Russian polymer production Jan-2026

Polyolefin production rose in January against the same month last year 2025, largely due to new capacity coming onstream.   Production of ethylene polymers increased from 315,356 tons to 345,108 tons in January 2026 due mainly to the start-up of production at the Irkutsk Polymer Plant at the end of 2025.  The production of propylene polymers increased from 202,003 tons to 208,972 tons.  The production of styrene polymers dropped from 58,562 tons to 55,346 tons, whilst PVC production rose from 70,994 tons to 72,397 tons.  

Synthetic rubber production amounted to 134,570 tons in January 2026 against 129,821 tons in January 2025.  Production at Russian plants continues to be stimulated by export activity to China.  

SIBUR’s financial performance 2025

SIBUR increased sales of petrochemical products from 9.6 million tons in 2024 to 9.7 million tons in 2025 (+1.1% rise).  Sales of polyethylene increased by 3.8% to 2.9 million tons, and polypropylene by 3.7% to 1.7 million tons.   SIBUR's share in Russia's non-commodity exports amounted to 2.5% in 2025. 

SIBUR's revenue for 2025 amounted to 1,049 billion roubles ($13.6 billion), down 10.4% against 2024.  The most important factor involved the reduction in the consumption of synthetic materials in the domestic market in a number of industries.  The deterioration of the external environment and domestic monetary policy had an important effect on the performance of such industries as construction and transport.  

SIBUR’s EBITDA in 2025 decreased by 22.5% to 370 billion roubles due to the strengthening of the rouble and the predominance of rouble costs in the company's cost structure.  Despite the fall in EBITDA the margin for 2025 remained high at 35.2%. SIBUR's net profit in 2025 increased by 4.5% to 205 billion.SIBUR’s EBITDA in 2025 decreased by 22.5% to 370 billion roubles due to the strengthening of the rouble and the predominance of rouble costs in the company s cost structure.  Despite the fall in EBITDA the margin for 2025 was 35.2%. SIBUR s net profit in 2025 increased by 4.5% to 205 billion due to positive foreign exchange differences of almost 90 billion roubles due to the strengthening of the rouble and the corresponding revaluation of foreign currency debt obligations in 2025 compared to 2024, despite an increase in interest costs.

SIBUR’s product sales 2025

As part of the breakdown by product and reportable segments, all product lines for SIBUR showed a decrease in sales revenue in 2025.  In relative terms, the largest drawdown in the petrochemical sector occurred by sales of PVC which dropped by 22%. This was due in part to the two month shutdown required at the RusVinyl plant after the drone attacks in late January 2025.  Sales from plastics and organic synthesis products dropped by 19% in 2025, and BOPP films dropped by 15%. Sales of liquefied petroleum gas fell by 17% to 61.5 billion roubles.  In absolute terms, polyolefin sales dropped the most but still accounted for 40% of total sales. The share of plastics in total sales comprised 15.9%, and synthetic rubber 10.6%.

 Prices put pressure not only on SIBUR products but also the cost of raw materials and supplies which fell by 17.6% in 2025 against 2024, from 280.4 billion to 230.8 billion roubles.  Labour costs for SIBUR amounted to 106.4 billion roubles in 2025 against 94.5 billion roubles in 2024, representing an increase of 12.5%.  These costs are expected to grow in 2026 as it becomes more difficult to fill job vacancies.

Amur Gas Chemical Complex-update

Progress in the construction of the Amur Gas Chemical Complex had achieved 92% at the end of 2025, and the first production of polyethylene should be available in August this year.   At the beginning of 2027, it is planned to launch the production of polypropylene.  In terms of profitability the complex is well placed in regard to feedstock supply, but prices remain a concern.

New PDH and PP plant at Tobolsk

The construction of the second propane dehydrogenation unit (DGP-2) in Tobolsk was 80% complete by the end of 2025. The project, which is scheduled to be launched in 2027, will make it possible to produce an additional 570,000 tpa of polypropylene, increasing ZapSibNeftekhim s polymer production capacity by more than 20%.

SIBUR Nizhnekamksneftekhim-polyethylene projects

SIBUR completed the construction of the new ethylene production unit (EP-600) at the Nizhnekamskneftekhim plant in 2025.  SIBUR also completed a project to produce hexene with a capacity of 50,000 tpa.  This is the only plant in the country created on the basis of the company s own technology and is a completely independent development from scientific research to design and industrial implementation. The capacity of the unit allows for the production of more than 3 million tpa of premium polyethylene, covering the needs of the Russian and CIS markets. 

