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Item
Indicators
Indoors
Outdoors
State in the container
Uniform color,no foreign body,Loose powder
Screenings (125um)
All passed
All passed
Coating appearance
Normal
Normal
Hardness ≥
F-H
Adhesion (Level)
1
1
Impact / cm
50
50
Bending / mm
2
2
Cupping / mm
6
6
Gloss (60)
Adjusted
Adjusted
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Statistics show that in 2008, China's methanol production capacity reached 20 million tons, but the apparent consumption of domestic methanol was only 13.91 million tons in the year. Excluding the net imports of 1.05 million tons, the actual operating rate of methanol plant was less than 72%, which was already a bit excess. The annual production capacity of dimethyl ether has soared from 480,000 tons in 2006 to 6.2 million tons, with a surplus of 35%. This year, with the completion of many methanol and dimethyl ether plant operations, domestic methanol and dimethyl ether production capacity will be over 40% and over 45%, respectively. In addition, due to the financial crisis, downstream demand has shrunk, and low-priced methanol from the Middle East and Southeast Asian countries has hit the domestic market in large numbers, which has aggravated the contradiction of oversupply in the domestic market. At that time, many western companies that had once been brilliance suddenly found that: Compared with the ever-declining product prices and the rigidly increasing transportation costs, the inherently cheap and abundant resource advantages that they had originally could not be turned into a competitive advantage and determined the competitiveness of enterprises. The key factor has been quietly changed from production costs to transportation costs.
“We are the largest natural gas chemical company in Shaanxi Province. At present, the natural gas to the factory price is about 1.07 yuan/cubic meter. Whether the natural gas price or the electricity price is lower than that of the eastern and eastern enterprises, combined with several energy-saving technological transformations, the comprehensive energy consumption is greatly reduced. Therefore, the full cost of methanol is lower by more than 300 yuan/ton compared with similar enterprises in the eastern part of the country, but due to the fact that it is far from the consumer markets of East China and South China, the freight rate for products reaching the above areas via train is as high as 520 to 550 yuan per ton. To lose a few hundred dollars." Song Yuqi, general manager of Shaanxi Yulin Natural Gas Chemical Co., Ltd. reluctantly said in an interview.
Also intractable in terms of transportation costs is Li Shaochun, Vice Minister of Transportation and Marketing of Shaanxi Suihua Group. He said that due to the rapid expansion of the production capacity of alcohol ether in the central and western regions, the southeastern coastal market was once again occupied by imported low-priced methanol, which inhibited the eastward and downstream methanol in the western region and intensified the contradiction between supply and demand in the western alcohol ether market. Due to the fact that it is far from the consumer market, from the second half of last year to the present, the prices of most Western companies are close to the cost, and it is difficult to achieve even a meager profit. For example, the Shuanghua Group's “double A†device built with new bituminous coal gasification technology has a relatively low production cost in the country. However, due to the shipping costs of products reaching the East China and South China markets of about RMB 400/ton, the selling price is difficult to import with methanol. Compete with local products. On the contrary, several companies in Henan, Anhui, and Shandong with the same technology and scale as Suihua Group achieved profitability due to the convenience of transportation and transportation.
Inner Mongolia Yuanxing Energy Co., Ltd. felt more deeply about the "determinism of transport costs." The person in charge of the company said: Their existing methanol capacity of 1.35 million tons / year, is currently the country's largest manufacturer. Due to its location near the Sulige Gas Field, natural gas is abundant and prices are relatively low. However, since more than 90% of the product's transport distance is between 2,000 and 2,500 kilometers, the train freight per ton product is as high as 660 to 700 yuan, and the company can only control the methanol ex-factory price within 1400 yuan/ton to be competitive. To be sold at this price point, the company will have to make a loss of 300 to 400 yuan for each ton of production. In frustration, the company had to significantly reduce its production capacity. At present, it has only operated 350,000 tons/year of DMF (dimethylformamide).
“Alcohol ether companies have only just begun due to the bottleneck of transportation,†said Bai Dai, deputy director of the Institute of Petroleum and Chemical Industry Planning. She said that in planning the coal chemical projects such as methanol and dimethyl ether, the western region must consider the length of transportation distance and the cost of transportation in addition to considering coal, electricity, water resources and environmental carrying capacity. As a hazardous chemical, alcohol ethers are not only expensive but also have great safety risks. Although methanol's rail transportation is safe and reliable, companies are required to pay tanker air return fees, and freight rates will also increase. More importantly, once the railway transportation capacity is tight, it will be difficult for the railway department to take care of its transportation, and many installations are in danger of being "stopped." Dimethyl ether is currently not yet transportable by rail.
Therefore, she reminded the western region’s enterprises and industry authorities: Do not “get up to work†on the alcohol ether project, and should focus more on re-planning and sorting out existing projects, and seek to digest or convert into surplus. Alcohol ether production capacity. Otherwise, these projects will either be dragged down by the weak market in the future or they will be “carded†by the ever-increasing shipping costs and unaffordable capacity.
Western Alcohol Enterprise: Transport Determines Destiny
In recent years, the advantage of having cheap and abundant coal, natural gas and electric power resources has been the “signboard†of attracting investment in the western region, and is also the reason for these regions to scramble to build large-scale methanol and dimethyl ether and other chemical projects. However, as more and more domestic alcohol ether projects are completed and put into production, the relationship between supply and demand in China's alcohol ether market has undergone fundamental changes. The large excess production capacity gathered in the west has been transported far away, high freight rates and insufficient capacity to “catch up on the neckâ€.