Regional Distribution Trend of China's Maleic Anhydride Industry: Shifting Focus to the South

Recent major maleic anhydride projects signed in South China indicate a shift in China's heavy chemical industry towards the south. While regions like Shandong and Liaoning remain major production areas for maleic anhydride, the position of South China is also on the rise, leading to a balance in production capacities between the north and south.

"Giant Maleic Anhydride" Project Settles in Fujian:

Fujian Zhongjing Petrochemical Co., Ltd. has signed a contract with UK's Johnson Matthey to develop the world's largest maleic anhydride project. With a total planned investment of 18 billion yuan and an annual output value exceeding 60 billion yuan, this project will enable Zhongjing Petrochemical to achieve green and circular development of the maleic anhydride industry chain while reducing production costs.

Diminishing Role of Resource-Driven Model: Trend of Shifting Industry Focus to the South:

As consumption and population centers move southward, large-scale petrochemical projects are increasingly being established in South China. The region has witnessed the implementation of projects such as Guangdong Huizhou Yuxin New Materials, Fujian Xinyang Technology, Guangdong Chenbao Composite Materials, and Guangxi Hualong Group. The increased supply and demand in South China have changed the procurement of raw materials for related product manufacturing enterprises, resulting in cost reduction.

Projected Regional Distribution of Maleic Anhydride Capacities in the Next Five Years:

According to statistical data, the planned maleic anhydride capacities in South China will account for 34%, ranking second in the country. Shandong Province remains the top province with the most planned capacities, while Fujian Province is gaining prominence. The proportion of capacities in the southern region will reach 53%, while the northern region will account for 47%.

These planned projects will significantly alter the supply-demand regional pattern in the maleic anhydride industry, particularly elevating the position of South China and leading to a more balanced supply and demand between the north and south. Inland regions, however, have smaller-scale projects due to insufficient supply of light hydrocarbon raw materials.

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