SIBUR plans to create the production of metallocene polyethylene based on the Russian technology developed by scientists from the Russian Academy of Sciences, and in 2028 to launch the production of polystyrene and ABS plastics in Tatarstan based on EP-600 raw materials.

Kazanorgsintez-energy supply

SIBUR completed the construction of the Lushnikovskaya combined cycle gas turbine unit (CCGT) at Kazanorgsintez. The launch of the new unit will reduce carbon dioxide emissions by 3% due to the involvement of secondary energy resources, as well as increase the energy efficiency of the enterprise s energy production by 15%.

Russian ethylene production Jan-2026

Russian ethylene production totalled 392,032 tons in January against 392,670 million tons in the same month in 2025. 

ZapSibNeftekhim at Tobolsk increased ethylene production from 135,236 tons in January last year to 138,304 tons in January 2026.  Production in the Volga region amounted to 206,106 tons in January versus 186,433 tons in the same month in 2025.  The Volga region includes producers Nizhnekamskneftekhim, Kazanorgsintez, Gazprom neftekhim Salavat and Ufaorgsintez.  Of the Volga plants only Nizhnekamskneftekhim increased output in 2025. 

The construction of a new ethylene pipeline, which will connect the production sites of Nizhnekamskneftekhim and Kazanorgsintez, had achieved 50.5% complete at the end of February.  The length of the pipeline will be 254 km; 184 km of pipes have already been laid, work has been completed on 10 out of 26 underwater crossings, including the crossing over the Kama River.

The new pipeline will replace the ethylene pipeline built in 1976. Its diameter has been increased to 273 mm, which will increase pumping to 500,000 tpa, almost twice as much as the previous volume. The ethylene pipeline will be equipped with modern security and control systems.  Completion of construction is scheduled for the second quarter of 2027.

Russian propylene production Jan-2026

Russian propylene production totalled 243,067 tons in January 2026 against 235,461 tons in January last year.  ZapSibNeftekhim at Tobolsk produced 98,699 tons against 91,165 tons.  The Volga-Urals region increased production from 87,559 tons in January to 97,885 tons in January 2025.   

Russian butadiene production Jan-2026

Russian butadiene production totalled 60,995 tons in January 2026 against 55,960 tons in January 2025.  ZapSibNeftekhim at Tobolsk produced 23,094 tons against 25,296 tons.  The Volga-Urals region increased production from a total of 27,773 tons in January 2025 to 23,094 tons in January 2026.   

Russian aromatics production Jan-2026

Benzene production amounted to 121,886 tons in January against 114,700 tons in the same month last year.  The largest region for production was the Volga region where volumes increased from 72,707 tons in January last year to 84,358 tons in January this year.  The Volga region includes major benzene producers Nizhnekamskneftekhim and Gazprom neftekhim Salavat.  

The main producer of benzene in the Siberian region is the Omsk refinery; production for the region dropped from 18,959 tons to 17,434 tons this January.  The use of benzene for synthesis decreased in 2025 due to the problems of metallurgists, and the inefficiency of processing in comparison with exports.  In the domestic market if the cost of benzene for synthesis, calculated from the export netback for raw benzene, is higher than the price required by the consumer, the raw material will be exported. 

Russian plastics production Jan-2026

Russian bulk plastics production amounted to 955,633 tons in the first month in 2026 against 958,513 tons in January 2025.  The main falls this year have been seen in styrene polymers and PVC, whilst increases have been recorded in the production of polyolefins.     

Weak domestic consumption last year has carried on into 2026.  The situation is exacerbated by the structural problems of the industry including a shortage of special raw materials, dependence on imports in some product areas and a shortage of engineering personnel. Additional pressure is created by the proposal of the Ministry of Natural Resources to multiply the rates of the environmental fee, which, according to industry assessments, may lead to the closure of some plants.

Overview of Russian plastics market

Russian polymer producers are currently trapped a cycle where plants are working at high levels of utilisation but there is less and less money available in the domestic market for purchases.  Demand from the construction and automotive sectors has fallen in the past two years, whilst the production of pipes and films has dropped by 10-12%.  Overall, the production of rubber and plastic products in Russia in 2025 decreased by 6.7%. 

