[Plastic] "Chinese demand" has become a breakthrough point for global chemical giants against the trend

"China's electric vehicles are developing rapidly.

Similar to 3M, the specialty chemicals giant LANXESS from Germany has also captured the opportunities brought by the Chinese auto market.

Many chemical companies admitted that the new crown pneumonia epidemic has brought a lot of pressure, but the turning point is in the automotive materials market.

Chinese standards and technology help overseas giants

After the outbreak, the global manufacturing and chemical industries have been affected, but China's auto industry has shown strong resilience.

In 3M's automotive material product line, BEM is a new product that is welcomed by global car companies, and every order means an increase.

"New products are sold globally, but the rapid development of China's new energy vehicles market environment, relatively complete policy standards, and 3M China's strong R&D technical team have all played a big role in the process of BEM product landing.

Qian Mingcheng is more willing to use data to illustrate the opportunities China’s auto market brings to global chemical companies: “Last year’s sales in Greater China were basically the same as in 2019, which made LANXESS feel the potential and resilience of the Chinese market.

One of the opportunities that LANXESS is exploring is also the battery for electric vehicles.

The strength of the Chinese market and partners also strengthened LANXESS' determination to develop global products based on China.

Chinese and foreign giants jointly expand the automotive materials market

When overseas chemical giants benefit from China's auto industry, domestic chemical companies have not stayed aside.

The latest statistics of Sinopec Shanghai Petrochemical Company (hereinafter referred to as "Shanghai Petrochemical") found that in the first quarter of this year, the polypropylene foam series, an important upstream material for automotive parts produced by it, achieved full production and sales, with production and sales exceeding 8,000 tons.

Zhou Hao, chief engineer of the Plastics Department of Shanghai Petrochemical , said that the continuous increase in sales of polypropylene foam materials can be said to be the result of Chinese and foreign chemical companies competing in the automotive material market competition.

The shift in market share is not only related to the development of the domestic automobile industry, but also the result of Shanghai Petrochemical's "turning crisis into opportunity" in the epidemic.

(Keyword: Plastic)