Polyester production capacity continues to expand, and the concentration of leading enterprises increases

Introduction: in recent years, due to the increasing social demand, China's polyester production capacity continues to expand. Polyester is the main raw material of textile industry and beverage packaging industry. The rapid development of textile industry and beverage industry is the main reason for the rapid growth of polyester production capacity.

China's polyester production capacity increased from 56.21 million tons in 2018 to 82.16 million tons in 2023, with an average annual growth rate of 8.49 per cent. 2018-2019 is the peak of polyester production, with a total new production capacity of 12.1 million tons. From 2020 to 2022, although China's polyester production capacity continued to grow, but the growth rate gradually slowed down, there was a surplus crisis in the industry, new production capacity gradually decreased, and some backward production capacity was eliminated. In 2023, China's polyester industry again entered the peak period of large-scale production. Many sets of large-scale polyester plants were intensively put into production, and polyester enterprises expanded and speeded up. In 2023, China's new polyester production capacity totaled 11.05 million tons, an increase of 15.12% over the same period last year. Among them, polyester filament and polyester bottle chips are still the main forces of production capacity expansion. According to Tuduo data monitoring, the total production capacity of polyester in China will be 82.16 million tons in 2023. Among them, the new production capacity of polyester bottle chips is 4.6 million tons, accounting for 42% of the new production capacity of polyester; the new production capacity of polyester filament is 4.27 million tons, accounting for 39% of the new production capacity of polyester; the new production capacity of polyester chips is 800000 tons, accounting for 7% of the new production capacity of polyester; the new production capacity of polyester staple fiber is 1.13 million tons, accounting for 10% of the new production capacity of polyester; and the new production capacity of polyester film is 250000 tons, accounting for 2% of the new production capacity of polyester.

China's economic development has rebounded this year. With the end of the epidemic, the market is optimistic about economic recovery, macro sentiment is high, and the overall performance of commodities is strong, driving the polyester industry into a new round of business cycle. Due to the recovery of terminal textile demand this year, the operating rate of China's polyester enterprises remains high, and the overall start-up load of China's polyester industry has increased steadily. In 2023, the overall start-up of China's polyester enterprises reached a high of 85.86%, an increase of 3.36% over the same period in 2022. With the sharp increase in polyester production capacity in China and the high start-up of the polyester industry, polyester production continues to grow, with a total output of 66.74 million tons in 2023, an increase of 15.51% over the same period in 2022.

In recent years, the market share of polyester leading enterprises has gradually increased. Up to now, there are 10 polyester enterprises in China with a total production capacity of 51.855 million tons, accounting for 63% of China's total polyester production capacity. Among them, Tongkun polyester production capacity is 11.1 million tons, Hengyi polyester production capacity is 8.58 million tons, Xinfengming polyester production capacity is 8.16 million tons, and the total production capacity of the three companies is 27.84 million tons, accounting for 34% of China's total polyester production capacity, with a large market share. The polyester industry led by leading enterprises is beginning to take shape.

In recent years, China's new polyester production capacity is also mostly for the expansion of polyester leading enterprises, of which Tongkun Group added 3 million tons of polyester production capacity in 2023, Hengyi Group added 500000 tons of polyester production capacity, Xinfengming added 660000 tons in 2023, Hengli added 850000 tons, Sanfang Lane added 1.5 million tons, Yisheng, Wankai and China Resources all added 600000 tons, and the new production capacity of large polyester enterprises accounted for 80% in the past two years. This will accelerate the promotion of industrial concentration, in order to continuously enhance the market competitiveness of enterprises. In 2024, China's new polyester projects are still in progress as scheduled, and China's new polyester production capacity will be concentrated in the 2nd-3rd quarter. In recent years, large-scale integration projects of Chinese polyester enterprises have increased, forming a whole industry chain business from "one drop of oil" to "one silk".