August 23, 2019 / 2:57 AM / 25 days ago

TABLE-Global polyethylene production capacity set for boom by 2025

    SINGAPORE/SEOUL, Aug 23 (Reuters) - Petrochemical makers around the world are set to churn
out more polyethylene, a key ingredient for plastics used in everything from toys to piping,
through 2025, with more than half of the new supplies coming from the United States and the
Middle East. 
    New output capacity for polyethylene is expected to outstrip demand by 3 million tonnes by
the end of 2020, compared to overcapacity of 545,000 tonnes in 2019, according to data from
energy consultancy Wood Mackenzie. 
    In Asia, production is set to increase in China, South Korea and Malaysia next year. 
    The global expansion could add pressure to Asia's petrochemical profits, which have plunged
to their lowest in months, weighed down by ongoing trade dispute between the United States and
China. 
    Below is a list of planned capacity expansion from the United States, Middle East and Asia. 
    

 Country                        Company            Estimated New Capacity in      Estimated
                                                          '000 tonnes             start-up 
 * US, Texas                Formosa Plastics                  750                    2019
 * US, Louisiana                  Sasol                       900                    2019
 * US, Texas                 Lyondell Basel                   550                    2019
 * US, Texas             Exxon Mobil Chemicals                650                    2020
 * US, Texas                    Borealis                      625                    2021
 * US, Pennsylvania         Shell Chemicals                  1500                    2022
 * US, Gulf Coast             Dow Chemicals                   600                 2022-2023
 * Canada, Ontario           Nova Chemicals                   450                    2021
 * Mideast, Oman                  Orpic                       500                    2020
 * Mideast, Ruwais               Borouge                     4500                 2021-2025
 * China                     Jiutai Energy                    300                  Q3 2019 
 * China                 Ningxia Baofeng Energy               300                  Q3 2019 
 * China                    Hua Tai Sheng Fu                  300                  Q3 2019 
 * China                 Zhejiang Petrochemical               300                  Q3 2019 
 * China                  Hengli Petrochemical                400                  Q4 2019 
 ^ S Korea, Daesan            Hanwha Total                    400                  Dec 2019
 ^ S Korea, Yeosu           Daelim Industrial                 250                  Q4 2020
 ^ S Korea, Yeosu               LG Chem                       800                  H1 2021
 ^ S Korea, Daesan          Hyundai Chemical                  850                  H2 2021
 ^ S Korea, Yeosu               GS Caltex                     500                  End 2021
 + Indonesia                  Chandra Asri                    400                  Q4 2019 
 # Malaysia, Pengarang       Petronas-Saudi                   750                    2019
 # Russia, Tobolsk           Zapsibneftekhim                 1500                    2019
                                                                                       
 Sources:                                                                              
 * From Frost &                                                                        
 Sullivan                                                                      
 + From Reuters'                                                                       
 industry sources                                                              
 # From The pH Report                                                                  
 ^ From KPIA                                                                           
 
    


 (Reporting by Seng Li Peng in Singapore and Jane Chung in Seoul; Editing by Kenneth Maxwell)
  
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