Master-Batch Sector Develops Rapidly

By Wu Lifeng

Plastic industry promotes the development of the master-batch
sector

The plastic processing industry in China has developed rapidly.
The output is increasing rapidly and the quality is improving
constantly. Opportunities have therefore been provided for the
expansion of the master-batch market. The average annual growth
of consumption of master-batches in China reached 24% from 1994
to 2002 and was maintained at 20% from 2003 to 2005. The
consumption of master-batches was around 300 thousand tons in
2006.
   According to the statistics made by China Dyestuff Industry
Association, the total capacity of 251 master-batch producers
in China was 240 thousand t/a in 2005. When the capacity not
included in the statistics was considered, the total capacity
of master-batches in China was estimated to be 250 thousand t/a.
The capacity of 53 large producers accounted for more than 60%
of the national total. Major producers are located in Guangdong
province, Jiangsu province, Zhejiang province, Shanghai and
Shandong province. There are few producers in central and
western China.

Products are mainly black and white varieties

Master-batches produced in China are classified by color into
white varieties, black varieties and color varieties. Domestic
white varieties hold a 44% market share, domestic black
varieties hold a 35% market share and domestic color varieties
hold a 14% market share. A great portion of color master-batches
still has to depend on import.
   In the master-batch production, master-batches used for
fiber have high requirements on technology and raw materials.
The output of master-batches used for fiber in China was more
than 26 thousand tons in 2005. PET (polyethylene terephthalate)
fiber consumed 68.2%, PP (polypropylene) fiber consumed 30.2%
and PA (polyamide) fiber consumed 1.6%.
   With the development of the plastic industry, engineering
plastics have become an important application sector for
master-batches. Compared with conventional plastics,
engineering plastics and special plastics such as PA, PC
(polycarbonate) and fluorine plastics have higher requirements
on the quality of master-batches. The coloring of various
engineering plastics needs high-grade master-batches.
   Beijing University of Chemical Technology has recently
developed polyperfluoroethylene-propylene master-batch.
Bottlenecks in raw material selection, formulation and
production process have been removed. When the product is used
in electric wires and cables, its electric property and
mechanical property fully conform to the requirements. Besides,
Guangdong Foshan Sky-colour Co., Ltd. has developed and produced
PET/PTT (polytrimethylene terephthalate) high-grade
master-batches.

Foreign companies come into the Chinese market

Attracted by the rapid development of the plastic industry in
China, foreign plastic producers have come into the Chinese
market one after another. Foreign master-batch producers have
also constructed production plants in China. The coming of
foreign master-batch companies and those from Hong Kong and
Taiwan province has greatly promoted the development of high-end
master-batch varieties in China.
   PolyOne jointly established by Geon and M. A. Hanna
constructed master-batch and engineering plastic production
bases in Shanghai, Suzhou of Jiangsu province and Shenzhen of
Guangdong province in September 2000. The plant in Shenzhen
conducted large-scale expansion in September 2005 and there are
7 master-batch production lines in the plant today.
   Clariant entered the Chinese market in 1995 and constructed
two production plants in Guangzhou of Guangdong province and
Beijing. It also constructed 3 production plants in Shanghai
Xinzhuang Industry Park in November 2004 to provide color and
functional master-batches to East China and overseas clients.
   PCC of the United States (subsidiary of PMC) constructed a
master-batch plant in Jiangning District of Nanjing, Jiangsu
province. The plant was put on stream in January 2007 and the
output can reach around 300 tons a year. It mainly produces
liquid master-batches for the use in PET bottles and also
produces solid master-batches for the use in the production of
corn starch plastics. Products will mainly be supplied to
overseas polymer producers.

Development trend

The master-batch sector in China is developing towards products
with multiple functions, high pigment content and high technical
level. To keep in line with this development trend, companies
from the sectors such as pigment, dispersing agent, carrier
resin and instruments/equipment should also upgrade the
technical level of their products and provide high-quality
pigments, dispersing agents, special carrier resins, advanced
instruments/equipment and application software to master-batch
producers.