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    Home > Coatings News > Paints and Coatings Market > Profits of the petrochemical industry across the country were largely stocked in the first half of the year.

    Profits of the petrochemical industry across the country were largely stocked in the first half of the year.

    • Last Update: 2020-09-27
    • Source: Internet
    • Author: User
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    China Coatings Network
    News:
    In the first half of the year, the main business income and total profits of the petroleum and chemical industry in most regions declined to varying degrees, with profits in Jiangsu, Zhejiang, Shanghai, Hunan, Hubei and other provinces up year-on-year. Among them, the decline in profits in the eastern region is relatively narrow, the proportion of total profits continues to rise, and the gap between East and West benefits continues to widen. This is the reporter from last week held the 10th National Petroleum and Chemical Industry Work Symposium. According to statistics from the China Petroleum and Chemical Industry Federation, from January to June, the total profits of the 12 western provinces (regions and cities) with oil and gas exploration, petroleum processing, basic chemical raw materials and other industries as their main business amounted to 53.38 billion yuan, a decrease of 50.1%, accounting for 17% of the total profits of the national industry; The total profits of the 11 eastern provinces (cities) amounted to 217.20 billion yuan, down 7.7% YoY, accounting for 69.3% of the total industry profits of the country, while the total profits of the eight central provinces amounted to 42.63 billion yuan, down 43.3%, or 13.6%. According to reports, the first half of the industry-wide profit decline is mainly affected by the international oil price downturn, some products overcapacity, insufficient investment momentum, overseas markets blocked, environmental protection costs rise, tax burden and other factors.
    It is worth mentioning that in the 16 provinces (regions and cities) that announced the economic operation of the industry in the first half of the year, the total profits of Jiangsu, Zhejiang, Shanghai, Hunan and Hubei increased by 18.6%, 15.4%, 150%, 26.9% and 21.3% respectively (some of the data are for the first five months). On the whole, the benefits of the chemical sector in most areas are better than those of the oil and gas sector, the benefits of traditional industries are lower than those of emerging industries due to poor demand and lack of innovation, and the vitality of private enterprises is gradually being released compared with that of state-owned enterprises.
    :
    refining sector benefits eye-catching
    in the first half of the year, Shanghai petrochemical and fine chemical manufacturing industry achieved a total industrial output value of 172.443 billion yuan, up 6.7% YoY. From January to May, the industry achieved a total profit of 7,988 million yuan, an increase of 1.5 times year-on-year. In the first half of the year, the main units achieved a profit of RMB4.020 billion (excluding Shanghai Chemical District), up 110.9% YoY. Tang Xiaolu, secretary-general of the Shanghai Chemical Industry Association, said that the refining sector is the bright spot of Shanghai's efficiency growth, the main reasons are three: First, the refining sector in the same period last year are negative growth, the base is low; Jiangsu:
    Seve-restructuring results
    From January to May, enterprises above the scale of Jiangsu petrochemical industry achieved main business income of 778.84 billion yuan, up 3.8% YoY, and a total profit of 41.86 billion yuan, up 18.6% YoY. From the main product output point of view, the industry is in a state of low growth, focusing on monitoring the total output of 21 kinds (classes) of major chemical products 26.1537 million tons, an increase of 4.69 percent year-on-year. According to reports, the province's overall industrial and product restructuring accelerated, high value-added and high-tech products continue to increase the proportion of meridian tires, high-efficiency low-toxic low-residual pesticides, environmentally friendly
    coatings
    and other products significantly increased. In addition, the development of industry shows the trend of cluster development, regional layout tends to be reasonable, the industry has made a number of breakthroughs in the development and application of new technologies, the level of technical equipment further improved. These are the main reasons for the good development of the industry. Tianjin: In
    first half of this year,
    Tianjin's petrochemical industry completed a total industrial output value of 149.41 billion yuan, down 21.43% YoY. From January to May, the company completed its main business revenue of 118.18 billion yuan, down 22.7% YoY, and realized a profit of 16.15 billion yuan, down 40.8% YoY. Oil and gas exploration is the main source of profits in Tianjin petrochemical industry, accounting for more than 80%. The decline in crude oil prices has greatly reduced the profit margins of oil exploration enterprises and has a significant impact on the overall profitability level. In addition, this year's increased investment in environmental protection equipment, increased operating costs, the overall level of profits also have a greater impact. Shandong:
    Overcapacity Drags On Benefits
    From January to May, Shandong Petroleum and Chemical Industry achieved a cumulative revenue of RMB113.966 billion and a profit of RMB54.4 billion, down 2.5% and 22.7% YoY, respectively. At present, inorganic chemical raw materials, agrochemicals, tires, refining and most organic raw materials, synthetic materials and other industries overcapacity contradictions are more prominent, low-level homogenization competition is fierce, so that the overall benefits significantly decline, enterprise survival is more difficult. Wang Jiaxing, vice president of Shandong Petrochemical Industry Association, suggested that the second half of the year should speed up the transformation of traditional industries to achieve high-end, differentiation, accelerate the elimination of backward production capacity, such as the near future will eliminate 2 million tons / year and below of refining equipment; Hebei:
    Thred three problems expected to reduce profits
    From January to May, Hebei Province's petrochemical industry completed sales value of 212.491 billion yuan, down 3.7% YoY; Hebei Petroleum and Chemical Industry Association President Yu Jian said that the main problems of the decline in profits are three: First, overcapacity is still prominent, especially in the fertilizer and pesticide industries; Shanxi:
    Coal chemical industry profit level improved
    from January to May, Shanxi coal chemical industry achieved a cumulative main revenue of 31.1 billion yuan, down 5% YoY;
    the second quarter of this year, the operating rate of key enterprises in Shanxi coal and chemical industry has further improved, the decline in industrial output value has narrowed, and the level of profitability has improved. At present, Shanxi coal chemical industry is still mainly urea, methanol, chlor-alkali and other traditional industries, product added value is not high, while the domestic production capacity of traditional coal chemical products in general in the overcapacity situation, market prices have been low, most enterprises production and operation difficulties. In addition, by the capital, demolition, environmental protection and other factors, a number of industry transformation benchmark project construction progress is much lower than expected, the industry will have a greater impact on the later development.
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