Baling Petrochemical: Excavating Benefit from Market Gap
Since the beginning of this year, as the overall chemical market has softened, Sinopec Baling Petrochemical Company has been working hard to enhance the value of small products by increasing production volumes and optimizing product mix. This strategic shift has allowed the company to better meet market demands and improve profitability.
Butyl Lithium Takes the Stage
The Synthetic Rubber Business Unit at Baling Petrochemical uses butyl lithium as a polymerization catalyst for producing SBS and other materials. The unit has had its own industrial-scale butyl lithium production facilities, which have been integrated with the SBS production line for many years. Initially, the product was used exclusively internally. However, with the expansion of SBS equipment and the enhancement of technical capabilities, the production process of butyl lithium has also evolved. Over time, the concentration of butyl lithium increased from 9% in 1998 to 15%, and further to 24% today. The division has completed nearly ten major upgrades, boosting annual production capacity from 100 tons to 200 tons. The purity of the product has reached 98%, making it highly competitive in the market.
While meeting internal needs, the Synthetic Rubber Division recognized that their butyl lithium could also serve other domestic SBS producers. In the first quarter of this year, they sold over 17 tons, marking a 20% increase compared to the same period last year. This success marks a significant step toward expanding their customer base beyond internal use.
Epoxy Resin Expansion
As the only domestic manufacturer supported by Jackie Chan in the epoxy organochlorine sector, the Epoxy Resin Division is focused on integrating both international and domestic markets. With intense competition, the division has emphasized specialization, product series, and customization.
In the second half of last year, the department restructured its product lineup, focusing on resin applications and modernizing outdated E-type resin facilities. This transformation created a comprehensive system that includes curing agents, E-type resins, and specialty resins.
On one hand, the division actively develops auxiliary materials such as hardeners and thinners based on the properties and applications of epoxy resins. They produce nine series of matching materials to support various industries. On the other hand, they tailor special materials to meet specific user requirements.
To streamline operations, the division established a dedicated curing agent workshop, managing all aspects of curing agents, tougheners, thinners, and specialty resins. This initiative accelerates R&D and application efforts for auxiliary materials. As a result, customers no longer need to source separate matching materials, improving convenience and strengthening sales channels.
So far, the Epoxy Resin Division has produced and sold over 350 tons of 17 types of curing agents and auxiliary materials, serving nearly 100 users nationwide. In the first quarter alone, output exceeded 170 tons, with March's production surpassing 80 tons—more than double the average monthly output from the previous year. Sales of branded auxiliary materials have also boosted epoxy resin sales.
Turning Waste into Value
While focusing on its core products, the Epoxy Resin Division has also explored the market potential of by-products like hydrochloric acid and DD blends. These by-products, once considered waste, are now being transformed into valuable resources. Instead of treating them as secondary, the department has taken a proactive approach to develop new markets.
Marketing teams have visited key regions such as Central China, South China, Jiangsu, and Zhejiang to understand demand and engage with users. They’ve expanded into sectors like pharmaceuticals, food, electroplating, electronics, and solvents, broadening the application scope of these by-products.
By optimizing processes and leveraging technology, the division has successfully developed dozens of users across multiple regions. They have even repurposed old equipment to process DD blends and other by-products, meeting diverse user needs. This transformation has significantly increased the product’s value, raising its selling price from a few hundred yuan per ton to over 2,000 yuan. Now, these by-products have become a sought-after commodity in the market.
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Jiangsu Zhongluman New Material Technology Co., Ltd , https://www.rozhmch.com