Looking at production levels for 2025 only PVC, styrene polymers and polyamide reported falls.  Increases in production were reported in ethylene polymers, propylene polymers and synthetic rubber but predominantly these increases were driven by exports rather than domestic consumption.  Production pf ethylene polymers rose to 3.8 million tons in 2025, whilst the production of polystyrene dropped 8.5% to 547,000 tons, PVC dropped 11.9% to 893,000 tons and polyamides by 29.5% to 107,000 tons.

Russian ethylene polymer production Jan-2026

Production of ethylene polymers amounted to 345,287 tons in January against 315,363 tons in the same month last year.  Production in Siberia increased from 32,439 tons to 72,771 tons which was largely due to the start up of the new polyethylene at Irkutsk.  This plant has a capacity of 650,000 tpa and started in the fourth quarter last year.  The other polyethylene plants in the Siberian region include Tomskneftekhim and Angarsk Polymer. 

The largest plant for the production of ethylene polymers is ZapSibNeftekhim at Tobolsk, located in the Ural Federal District.  Production at ZapSibNeftekhim totalled 145,175 tons in January against 136,008 tons in January last year.   The second largest region in Russia is the Volga Federal District where production increased from 108,167 tons in January 2025 to 114,307 tons in January 2026.  The Volga district includes producers from Bashkortostan including Gazprom neftekhim Salavat and Ufaorgsintez, and from Nizhnekamskneftekhim and Kazanorgsintez.

Nizhnekamskneftekhim has begun the installation of the main equipment as part of the construction of the production of premium metallocene polyethylene.  The grade is in high demand among manufacturers of films, corrugated pipes, polyethylene foam, large household appliances, as well as among companies developing solutions for the automotive industry and the construction industry.  To date, the overall progress of the project is 51% and completion of the installation of the main equipment for this installation is scheduled for the third quarter of 2026.

Polyethylene production at the Amur Gas Chemical Complex is expected to start later in 2026, and with a capacity of 2.3 million tpa exports are expected to comprise the main target for sales.  The Chinese market is the number one destination, whilst new opportunities have been opened by the market chaos resulting from the US-Iranian war.

The start-up of the Irkutsk Polymer Plant already had a major impact on exports of polyethylene to China, rising to a total of 69,698 tons in January against 32,782 tons in January 2025.  HDPE, which is produced at Irkutsk, accounted for around two thirds of export shipments in January this year.  In view of supply disruptions resulting from the blockage of the Straits of Hormuz and other regional complications Russian exports could increase further, particularly as domestic demand is stagnating.   

Russian polypropylene production Jan-2026

Russian production of propylene polymers totalled 208,972 tons in January 2026 against 201,232 tons in January last year.  ZapSibNeftekhim at Tobolsk increased production from 106,259 tons to 108,636 tons in January to 2026. 

The Moscow refinery increased polypropylene production in the first month this year to 13,616 tons from 13,424 tons in the same period in 2025.  The Volga region, including Nizhnekamskneftekhim and Ufaorgsintez, produced 40,751 tons against 39,938 tons.  The Siberian region, which includes Tomskneftekhim and Polyom at Omsk, increased production to 33,633 tons from 30,8954 tons.

Russian polypropylene trade Jan-2026

Revenues for Russian exports of polypropylene homo grade to China increased from $3.876 million in January last year to $14.477 million in January 2025.  Volumes increased from 4,187 tons to 22,048 tons.   Chinese exports of propylene polymers amounted to 3,349 tons in January this year against 2,881 tons in January 2025.  Consistent with prices elsewhere, January numbers were lower than at the start of 2025 but already prices have risen sharply since then.

Russian PVC market Jan 2026

Production of suspension grade PVC in Russia fell from 80,627 tons in January 2025 to 72,397 tons this January this year.  Production at Sayanskkhimplast dropped from 25,887 tons to 15,936 tons.  Production by Kaustik at Volgograd fell from 7,242 tons to 6,466 tons, whilst production increased in the Volga region from 47,498 tons to 49,995 tons.  The Volga region includes the Kstovo and Sterlitamak plants. 

Russian PX-PTA-PET production Jan-2026

Russian paraxylene production amounted to 22,973 tons in the first month in 2026 against 22,423 tons in January 2025.  Gazprom Neft at Omsk increased production from 5,501 tons to 7,031 tons whilst Ufaneftekhim reduced production from 13,524 tons to 10,330 tons. 

