Year-on-year growth of 118%! BASF, Dow, DuPont, and other chemical giants post explosive earnings! Which company is the most profitable?

Recently, major global chemical companies have successively released their full-year 2021 financial reports, with many achieving record-high performance. A B R O A D 01 BASF In 2021, BASF’s sales reached €78.6 billion (approximately $82.6 billion), up 33% year-on-year from 2020. EBIT before special items amounted to €7.8 billion—a staggering 118% increase year-on-year—more than double the 2020 figure and up 67% compared to pre-pandemic 2019 levels. 02 Dow Inc. Dow’s full-year 2021 net sales totaled $54.968 billion (versus $38.542 billion in 2020); operating EBIT was $9.5 billion; full-year net income reached $6.311 billion (versus $1.225 billion in 2020). Profit margins improved across all operating segments; operating cash flow stood at $7.1 billion, and annual return on capital exceeded 22%. 03 DuPont DuPont’s 2021 net sales were $16.653 billion, up 16% year-on-year; net income was $6.467 billion (compared to a net loss of $2.951 billion in 2020); operating EBITDA was $4.2 billion, up 21% year-on-year; adjusted earnings per share for the full year were $4.30. 04 SABIC (Saudi Basic Industries Corporation) SABIC’s 2021 net profit surged 124% to $110 billion; free cash flow reached $107.5 billion (versus $49.1 billion in 2020); capital expenditures rose 18% year-on-year to $31.9 billion—mainly driven by increased crude oil output, the Tanajib gas plant, and exploration drilling programs; the debt-to-asset ratio remained robust, standing at 14.2% at end-2021 versus 23.0% at end-2020. 05 LG Chem LG Chem’s 2021 sales totaled ₩42.6547 trillion (approx. $35.5 billion), up 41.9% year-on-year; operating profit reached ₩5.255 trillion (approx. $4.4 billion), up 178.4% year-on-year. Both annual sales and operating profit hit record highs. 06 LyondellBasell LyondellBasell’s 2021 sales revenue was $46.173 billion (versus $27.753 billion in 2020); full-year net income was $5.617 billion (versus $1.427 billion in 2020). 07 Linde Linde’s 2021 sales totaled $30.793 billion (versus $27.243 billion in 2020); full-year net income was $3.826 billion (versus $2.501 billion in 2020). 08 Air Liquide Air Liquide Group’s 2021 revenue was €23.335 billion (approx. $24.5 billion), up 13.9% year-on-year; full-year operating profit was €4.16 billion, up 9.8% year-on-year; full-year net income was €2.572 billion, up 5.6% year-on-year.

Behind DuPont’s antitrust investigation: The 'golden fiber'—long subject to technological blockade for 30 years—is finally breaking through.

1. Background ・Hot Event: On April 4, China’s State Administration for Market Regulation launched an antitrust investigation into DuPont China Group. This chemical giant—which commands roughly half the global aramid fiber market—is now facing profound adjustments in the Chinese market. ・Market Impact: Stocks related to the aramid industry rose against the broader market trend; Taihe New Materials and Minshida, for example, posted weekly gains of over 15%. Capital is increasingly betting on domestic substitution opportunities for these ‘bottleneck’ materials. ・Industry Trend: Driven by China’s strategy of self-reliance in high-end manufacturing, the aramid industry—once monopolized by foreign firms—is undergoing value reconfiguration. Data shows that for aramid paper alone, domestic enterprises are projected to recapture a ¥2-billion ($275 million) market share within the next three years. 2. Key Company Analysis Company 1: Taihe New Materials (Stock Code: 002254) ・Niche Segment: The only domestic company achieving leadership in both meta-aramid and para-aramid fibers. ・Thematic Linkage: Holds 16,000 tonnes/year meta-aramid capacity (60–70% domestic market share) and 16,000 tonnes/year para-aramid capacity (40–50% domestic market share); deeply integrated with Minshida to achieve full industrial chain control. ・Key Highlights: 1. Its bulletproof materials have passed military certification; product pricing is triple that of standard aramid fibers. 2. An under-construction 4,000-tonnes/year para-aramid project is scheduled to commence operations in 2025, capable of meeting structural component requirements for domestically produced large aircraft. 3. Holds 66% equity in Minshida, establishing a closed loop from raw materials to finished products. ・Potential Opportunity: Should DuPont’s sales in China be restricted, its market share in high-end protective equipment could be rapidly replaced. Company 2: Tongyi Zhong (Stock Code: 688722) ・Niche Segment: Emerging as a new force in aramid paper via M&A integration. ・Thematic Linkage: Completed acquisition of 75.8% equity in Supermeis in late 2024, adding 2,000 tonnes/year aramid paper capacity. ・Key Highlights: 1. Existing 5,000-tonnes/year aramid capacity ensures self-sufficiency in raw materials. 2. An under-construction 1,500-tonnes/year aramid paper project employs military-grade manufacturing processes. 3. Products have been included in the State Grid’s list of approved insulating material suppliers. ・Potential Opportunity: Electrical equipment sector consumes ~8,000 tonnes/year of aramid paper; the domestic substitution opportunity here totals ¥3 billion ($410 million). Company 3: Minshida (Upcoming IPO) ・Niche Segment: World’s second-largest specialized aramid paper manufacturer. ・Thematic Linkage: Commands 15% global market share; the only domestic producer capable of mass-producing aviation-grade aramid paper. ・Key Highlights: 1. Current 3,000-tonnes/year capacity operates at full utilization; an under-construction 1,500-tonnes/year project targets demand from 5G base stations. 2. Product performance reaches 95% of DuPont’s Nomex® standard, yet sells at 20% lower price. 3. Major shareholder Taihe New Materials secures stable raw material supply.