Guangdong Province plans to more than double petrochemical output by 2010

28-Mar-07

government, South China's Guangdong Province plan to build oil reserve facilities and more than double petrochemical output by 2010 to meet local demand. Guangdong's petrochemical output, which stood at 204.5 billion yuan (US$24.64 billion) in 2003, accounted for 10% of the national total and 9.5% per cent of the total industrial output of the province. The province's annual petrochemical industry output is expected to grow to 730 billion yuan (US$87.95 billion) in 2010 from this years' estimated 300 billion yuan (US$36.14 billion). This capacity expansion is expected at an investment outlay of 180 billion yuan (US$21.96 billion). Despite this, local production is not sufficient to meet demand. The province has to import about 80% of ethylene equivalent, almost all engineering plastics and 11 million tons of refined oil products. Demand is expected to continue to surge ahead as the province strives to double GDP by 2010 and quadruple it by 2020. Guangdong's economy accounts for 12% the nation's.