Both Ufaneftekhim and Gazprom Neft at Omsk were affected by production in September.  At the start of October last year, the Kirishi refinery was struck by Ukrainian drones, and whilst units were forced to stop it is not clear if the damage affected the aromatics division. 

PTA production at Russia’s sole producer Polief amounted to 31,526 tons in January against 32,392 tons in January 2025.  Polief underwent a maintenance shutdown in September, coordinating its shutdown with its main feedstock supplier Ufaneftekhim. 

The Russian government has proposed amendments to the Tax Code regarding the tax deduction for paraxylene, with the aim of stimulating the development of PTA production.  The government has recognised that Polief’s capacity of 376,000 tpa does not cover Russian consumption and imports from China are necessary to meet demand.  However, it is unclear when new capacity will be added, with Tatneft the only company known with a plan. 

Capacity estimations for the Tatneft project at this stage include 1 million tpa of PTA, 347,000 tpa of paraxylene and 450,000 tpa of PET.  The conditions for obtaining the tax benefit of from the government imply that the enterprise must be put into operation no earlier than 1 January  2029, and the cost of the project must comprise at least 250 billion roubles. 

Russian PET production rose from 59,573 tons in January to 2025 to 61,644 tons in January 2026 of which Polief produced 20,985 tons.  Ekopet at Kaliningrad produced 21,720 tons of PET in January whilst the combined plants of Senezh and SIBUR-PETF produced 18,939 tons.

Russian PTA-PET-MEG imports Jan-2026

Russian PTA imports from China amounted to 24,284 tons in January this year against 30,538 tons in January 2026, with average prices dropping to $595.0 per ton against $646.3 last year.  This may represent the low point for numbers in 2026 as the rise in crude prices takes effect on supply chains particularly paraxylene.

Chinese shipments of PET to Russia amounted to 24,013 tons in January 2026 against 30,245 tons in January 2025.  Similarly to PTA prices for PET imports were lower in January this year, dropping to $745.4 per ton from $811.1 last year.  PET demand has remained more stable in terms of domestic demand than the other polymers. 

Chinese shipments of MEG to Russia amounted to 2,400 tons in January against 5,670 tons in January last year.  Average prices dropped sharply from $606.5 per ton to $472.6 per ton.  Production of MEG in Russia amounted to 347,626 tons in 2025. 

Russian synthetic rubber production and market Jan-2026

Synthetic rubber production in Russia amounted to 134,570 tons in January against 129,821 tons in January year.  The slight increase in Russian synthetic rubber production in 2025 was driven largely through the increase in export activity to China.  Exports to China accounted for 55% of total Russian production, thus depicting how pivotal and important the Chinese market has become to Russian producers.   Synthetic rubber plants have become entangled in Russia’s war effort against Ukraine in supplying products for the military sector and thus could represent a target for more drone attacks. 

Production at the synthetic rubber plants in the Volga region, including Nizhnekamskneftekhim, Togliattikaucuk and Sterlitamak Petrochemical Plant, totalled 104,249 tons in January against 98,997 tons in the same month in 2025.  Production in the Central region dropped from 21,900 tons to 21,084 tons in January 2025.  The Siberian Federal District recorded a slight increase in synthetic rubber production to 9,163 tons. 

A gradual recovery in the production of passenger tyres is expected to take place in 2026.  Consumption is expected to continue falling although by a smaller scale than in 2025.  The growth in production is forecast to rise by around 11%, despite a forecast of a fall in consumption by around 2%.  Tyre production in Russia in 2025 fell by 22%, whilst imports decreased by 10% to 1.7 million units per month.  Chinese imports accounting for around 75% of import purchases, but tyre imports from China are expected to fall by around 10% in 2026.  If this materialises Russian tyre manufacturers may be granted the opportunity to regain some lost market share. 

Russian synthetic rubber production by category Jan-2026

Froom the total of Russian synthetic production isoprene rubber amounted to 24,104 tons in January against 27,010 tons in January 2025, whilst butadiene rubber production increased to 26,754 tons in January against 22,614 tons.

The highest value rubber produced by HBR where production increased from 8,083 tons in January last year to 10,119 tons in January 2026 of which most was exported to China.  Butyl rubber production at Nizhnekamskneftekhim and Togliattikaucuk dropped from 12,032 tons in January 2025 to 10,954 tons in this year, with almost all production exported to China.

