OUR GREAT POLYETHYLENE

Despite the unprecedented challenges that the Russian polymer industry has faced over the past few years, the industry has been able to withstand difficult times and enter a sustainable trajectory, demonstrating significant growth in 2023. Thus, the production and consumption of polyethylene in the Russian Federation showed a significant jump in 2023, strengthening its position and even surpassing the busy 2021 by 2-3%, and even more so covering the decline of 2022, showing an increase of about 10-12% relative to the decline of last year. It is also worth noting that, in fact, only Russia and China demonstrated real growth in the consumption of basic polymers in 2023.

Polyethylene production in Russia in 2023 amounted to about 3.2 million tons. Speaking about the increase in indicators that has occurred, a reorientation of the export flow from western to southern and eastern is also noticeable. In the import of certain brands of polyethylene, the leading positions are held by unfriendly South Korea, friendly China, Turkey, as well as allied Azerbaijan, which has increased its supply volumes.

In general, the domestic market still remains dependent on imported raw materials and functional additives, purchases of main and auxiliary equipment for polyethylene processing. An additional challenge today is managing mutual settlements with Chinese companies. However, the active formation and implementation of large-scale production projects has begun, producing scarce brands in the name of achieving technological sovereignty, which will certainly be discussed at the upcoming event.

At the beginning of 2024, there was a noticeable decrease in prices for polyethylene of various brands. This reflected the brand surplus and the ruble exchange rate, which demonstrated strengthening during this period, which also corrected the situation and contributed to a decrease in value. Thus, the price of LDPE decreased by an average of 1300-1400 rubles. per ton, in the HDPE segment as much as 4600-4700 rubles. per ton, in the LLDPE segment up to 3700-3800 rubles per ton. However, how will pricing policy develop this spring, and what will be the position of key producers and traders in the domestic market?

We should not forget about the increasing interest in recyclable materials. Within this theme and the circular economy, polyethylene has many “green characteristics”. As more and more recyclers are added to the register of recyclers, the demand for recyclable materials in general and, as a result, the cost of these raw materials will inevitably increase. Also in this area, competition between plastic materials continues – the difference in increasing coefficients, the magnitude and mechanism for applying the decreasing coefficient, as well as the availability of secondary polymers of the required quality will be reflected.

At the upcoming 20th anniversary event “Polyethylene 2024”, we will pay special attention to the domestic market for the production and consumption of polyethylene of various grades, macroeconomic trends, trade policies of raw material producers, the launch of powerful production facilities that are changing the picture in Russia and the world, the situation and prospects for imports and exports, demonstrated fall in 2023, new partners in the industry, key segments – pipes, films and packaging, strategies for the development of secondary raw materials, let’s talk about customs tariff policy, restructuring of transport and logistics connections and much more.

Our regular participants: Aditim, Aquatic, APTS, AC TEK, Georg Polymer, POLYPLASTIC GROUP, Jokey Mogilev, ETS, IPAKEM, Caspian Innovation Company, KSS Rus, Leader-Compound, LukOil, Lukoil-RNP-Trading, Mechanics, Moscow Credit Bank, LG KEM, Sinopek Chemical Commercial Holding, PC Polygran, Polyter, PPK “REO”, Pro Aqua, PFK Tekhprokomplekt, Rani Plast, RGKhO, RTP, Sberbank, Sokar Polymer, Stupinsky Chemical Plant, TD IMMID, Himstab, Centropolymer, CenterTechForm, Shchekinoazot, Energoplast and many others.

The conference will take place on May 16, 2024 under the leadership of the CREON Group.

For more information contact:

Ilyicheva Alina (+7 (985) 791-29-65; ai@creon-group.com)

Efremova Alena (+7 (909) 986-17-19; ae@creon-conferences.com)

Maria Pankova (+7 (926) 284-83-87; mp@creon-conferences.com)