30% growth in petrochem output recorded in China in H1-2005

25-Jul-05

As domestic demand for petrochemical products sustains a rapid growth since the beginning of 2005, the petrochemical industry in China seems poised to continue with its steady and robust growth. H1-2005 saw industrial output value (at current prices) and the total profits of China's petrochemical industry growing by over 30%. In the first five months of 2005, the industrial output value rose by 36% to 1,239.51 billion yuan (US$152.8 billion), industrial added value rose by 32.1% to 340.63 billion yuan, sales revenue went up by 36.2% to 1,202.75 billion yuan and profits and taxes of the industry amounted to 208.94 billion yuan, rising 31.1% year-on-year. H1-2005 saw prices of most petrochemical products rising- obviously affected by increases in both demand and feedstock costs. Of the 146 varieties of petrochemical products monitored by the CPCIA, more than 130 varieties reported price rise. Q1 2005 saw the industry's exports outgrow imports, leading to a drop in trade deficit growth. Statistics showed that the total import and export of the industry reached US$76.9 billion in the Jan-May period, a 31.2% year-on-year rise, accounting for 14.7% of the country's total. Although the industry's import and export continued increasing in the April-May period, the trade deficit growth rebounded, amounting to US$33.03 billion, growing by 12.3% compared with the corresponding period last year. (based on a report by China Petroleum and Chemical Industry Association (CPCIA))