Omsk Kaucuk has launched its new plant for the production of low-molecular highly reactive polyisobutylene.  After reaching the design capacity, the enterprise will be able to fully cover the needs of the domestic market.  Polyisobutylene is widely used in a number of high-tech industries: in the production of lubricants, including aviation lubricants, it is part of adhesives and sealants, and is used in the manufacture of electrical insulating materials.

N-butyllithium production at Nizhnekamsk and Voronezh

SIBUR has completed construction of unique n-butyl lithium production facility at Voronezh, a key catalyst for the production of thermoplastic elastomers and synthetic rubbers.  Currently, commissioning work has started at the production site.  The receipt of test tons is scheduled for the end of the first quarter of 2026. The capacity of the plant will be 350 tpa.  Until 2022, n-butyl lithium was imported mainly from Europe, now it is supplied from other regions. 

The use of n-butyllithium facilitates the production of butadiene (SKD-L), styrene butadiene (DSSC) rubbers and thermoplastic elastomers (SBS). The use of styrene butadiene rubbers contributes to fuel economy and increases travel safety due to the better grip of tyres on wet roads.  

After the start-up of the n-butyl lithium SIBUR intends to expand it further to fully meet internal demand for neodymium catalyst used in high-quality synthetic rubber production. A 28% capacity increase to 485 tpa will supply both Nizhnekamskneftekhim and Voronezhsintezkaucuk with enough catalyst for up to 250,000 tpa of polybutadiene rubber. Tests at SIBUR Polylab and industrial sites confirmed the catalyst meets industry standards and is ready for use.

Catalyst shortages

Russia remains a leader in the processing and production of platinum group metals.  Despite this, there are difficulties with the production of homogeneous hydrogenation catalysts for rubber catalysts. For this, rhodium is needed and there are problem with licences in Russia.

Yet catalysts represent a major challenge for Russan synthetic rubber producers, as some catalysts are only available in the West where sanctions prevent purchases.  Certain types of rubber are lacking in the Russian market and there are efforts to try and develop new products.  Hydrogenated nitrile butadiene rubber is a product where research is being undertaken for production, it differs from the original nitrile butadiene rubber in that it does not wear out even at elevated temperatures. It retains elasticity even at high temperatures.

Russian Chinese rubber trade Jan-2026

Russian export revenues from synthetic rubber shipments to China totalled $96.396 million in January 2026 against $97.396 million in the same month last year.  The largest category purchased by China was for butadiene rubber with costs rising to $21.370 million against $20.922 million in the same period in 2025, followed by SBRs where costs amounted to $19.718 million against $20.266 million. 

By volume Russian shipments of synthetic rubber to China amounted to 76,657 tons against 61,641 tons in January 2025.  The increase in export volumes compensated for the continued drop in consumption in the domestic market.  Imports to China might be slightly affected by the closure of the Straits of Hormuz, and that might offer Russian producers scope to increase shipments.  Nizhnekamskneftekhim is the largest exporter of synthetic rubber to China, supplying a wide range of grades but may be unable to increase shipments beyond current levels. 

Niznekamskneftekhim is the largest producer of isoprene rubber, followed by Togliattikaucuk and the smallest producer Sterlitamak Petrochemical Combine. 

The Sterlitamak Petrochemical Plant wants to increase the production of neodymium polyisoprene from the current 28,000 tpa to 96,000 tpa.   This increase will take place in several steps, rising to 40,000 tpa in the first stage.  

Togliattikaucuk was struck by drones on 21 March, having been identified as part of the military-defence network.  Other plants are also vulnerable to drone attacks.

Russian methanol production Jan-2026

Russia produced 387,847 tons of methanol in January against 365,120 tons in January 2025.  Production in the Central region, which just includes Shchekinoazot, rise  from 88,684 tons to 131,299 tons.  The plant at Novomoskovsk operated in 2024 but has not worked in 2025 and is reported to have been dismantled.  The Volga region dropped production from 170,431 tons to 1.564 million tons, whilst the Siberian region (including Gazprom Methanol and Angarsk Petrochemical) increased production from 617,547 tons to 640,199 tons.   

Following the drone attack on Metafrax Chemicals on 17 February methanol production was reported to have since been suspended.  The distillation column was damaged in the attack and producers and traders expect domestic prices to rise between 6-10% in March.  Besides Metafrax, Gazprom Methanol at Tomsk is also facing production problems caused by low quality catalysts.  Both producers did not export methanol in the first half of March.  The market has now become braced for short supply for the short-term future which may allow a ramping up of capacity at Tomet where utilisation has not exceeded 75% in the past four years. 

