Fluorochemical Weekly Report: High price exploration and operation of HFCs products under quota support

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One week market

Refrigerant: High price exploration and operation of HFCs products under quota support

This week, stimulated by the HFC quota management policy, refrigerant factories continued to maintain a strong upward trend, and mainstream HFC refrigerant prices remained high and operating steadily. Market characteristics: Upstream raw material product prices are at the bottom of the market, and refrigerant cost support is temporarily stable. The production and sales structure of the past three years determines the overall supply and demand pattern in the future, and the scarcity of quotas for different products leads to differences in the magnitude of price fluctuations. From the perspective of domestic and export markets, the mainstream HFCs refrigerant domestic trade supply is tight. Among them, R32 and R410A have limited supply except for downstream air conditioning plants, and the supply is less than the demand to support high price fluctuations; But the foreign trade supply is temporarily loose, and the price increase is relatively slow. Based on the supply and demand relationship and the prediction of practitioners, the decreasing order of scarcity of existing HFC products is as follows: HFC-143a>HFC-125>HFC-134a>HFC-32>HFC-152a>others. It is expected that refrigerant prices will continue to rise at high levels in 2024.

Fluoropolymers: Top Enterprises Overhaul and Cost Increase Drive PTFE Prices Up

This week, the maintenance of factories in the fluorinated polymer market and downstream application industries are gradually recovering. Although demand based procurement is still the main demand, the increase in raw material prices and relative improvement in demand have driven PTFE prices to rise, while prices of other products are temporarily stable and wait-and-see. From the perspective of the industrial chain, the maintenance and load reduction of leading enterprises such as Juhua, Chenguang, Dongyue, and San'aifu are conducive to alleviating the supply-demand contradiction. In addition, the prices of core monomer raw materials such as R22 and R142b on the cost side are strong, which gradually supports the upward trend of TFE and VDF series fluoropolymers. Therefore, the overall weak trend of mainstream fluoropolymers is difficult to change in the short term. Different factories and products have significant differences in cost and quality, resulting in a significant price difference. In the future, fluoropolymer prices will also digest the negative impact of rapid supply growth and wait for the supply-demand pattern to be restored.

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Weekly News

Fluorine raw materials&refrigerants

Honeywell provides environmentally friendly refrigerant Solstice for Hisense ® 454B (R-454B) Helps Sustainable Development of the Refrigeration Industry

Shanghai, China, February 29, 2024- Honeywell (NASDAQ code: HON) and Hisense Home Appliances Group Co., Ltd. (hereinafter referred to as "Hisense") have reached a cooperation in the field of refrigerant applications. Relying on mature refrigerant technology and solutions, Honeywell provides Hisense with efficient and environmentally friendly refrigerant Solstice ® 454B (R-454B) and related technical support, while collaborating on market promotion, will promote the application of technologies with lower global warming potential in the industry, and help promote the sustainable development of the refrigeration industry.

Acceptance of Environmental Impact Assessment for Chuangying Chemical's Trifluoroacetic Acid Series Project

On January 5, 2024, the Ecological Environment Bureau of Jinchang City accepted the environmental impact assessment of the annual production lines of 9000t/a trifluoroacetic acid, 500t/a trifluoroacetic acid ethyl ester, and 200t/a trifluoroacetic anhydride for Jinchang Chuangying Chemical Technology Co., Ltd. It is understood that the project belongs to the nature of a new construction project, with a total investment of 250 million yuan and a total land area of approximately 60750 square meters.

The announcement shows that the project will be constructed in two phases:

The first phase mainly invests in the construction of 3000t/a trifluoroacetic acid, 500t/a trifluoroacetic acid ethyl ester, and 200t/a trifluoroacetic anhydride units and supporting public auxiliary projects.

The second phase will construct a 6000t/a trifluoroacetic acid plant.

The proposed product is widely used in the synthesis of fluorine-containing pesticide raw materials, such as trifluoroacetic acid, which is an intermediate in the production of bromoxynil and fipronil; Ethyl trifluoroacetoacetate is used for the production of thiacloprid; Trifluoroacetic anhydride is an intermediate of imidacloprid.

The first phase of the 800 million spacetime new energy battery material integration project has been approved

On February 1st, the website of the Shaoxing Ecological Environment Bureau released a public announcement of the approval opinions for the first phase of the new energy battery material integration project of Zhejiang Bayi Spacetime Advanced Materials Co., Ltd.

Project Name: Zhejiang Bayi Spacetime Advanced Materials Co., Ltd. New Energy Battery Material Integration Project Phase I

Construction location: Shangyu Economic and Technological Development Zone, Hangzhou Bay, Shaoxing City, Zhejiang Province

Construction unit: Zhejiang Bayi Spacetime Advanced Materials Co., Ltd

Construction Content: The project utilizes existing vacant land to build new workshops, warehouses, and other structures with a total construction area of 78000 square meters. Equipment such as reaction vessels, tail gas absorption towers, evaporators, etc. will be purchased to form an annual production of 15000 tons of lithium hexafluorophosphate, 20000 tons of electrolyte mother liquor (sodium hexafluorophosphate carbonate solution), 5000 tons of lithium fluoride, 2000 tons of lithium difluorosulfonymide (converted solid), and 1000 tons of lithium difluorophosphate We have a production capacity of 1200 tons of additives (600 tons of lithium difluorooxalate borate, 200 tons of lithium dioxalate borate, 200 tons of lithium difluorooxalate phosphate, 200 tons of TMSP), 1500 tons of liquid sulfur dioxide, and 10000 tons of electrolyte. Our products are sold at designated locations, with an annual byproduct of 66000 tons of hydrochloric acid, 25000 tons of ammonium sulfate, and 2200 tons of potassium fluoride.

Korun builds an annual production base of 500 tons of perfluorosulfonic acid resin

Fujian Kerun Century Hydrogen Energy Materials Co., Ltd. has an annual production capacity of 500 tons of perfluorosulfonic acid resin (ion membrane) project, with a total investment of 500 million yuan. The project entered the intention signing stage in June 2021 and construction began in November 2021. The project is located on the Qimu Platform plot of Wujiatang Jintang Industrial Park in Shaowu City, Fujian Province, covering an area of 91.19 acres. Two perfluorosulfonic acid resin product production lines will be constructed to further extend the PTFE industry chain in the park.

The Shandong Qifu PFA project is expected to be completed in the first half of the year, helping the output value of fluorine-containing new materials in Gaoqing exceed 10 billion yuan

As the Spring Festival approaches, several construction sites in the Economic Development Zone of Gaoqing County, Zibo City, Shandong Province are still bustling with activity. Shandong Qifu New Materials Co., Ltd.'s fluorine-containing high-end electronic material project site is roaring with machines. According to local media reports, the project is expected to be completed and put into operation before June this year; The new project of Zibo Feiyuan Chemical Co., Ltd. is accelerating its progress; Shandong Longhua New Materials Co., Ltd. has achieved new heights in development.

These projects are expected to achieve several historic breakthroughs in Gaoqing County. The new project of Shandong Qifu New Materials Co., Ltd. will achieve a breakthrough in zero production of electronic grade ultra pure polytetrafluoroethylene (PFA) in China. Zibo Feiyuan Chemical Co., Ltd. has just reached an equity cooperation agreement with Zhejiang Juhua Co., Ltd. Juhua has invested in Feiyuan Chemical, further extending the fluorine chemical industry chain in Gaoqing County.