Saudi Basic Industries Corporation (Sabic) demonstrates its growth commitment in China by moving forward on its announced plans to expand its manufacturing operations in Tianjin and Chongqing, and to build a dedicated research resource in Shanghai. Sinopec-Sabic Tianjin Petrochemical Company (SSTPC) laid the foundation for a polycarbonate production complex with 260 metric tons per annum capacity, at a groundbreaking ceremony in the Tianjin Binhai New Area. Previously, China Petroleum & Chemical Corporation (Sinopec) and Sabic had cooperated on an ethylene production project with a capacity of 100 metric tons per annum. Sabic also announced the signing of a Research Cooperation Agreement with the Dalian Institute of Chemical Physics. These announcements underscores Sabic's strategic growth plan to support China's expanding domestic demand for petrochemical materials. The ceremony was officiated by Prince Saud Bin Abdullah Bin Thenayan Al-Saud, Chairman of Royal Commission Jubail and Yanbu, and Chairman of Sabic; Zhang Gaoli, member of the Political Bureau of the CPC Central Committee, Tianjin Party Secretary; Huang Xingguo, Tianjin Deputy Party Secretary, Tianjin Mayor; Mohamed Al-Mady, Sabic Vice Chairman and CEO; He Lifeng, Tianjin Deputy Party Secretary, Secretary of Binhai New Area; Yang Dongliang, member of Tianjin Municipal Standing Committee, Tianjin Executive Vice Mayor; Fu Chengyu, Chairman of Sinopec; Wang Tianpu, Vice Chairman and President of Sinopec; and Dai Houliang, senior Vice President of Sinopec. Prince Saud said: "Today's ground-breaking ceremony is an important milestone for Sabic. It marks another collaboration we have with Sinopec, and our closer connection with the Chinese people. Sabic and Sinopec have shared ambitions of establishing long-term strategic partnership that contributes towards enriching the economies of Saudi Arabia and China in the areas of scientific research, technology, reform and product marketing." He further said: "China's success is our success. Sabic is committed to supporting the Chinese government's 12th Five-Year Plan to promote economic and industrial growth and social development with the aim to achieve win-win for the government of China, our customers, partners, and employees." Al-Mady added: "China today represents the fastest growing market for Sabic globally with strong double-digit growth since 1980. We continue to enhance our proximity to serve by strategically positioning global capacities to best meet the needs of our customers. Through our expanded manufacturing capacities, and research resources and capabilities across key cities in China, Sabic will deliver a broad portfolio of sustainable materials that will help China's industries design products that are relevant and impactful to China and the world." Demand growth for polycarbonate is the fastest among the top five engineering plastics. Polycarbonate has high purity and transparency properties. With its excellent overall performance, it is widely used in automotive parts, home appliances, medical products, etc. With the recent growth in industries such as electronics, automotive, information technology and building materials, there is a significant increase in China in the demand of polycarbonate and other engineering plastics. In 2010, China consumed 1.13 million metric tons of polycarbonate, with a domestic output of 220,000 metric tons only. China mainly relies on imports for polycarbonate, and hence, polycarbonate was the highest by volume of import among all engineering plastics. Based on initial estimation, demand for polycarbonate in China will reach 1.78 million metric tons by 2015, an average annual increase of nearly 10. Huang Xingguo said: "This is another big project following the Tianjin one million tons of ethylene and the ten million tons of oil refining projects by Sinopec and Sabic. It deepens the cooperation between China and Saudi Arabia, and accelerates the development of Binhai New Area and is strategically important for the construction of state-level petrochemical industry base. We will put full effort to provide quality services and create the environment to safeguard the smooth project implementation. " Fu Chengyu added: "This project is the fruitful result of the cooperation between Sinopec and Sabic. It is also an important move for Sinopec to adjust our product mix, to elevate our target product market, and to expedite the change of the ways of economic developments. The construction of the complex will further enhance the competitiveness and lead China's way in the petrochemical sector. It also brings both parties to form a closer tie in strategic cooperation, as well as to tighten the bilateral relations between China and Saudi Arabia. Both parties are committed to strive for efficiency, excellence, safety and environmental