Gazprom Methanol has seen production affected in the past couple of months by low quality catalysts.  In late February the company managed to successfully sue a catalyst supplier for $2.2 million from St Petersburg for poor catalysts.  The Arbitration Court of St. Petersburg and the Leningrad Region satisfied the claim of Gazprom Methanol (part of the Vostokgazprom group) against the St. Petersburg supplier Rezol LLC.  The decision is due to the supply of low-quality catalysts for methanol production, which led to shutdowns and a decrease in production at the plant in the Tomsk region.

The catalysts supplied by Rezol led to overheating of the furnaces after a three-month period.  As a result, Gazprom Methanol was forced to reduce the temperature, which reduced the yield of synthesis gas and methanol production.  Attempts to restore the activity of catalysts were unsuccessful. The laboratory of the Faculty of Chemistry of Moscow State University confirmed their inadequate quality, which was later established by a forensic examination. Gazprom Methanol first sent a claim demanding to return the cost of catalysts but Rezol rejected the claim resulting in a court case.

Akron-explosion March 2026

An explosion occurred at Akron at Veliky Novgorod on 8 March although methanol production is believed not to have been affected.  The company does not sell methanol on the merchant market, domestic or export.  The production of ammonium nitrate is of particular strategic importance, with output exceeding 2 million tpa.  Ammonium nitrate is used as in gunpowder, ammonite, and various types of detonation mixtures used by the Russian armed forces.  In addition, Akron produces nitric acid, which is essential for the production of RDX and TNT.  The enterprise has a powerful logistics network allowing it to quickly supply chemicals to defence factories across Russia. 

Russian methanol exports Jan-2026

Russian methanol exports amounted to 162,215 tons in January against 146,051 tons in the same month in 2025.  Shchekinoazot increased exports from 49,068 tons to 83,084 tons, whilst Metafrax Chemicals increased shipments from 29,760 tons to 32,819 tons.  

Tomet exported just 816 tons versus 22,396 tons in January 2025.  Gazprom Methanol increased exports to a total of 48,555 tons from 39,832 tons last January.  Tomet is well placed to increase exports in the absence of Metafrax Chemicals and Gazprom Methanol.

Shipments to China amounted to 121,468 tons in January against 96,703 tons in January last year.  A total of 70,458 tons were shipped by Shchekinoazot, followed by 22,304 tons by Gazprom Methanol and 21,448 tons by Metafrax Chemicals.  Besides China other countries where Russian exports were shipped in January included Turkey falling from 26,718 tons to 16,484 tons.  Export sales to Brazil amounted to 12,451 tons in January. 

China itself imported a total of 14.405 million tons of methanol in 2025 of which 10.035 million tons originated from the Middle East.  The production stoppage at Metafrax and problems at Gazprom Methanol impedes Russia’s ability to increase exports to China to replace blocked Middle East supplies due to the closure of the Straits of Hormuz. 

Russian domestic methanol sales Jan-2026

Russia’s government and the Ministry of Industry and Trade have approved three documents on the turnover of methanol, which will come into force in March 2026.  These documents regulating the turnover of methanol have been approved. All of them came into force on 1 March 2026 and will remain valid until 1 March 2032.

Domestic merchant sales of methanol amounted to 135,552 tons in January this year against 121,343 tons in January 2025.  Metafrax Chemicals shipped 39,552 tons against 38,844 tons in January 2025, whilst Gazprom Methanol increased domestic merchant sales to 34,196 tons versus 25,787 tons.  Shchekinoazot shipped 31,383 tons in January.  Since March an increase in prices has been recorded in the methanol market due to the shutdown of production at Metafrax.

Whilst most methanol producers have reported profit increases for 2025 downstream users did not perform so well.  Metadynea, a subsidiary of Metafrax Chemicals, reduced its revenues by 7% in 2025 and net profit by 19%.  Metadynea is engaged in the production of synthetic resins, the production site is located in the Moscow region.

Russian butanol production Jan-2026

Russian normal butanol production rose  from 14,550 tons in January 2025 to 15,939 tons in January 2026.  The Volga region, which includes SIBUR-Khimprom and Gazprom neftekhim Salavat, reduced production from 12,049 tons to 11,309 tons.  Angarsk Petrochemical Company increased production from 1,672 tons in January 2025 to 3,226 tons in the same month in 2026. 

