Huajin Armei 83.7 billion Project Breaks 95% Progress: Asian Petrochemical Trade Flow Faces Deep Reconstruction

1. Supply Certainty: Countdown to Production in 2026 and China-Sand Strategy Endorsement

as of December 2025, a joint venture between Saudi Aramco (30%), China North Industries Group Huajin Group (51%) and Panjin Xincheng Group (19%) huajin Ami Fine Chemical and Raw Material Engineering landmark progress has been made. At present, the overall construction progress of the project has officially broken through 95% of the 32 major production units planned, 28 have been successfully completed mechanically.

For global traders, the core certainty of the project comes from two dimensions:

• production window period: the project has been fully shifted to the commissioning phase and is expected 2026 it will go into commercial production. This means that overseas suppliers need to review their export quotas to China after 2026.

• Raw material stability: based on the Sino-Saudi energy cooperation agreement, Saudi Aramco will provide a stable supply of crude oil for the project. This integrated model of "crude oil for capacity" ensures that it has a stronger ability to resist risks than cracking plants that rely solely on market spot in the face of fluctuations in international oil prices.

2. Capacity Matrix and Trade Substitution Effect: Variables of Asian Supply and Demand Balance Sheet

the project is not only a 15 million-ton/year refining base, but also a "capacity output engine" for specific chemical varieties ". The release of its product matrix will directly trigger trade substitution effects:

Traders watch: the project has laid out a large number of ABS and acrylonitrile units, which indicates that Sinopec products are penetrating from "basic general products" to "high-performance engineering plastics. The northern manufacturing industry, which originally relied on imported pallets, will give priority to absorbing local production capacity, forcing high-cost overseas sources to find alternative markets such as Southeast Asia or South Asia.

3. Cost Competitiveness Analysis: Maritime Convenience and Integration Advantage

huajin Ami is located in the Liaobin Coastal Economic and Technological Development Zone in Panjin, Liaoning. Its geographical advantages and technical routes determine its extremely high price competitiveness:

1. logistics arbitrage space narrowed: in the past, there was a perennial premium for the "transfer of goods from the south to the north" in the northern Chinese market. With the local supply of the project, this cross-regional arbitrage window will be largely closed.

2. The ultimate path of "oil reduction and increase: the project maximizes the yield of chemical light oil through 3.7 million tons/year diesel hydrocracking and 2.5 million tons/year wax oil hydrocracking units. For overseas buyers, this means more competitive **FOB** potential.

3. Infrastructure through: at present, the site has entered the electrical instrument commissioning and "three water, two wind, FAW" comprehensive through stage. Its highly digital "nerve center" design indicates low loss and high continuity of its production operation.

4. strategic advice to global traders

as the "peak construction" shifts to "commissioning preparation", global chemical supply chain decision makers should pay attention to the following changes:

• focus on Q1/Q2 trial run signal in 2026: it is recommended that overseas buyers pay attention to the feeding progress of their normal decompression devices in the first half of 2026, which is often a key node in the change of market pricing power.

• traditional exporters peak avoidance: for overseas suppliers that focus on the northern Chinese market, they need to adjust their product mix in advance to avoid the general-purpose PE/PP varieties that are highly coincident with Huajin Ami and shift to higher value-added differentiated products.

• Supply Chain Diversification: huajin Aramco's port advantages give it the potential to radiate Northeast and Southeast Asia, and overseas distributors can see it as a long-term stable source of high-quality supply for early contact.