November 25, 2024 – A comprehensive analysis of premier enterprises in the petrochemical sector was presented by Tang Shengxiu, Deputy Director of Quality, Safety, and Environmental Protection at the China Petroleum and Chemical Industry Federation, during the Second Forum on Gradient Cultivation and Development of High-Quality Petrochemical Enterprises and the Experience Exchange Meeting of Champion Enterprises held as part of the China Petroleum and Chemical Private Economy High-Quality Development Conference. The report highlighted that single-champion and “little giant” companies in the petrochemical industry are leading the way with their robust product competitiveness and significant market share.
Among these enterprises, 142 petrochemical single champions hold the top global market share for their products, accounting for a remarkable 65%. Not only do these companies’ products meet international advanced standards in key performance indicators, but some have also gained strong international competitiveness and widespread recognition in the global market. For instance, Wanhua Chemical Group Co., Ltd.’s diphenylmethane diisocyanate (MDI) product has consistently ranked first in global market share since 2015 and even holds pricing power in the MDI market worldwide.
According to the Color Masterbatch Industry Network, the financial strength of these single-champion enterprises is equally impressive. Statistics show that over the past three years, the average annual growth rate of their main business revenue has reached 21.35%, far exceeding the average level of industrial enterprises above a certain size. Additionally, their average sales profit margin has reached 13.55%, significantly higher than the industry’s average revenue profit margin, demonstrating strong profitability and steady development.
Moreover, petrochemical “little giant” enterprises are also noteworthy. These companies occupy leading positions in niche markets for their core products, with market shares generally exceeding 15%, and some even reaching 62-70%.
At the forum, Tian Libin, Chairman of Tianjin Wanhua Co., Ltd., shared the company’s experience in leveraging technology to upgrade the industry and promote high-quality development in the polyester film sector. Despite intense competition and oversupply pressures in the BOPET market in recent years, Tianjin Wanhua has still achieved domestic and international revenue exceeding 500 million yuan and maintained profitability. With an overall industry operating rate of only about 65%, Tianjin Wanhua’s operating rate soared to 110%, showcasing its formidable market competitiveness and operational strength.