Russian acetic acid production Jan-2026

Russian acetic acid production amounted to 18,243 tons in January 2025 against 19,670 tons in the same period in January 2026.  The largest producer in Russia, Azot at Nevinnomyssk, reduced production from 15,437 tons to 14,858 tons. 

Isopropyl alcohol (isopropanol) production in Russia amounted to 7,504 tons in January 2026 against 63,938 tons in the same period last year.  Omsk Kaucuk increased production from 2,516 tons to 2,792 tons whilst the Plant at Synthetic Alcohol at Orsk increased production from 3,553 tons to 4,713 tons.

The Titan Group has launched the production of isophorone in Omsk with a capacity of 150 tons per year.   This volume will cover about 10% of Russian demand which is estimated at 1700 tons per annum.  In the future, it is planned to scale up the project in order to create an industrial unit with a capacity of up to 2,000 tpa.

Isophorone is used in the paint and varnish industry, in the production of adhesives, plant protection compounds, in the production of solvents for cellulose and polymers, as well as in a number of other areas of petrochemistry.

South Korean isocyanate exports to Russia Jan-2026

TDI imports into Russia from South Korea amounted to 3,085 tons in January 2026 against only 499 tons last January, whilst MDI imports rose from 337 tons to 3,709 tons. 

Chinese isocyanate exports to Russia Jan-2026

MDI imports from China into Russia amounted to 1,222 tons in January against 8,880 tons in January last year as Chinese suppliers tightened control.   TDI imports also dropped from 1,484 tons to 571 tons. 

Chinese exports of polyols to Russia Jan-2026

Polyol imports into Russia from China rose from 6,860 tons in January 2025 to 9,973 tons in January 2026, with average prices dropping to €1271.0 per ton. 

Central Asian PVC imports from China Jan 2026

PVC exports from China to Central Asia increased from 22,444 tons in January last year to 35,146 tons in the same month in 2026.  Exports to Kazakhstan amounted to 12,184 tons against 9,918 tons in January last year, whilst exports to Uzbekistan increased from 8,263 tons to 19,743 tons. 

Kazakh polyethylene imports Jan-2026

Imports of polyethylene into Kazakhstan amounted to 17,061 tons in January, for which over half came from Iran.  HDPE imports amounted to 9,033 tons at $1022.4 per ton whilst LDPE imports amounted to 2,398 tons at $1113.6 per ton. 

Switch from hydrocarbons to petrochemicals in Kazakhstan

For the first three decades after Kazakhstan became an independent state the main focus of the oil and gas industry was in deep processing of hydrocarbons.  The first real deviation took place in 2022 at Atyrau with the launch of the first integrated gas chemical complex KPI for the production of polypropylene with a capacity of 500,000 tpa.   At the moment, the KPI plant already covers 83% of domestic demand for polypropylene, significantly reducing dependence on imports.

Progress of the new cracker as part of the Silleno petrochemical plant in the Atyrau region has achieved nearly 40% of the schedule.  KazMunayGaz (KMG) states that the construction of the petrochemical plant is planned over the period 2025-2028, with commissioning scheduled for 2029.  The project is being implemented on the territory of the special economic zone "National Industrial Petrochemical Technopark". The design capacity of the plant comprises 1.25 million tpa of polyethylene.

The cost of capital investments is estimated at $7.4 billion.  In addition, a gas separation complex (GSK) is required to be built which will provide the polyethylene plant with ethane (up to 1.6 million tpa) and propane (up to 360,000 tpa).  These fractions are extracted from dry purified gas coming from Tengizchevroil. Kazakhstan has reached an agreement with the China Development Bank to finance the construction of main pipelines for the transportation of ethane and propane to the Atyrau region. 

The Silleno polyethylene plant project is being built on the territory of the special economic zone "National Industrial Petrochemical Technopark" in the Atyrau region.  The launch of production is scheduled for the end of 2028, and the commissioning of the facility is scheduled for 2029.  Initially, the project was planned to be launched back in 2021-2025.  Borealis, which had been the previous foreign investor, refused to participate in the construction of the plant.  After the exit of Borealis the Ministry of Energy began to look for a new partner or partners, resulting in SIBUR and Sinopec taking 33% stakes in addition to KazMunayGaz.

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