Five Problems Trouble China's Dimethyl Carbonate Industry

By the end of October 2010, the actual production capacity of dimethyl carbonate (DMC) nationwide had reached 236,000 tons, and it is expected to reach 490,000 tons next year. Yang Yang, deputy editor-in-chief of the China Petroleum and Chemicals Magazine, disclosed the above data at the 7th National Organic Carbonate Technology Development and Application Seminar. As a reporter who has continuously followed and reported on the dimethyl carbonate industry for nearly 10 years, Yang Yang has unique insights and understanding of the entire industry.
According to Yang Yang, in previous years, due to the small production capacity of DMC, the supply of products was in short supply. Some companies therefore launched several tens of thousands of tons of transesterification dimethyl carbonate devices. After these devices were put into production, they had a large impact on the international and domestic markets and the supply was sufficient. Since the financial crisis, prices have basically stabilized at around RMB 5,000-6,000/t. It is expected that the prices will only become lower and lower.
After a long period of field research, inspections and interviews, Yang Yang believes that the current DMC industry in China has the following overall and strategic issues that restrict the development of the industry. Lack of unified industry management; lack of industry-wide mechanisms and channels for cooperation, collaboration, and communication; lack of industry leaders and entrepreneurs, did not form a consistent external force; lack of relevant standards and intellectual property protection systems for DMC emerging applications; There is a lack of awareness and mechanisms to jointly develop and cultivate markets. At the same time, the entire industry is subject to supply of upstream raw materials such as propylene oxide for a long time, and there is no market or raw material supply.
In order to promote the healthy development of China's DMC industry, Yang Yang suggested that when selecting a project, he should select the suitable process route for the company and choose the site nearest to the main raw material or product sales market. It is proposed to reorganize the national DMC industry cooperation group and improve the operating mechanism and management measures. Through various channels, it appeals to the competent government departments and reflects the problems existing in the industry, and gives support to policies, taxation, special research projects, and so on.

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