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Chinese plastic pipe industry looks forward to localization of raw materials

Source: Date:2008-6-20
Recently, at the pipe promotion conference held in Hangzhou, people focused on the construction of urban pipeline facilities to improve living now.
   The expansion of the plastic pipe market is undoubtedly a profitable opportunity for plastic traders of PE, PVC and PAP. In recent years, the urban pipe network and home improvement network in South China will use plastic pipes, and the plastic pipe market has entered a marketing peak. Therefore, for the pipe-grade plastic raw materials, it will be very tight.


   In pipe-grade plastic raw materials, cross-linked polyethylene (PE-X), polyethylene, polyvinyl chloride (PVC-U) and PP-R are used to produce PE-X cross-linked pipe fittings and large and small caliber hollow walls Special materials for winding plastic drainage pipe fittings and aluminum-plastic composite pipes. And Zhejiang has formed a production base of pipe fittings, and its pipes have been well promoted and applied throughout the country.


   This year's domestic plastic prices are rising rapidly, especially since May, plastic prices have skyrocketed, hitting record highs. The rapid rise of the market every year, but such a large increase in a short time is the first case. In addition, HDPE wire drawing materials have been raised by nearly 2700 yuan / ton from the beginning of May. This is miserable for the pipe fittings manufacturer, but it has to adapt to the market situation and ensure its own supply of goods in order to complete the order in time and deliver on time.


   Due to technical reasons, domestic petrochemical companies do not have their own special materials for cross-linked polyethylene pipes. They can only rely on South Korean imports. This is the reason why the price of pipe raw materials has continued to rise. The monopoly of petrochemical companies such as LG of South Korea and Hunan Petrochemical of South Korea has forced manufacturers to accept this price due to the status quo. From the original 9200 yuan / ton, it rose to 12,000 yuan / ton, an increase of about 2500 yuan / ton.


   In recent years, domestic large-caliber plastic pipe production technology has continued to develop, and relevant state departments have successively formulated industrial policies on eliminating backward products and promoting the use of new environmentally friendly products. The application of new plastic pipes in municipal engineering is also rapid. Market analysts remind: smart pipeline companies should see that the large-caliber plastic pipe market will soon usher in its spring! Therefore, the increase in the price of raw materials has, to a certain extent, made the profit of pipe products severely squeezed. Product companies reduce their production costs in more ways to meet the supply shortage in the pipe market, but in the face of high costs, many product companies are forced to raise prices. It is understood that starting from August 3, due to the continuous and substantial increase in the prices of PVC raw materials and additives, Guangdong's major pipe manufacturers including Gu Di and Xiongsu have started selling PVC pipes, an increase of 10%. While reducing costs, companies are likely to reduce product quality and disrupt normal market competition. This is the impact of rising raw material prices on pipe manufacturers. For those pipe companies that cannot use imported materials instead of other domestic materials, they look forward to the introduction of pipe raw materials by domestic chemical manufacturers.

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