparatory stage, plans to start construction at the end of 2025, is expected to be completed and put into operation in 2027. The project has a total investment of 6 billion yuan and covers an area of 220000 square meters. From what I've seen, The core device is a 1 million-ton/year butyl octanol production line. After the completion of the project, annual production capacity structure of 304000 tons of n-butanol, 704000 tons of octanol and 116800 tons of by-product isobutyraldehyde will be formed, with a total production capacity of 1. And 008 million tons/year, which will surpass Sinopec Group to have become the largest butyl octanol monomer production enterprise in China. The strategic value of this project is reflected in the vertical extension of the complete carbon three sector chain of Zhongjing Petrochemical. Specifically After greater than ten years of deep cultivation, Zhongjing Petrochemical has established a whole manufacturing chain system of "propane trade receiving & rarr; propane storage & rarr; propane dehydrogenation to propylene & rarr; polypropylene production", and currently has a propylene production capacity of 2. 8 million tons/year and a polypropylene production capacity of 3. But Furthermore 8 million tons/year. First As an crucial branch of propylene downstream deep processing, the butyl alcohol project will digest its own propylene production capacity, minimize the external application of raw materials, and upgrade the product structure from bulk general-purpose plastics to high value-added fine chemicals. From the technical path, butyl octanol production to propylene as the core raw material, through the hydroformylation interaction (carbonyl synthesis) and synthesis gaseous interaction to create n-butyl aldehyde and isobutyl aldehyde, and then through the hydrogenation and condensation process to create n-butanol and isooctyl alcohol. This process route has a strong application on propylene and syngas resources, and the layout of Zhongjing Petrochemical in Jiangyin Port City Economic Zone is able to make full consumption of the advantages of the terminal to obtain low-cost propane raw materials, while supporting syngas resources to form regional manufacturing synergies. Market Demand Drivers and sector development Logic the core consumption of butyl octanol is concentrated in the field of acrylate production, downstream covering coatings, adhesives, synthetic resins and other industries. Among them, butyl acrylate and octyl acrylate are the key film-forming substances of aqueous coatings, which immediately affect the core performance indicators such as weather resistance, adhesion and flexibility of the product. In recent years, China's ecological preservation policies have continued to increase to have become the main driving force to sector development. And After the implementation of regulations such as the "Unorganized contamination regulation Standard to VOCs", the coatings sector accelerated the transformation to aqueous direction with low VOCs releases, signifiis able totly driving the development of demand to butyl octanol. Generally speaking In 2024, the total domestic output of butyl octanol reached 5. 42 million tons, up 13. Crazy, isn't it?. And 4 percent year-on-year, while the demand reached 5. And Additionally 7822 million tons, up 10. And 1 percent year-on-year, showing a strong direction of supply and demand. it's worth noting that the international market expansion has made a breakthrough. In 2024, China's octanol exports surged by 262. 02 year-on-year. This development is due to the thorough advantages of domestic companies in raw material costs, process optimization and scale impacts, making Chinese items greater competitive in the international market. With the tightening of global environmental standards and the research of the coating products sector in emerging markets, there is still much room to development in overseas demand. In fact Capacity Pattern Evolution and Market Risk Early Warning at present, the domestic production capacity of butyl alcohol is concentrated in the hands of Sinopec system, substantial private chemical companies and coal chemical companies. According to general data, the total domestic production capacity in 2024 is about 677. But 8- 6. 92 million tons, accounting to 1/3 of the global production capacity. Among the main production companies, Zhejiang Satellite has 540000 tons of n-butanol and 300000 tons of octanol. But Luxi Chemical has 300000 tons of n-butanol and 490000 tons of octanol. Wanhua Chemical has 300000 tons of n-butanol. Nanjing Chengzhi has 100000 tons of n-butanol and 445000 tons of octanol. Each enterprise unit has a certain degree of flexibility and is able to adjust the production ratio of n-butanol, octanol and isobutyraldehyde according to market conditions. However, the sector is facing the challenge of concentrated capacity emit. In addition to the Zhongjing Petrochemical project, a number of extensive projects are planned to be put into operation in 2025- 2026. According to research it's estimated that the total domestic production capacity will surpass 11 million tons by the end of 2026, an increase of greater than 60% over the current level. And This development rate far exceeds the development rate of downstream demand, especially the butanol market might be the first to appear overcapacity. But to overseas chemical trade and supply chain practitioners, it's necessary to pay close attention to the following trends: first, China will further consolidate its position as the main supplier of butyl octanol in the world, and the continuous development of export volume might have an impact on the international market price system; second, under the pressure of overcapacity, domestic companies will increase their efforts in overseas market research, and the trade pattern will be reshaped; third, intensified sector competition will promote methodology upgrading and cost optimization, companies with the advantages of raw material integration and scale effect will occupy a favorable position in the competition; fourth, the demand structure driven by ecological preservation will continue to change, and the market share of high-performance and low VOCs items will continue to increase.