By OGJ editors
HOUSTON, Sept. 5 -- The petrochemical industry is one of the most dynamic market sectors of the Asia-Pacific region, and it is set to expand, with a number of world-scale ethylene crackers coming on stream and more being planned.
One after another, major petrochemical industry projects that were suspended during the Asian financial crisis have resumed implementation, said a study from Business Communications Co. Inc., Norwalk, Conn.
Total annual petrochemical demand in the Asia-Pacific region is estimated at 67.5 million tonnes. Rising at an average annual growth rate (AAGR) of 6.1%, demand will reach 85.4 million tonnes by 2006, said the study entitled Petrochemical Business in the Asia Pacific Region.
Ethylene demand is highest at 33.1 million tonnes and rising fastest at an AAGR of 7.1%. Demand in 2006 will reach 43.5 million tonnes. Propylene demand will rise at an AAGR of 5.8% to 28.9 million tons in 2006, while benzene demand will grow at an AAGR of only 3.6% to 13 million tonnes.
The total annual ethylene capacity in the Asia-Pacific region stands at 27.5 million tonnes, but new ethylene facilities being developed will add 9.4 million tonnes of capacity by 2006. China and India remain strong markets for regional petrochemical product exporters, Business Communications' study said.
China leads in terms of proved crude oil reserves for the Asia-Pacific region, and Malaysia leads in terms of proved natural gas reserves, followed by Indonesia.
New major petrochemical complexes are being developed in China, Indonesia, Malaysia, Thailand, Vietnam, and Australia. New projects have been identified in Brunei, the Philippines, and Taiwan.
Regional associations, including the Association of Southeast Asian Nations and the South Asian Association for Regional Cooperation, are cooperating in the development of bilateral and multilateral programs involving the region's natural gas resources.