Grupa Azoty reduces production in March and April after difficult first quarter in 2023 - Issue 391 || PKN Orlen-petrochemical production Jan-Apr 2023 - Issue 391 || Central European styrene trade Jan-Apr 2023 - Issue 391 || Polish polyethylene production & trade Jan-Apr 2023 - Issue 391 || Polish polypropylene production & trade Jan-Apr 2023 - Issue 391 || Polish synthetic rubber trade, Jan-Apr 2023 - Issue 391 || Central European MDI trade Jan-Apr 2023 - Issue 391 || Central European methanol trade Jan-Apr 2023 - Issue 391 || Russian chemical industry-new terminals required to serve Chinese market - Issue 391 || Russian butadiene production Jan-Apr 2023 - Issue 391 || Russian plastics and polyethylene production Jan-Apr 2023 - Issue 391 || Russian polyethylene trade Jan-Apr 2023 - Issue 391 || PTA deliveries from China to Kaliningrad - Issue 391 || Russian methanol production Jan-Apr 2023 - Issue 391 || Russian methanol exports, Jan-Apr 2023 - Issue 391 || Methanol plant at Volgograd signs agreement with Chinese company - Issue 391 || Russian polyurethane raw materials 2023 - Issue 391 || Uzbek methanol island-Air Products - Issue 391 || Russian Methanol Production, exports and domestic sales 2023 - Issue 392 || Polish petrochemical production Jan-May 2023 - Issue 392 || Olefin 111 project outline - Issue 392 || Polimex Mostostal and Naftoremont-Naftobudowa-Olefin 111 project - Issue 392 || Hungarian propylene exports Jan-Apr 2023 - Issue 392 || Central European styrene trade Jan-May 2023 - Issue 392 || Czech petrochemical trade, Jan-May 2023 - Issue 392 || Polish rubber trade Jan-May 2023 - Issue 392 || Hungarian TDI-MDI exports Jan-Feb 2023 - Issue 392 || Russian propylene exports & sales Jan-May 2023 - Issue 392 || KPI polypropylene outage & exports - Issue 392 || Russian methanol producer operational balances 2023 - Issue 396 || Russian Methanol Exports October 2023 - Issue 396 || Polish Polyol Exports 2022-2023 - Issue 396 || Polish Polyol Imports 2022-2023 - Issue 396 || Central European isocyanate trade Jan-Sep 2023 - Issue 396 || Czech polyol imports Jan-Sep 2023 - Issue 396 || Polish polyol trade Jan-Sep 2023 - Issue 396 || Isocyanate/polyol imports from China into Russia - Issue 396 ||


Latest Data Available from CIREC

Country Product Category Period
Russia Propylene Production Jan-Dec 17
Russia Propylene Exports Jan-Dec 17
Russia Propylene Domestic Sales Jan-Dec 17
Russia TDI Imports Jan-Nov 17
Poland Propylene Production Jan-Dec 17
Serbia Methanol Exports Jan-Oct 17
Ukraine Polyethylene Imports Jan-Dec 17
Azerbaijan Methanol Production Jan-Dec 17

Replacing chemical imports in Russia

Although import values of chemical industry products continue to rise, Russia has made considerable progress in certain product areas.  Domestic production of catalysts and additives in the past three years have reduced the dependency on imports quite significantly.  Across the spectrum of the industry, however, progress remains restricted to a number of factors of which the most important is finance.    The financial collapse of the project at Kazan company set up for a 40,000 tpa plant for methylchlorosilanes, which would have been the first of its kind in Russia, reflects the difficulties of implementing expensive plans and the difficulties in borrowing.  In the Kazan case, the dramatic rise in project costs following the significant fall in value in the rouble in 2014 caused the bankruptcy of KZSK-Silicon, taking the local bank Spurt with it. 

The weaker rouble since 2014, principally the result of Russia’s foreign adventures, was supposed to provide a stimulant to domestic chemical engineering, but there is little indication that this is happening.  In terms of financial backing the only source for Russian projects that could constitute a full-fledged competitor to the mechanism involving foreign finance is the National Welfare Fund.  However, the fund's resources are inaccessible to a wide range of projects and investors because of the specific conditions for their distribution.

Some of the challenges to increasing the diversification of chemical products are surmountable, such as overcoming problems with raw materials, quality, service and innovations, etc.  The key problem is the virtual impossibility to borrow in Russia for a large capital-intensive project.  Moreover the slow process of  implementation in Russia mean that original project cost estimations can rise sharply, thus rendering the project impractical.  Examples of such projects include the Novy Urengoy polyethylene plant, which seems destined never to start, and of current day plans the Ivanovo Polyester Complex which is facing delays and doubts.   

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