Demand for TPEE Depends on Import  

By Zhang Li   

Thermoplastic polyester elastomer (TPEE) is a high-performance engineering elastomer with advantages of great mechanical strength, good elasticity and great anti-impact, high resistance to creep/cold/flexing fatigue/oils/chemicals/solvents. It has been widely applied in automobile components, hydraulic hoses, electric wires/cables, electronic/electric appliances, industrial products, cultural/sports articles and biological materials.
   China started the research and development of TPEE rather late. The Institute of Chemistry CAS conducted research of TPEE in the early 21st century and constructed a 30 t/a pilot production line. This pilot product, however, could hardly meet the requirements in molding and processing, and can not be put into commercial production yet. It is reported that the Institute has now achieved some progresses in the research of TPEE synthesis technology and processing, and again constructed a 1 000 t/a TPEE production line in collaboration with Liaoning Kelong Chemical Industry Co., Ltd.
   China Haohua Chenguang Research Institute of Chemical Industry (CHCRICI) started the research of TPEE in 1989 and constructed a 500 t/a lab unit in the early 21st century. Sichuan Sunshine Plastics Co., Ltd., a subsidiary of CHCRICI, was established in 2002. It took the lead in the commercialization of the TPEE production in China and constructed a 1 000 t/a TPEE production line.
   Organizations engaged in the research and development of TPEE in China also include Tianjin Petrochemical & Chemical Research Institute, Sinotex Investment & Development Company Ltd. and Hubei Research Institute of Chemistry. With the gradual maturing of the technology and the market in China, Sichuan Sunshine Plastics Co., Ltd. and Liaoning Kelong Chemical Industry Co., Ltd. both plan to expand their production scale. Quite a few enterprises also intend to construct new TPEE units. It is expected that the capacity of TPEE in China will reach 10 000 t/a in 2010.
   Due to technical factors, TPEE production units in China have a relatively low operating rate. Domestic consumption depends to a large extent on imports. The output of TPEE in China was around 500 tons in 2006, the net import amount was around 1 350 tons and the apparent consumption was around 1 850 tons.
   Products from DSM of the Netherlands, LG Chemical of Korea and Du Pont and Eastman of the United States hold a considerable share in the Chinese market today. Eighty percent of TPEE is used in the production of automobile components and 20% is used in the production of electronic components. TPEE has relatively low synthesis cost and is ease to process. Its value added is therefore very high. With the product tending to diversification and high performance in recent years, TPEE has all the more displayed its excellent functions and bright application prospect. The demand for TPEE in the domestic market will maintain a rapid growth of around 10% a year. The automobile manufacturing sector will remain to be its biggest consumer.
   TPEE locally made can hardly meet the domestic demand either in quantity or variety. Imported products therefore hold a leading position.