Isopropanol Is in Serious Short Supply in China      

By Wei Zhihua, the Consulting Division of China National Chemical Information Center
Isopropanol (IPA) is an excellent organic solvent, widely used as a solvent in paints, inks, pesticides, synthetic resins and electronic industry. It is also used as an extraction solvent, paint solvent, dewaxing solvent, shellac solvent and also a suspension liquid and dispersion liquid in coatings and paints. It is the best thinner for high-luster automotive paints and color inks for printing on plastics.
   In 2009, China's IPA capacity was 160 000 t/a, with major IPA producers including PetroChina Jinzhou Petrochemical Company, Shandong Hi-tech Chemical Group and Zibo Nalcohol Chemical Co Ltd. Other producers make IPA as a byproduct or manufacture IPA from recycled tailings on a small scale.
   China produced about 112 000 tons of IPA in 2009 and is predicted to make about 120 000 tons in 2010, growing little because no new IPA units were put into operation in the past two years. Restricted by the tight supply of raw materials, there are few new or proposed IPA projects in China. Currently, only PetroChina Jinzhou Petrochemical Company has announced a plan of building a new IPA unit. IPA is needed by the company for its own use to make isopropyl ether and several other IPA derivatives. However, this plan has witnessed no actual progress so far.
   For years, IPA has always been in short supply in China. Every year, China needs to import a large amount of IPA, about 100 000 tons a year. China imported 96 thousand tons of IPA in 2006, 109.8 thousand tons in 2007, 100.1 thousand tons in 2008 and 102 thousand tons in 2009, with no big variation.
   In 2009, China consumed 212 000 tons of IPA, out of which 87 000 tons were used as organic solvents, accounting for 40.8% of total; about 43 000 tons were used in the pharmaceutical field, accounting for 20.2%; 51 000 tons were used as organic chemical raw materials, accounting for 23.9%; and other fields accounted for 15.0%.
   Makers of inks and coatings are the largest consumers of IPA in China. In the coatings industry, IPA is mainly used as an inert solvent to reduce the flammability of coatings during storage and transportation. In inks, IPA is mainly used as an additive and thinner of water-based paints. Overall, the use of IPA in inks and coatings will maintain rapid growth. By 2014, the use of IPA in inks and coatings will reach 120 000 tons, with an average annual growth rate of 6.6%.
   IPA has many uses in the pharmaceutical field. As a major raw material, IPA is used to produce many pharmaceutical intermediates, such as 7-aminocephalosporanic acid (7-ACA), lohexol and chloramphenicol. IPA can also be used to produce amoxicillin, piracetam, isopropyl aluminum (catalyst), and so on. In 2009, the pharmaceutical industry consumed about 43 000 tons of IPA. It is expected that in 2014, the demand for IPA in the pharmaceutical field will reach 72 000 tons, with an average annual growth rate of 8.6%.
   As a chemical raw material, IPA can be used to produce isopropylamine, which has very versatile applications including production of pesticides (such as atrazine, prometryn, glyphosate isopropylamine salt, and bentazone), intermediates for pharmaceuticals and dyestuffs, rubber accelerators, hard water treatment agents and detergents. In addition, IPA can also be used to produce isopropyl ether, isopropyl malonate, isopropyl acetate, isopropyl ether and other isopropyl esters. In 2009, about 51 000 tons of IPA was used to produce organic chemical raw materials. It is expected that in 2014, the demand for IPA in the field of organic chemical raw materials will reach 75 000 tons, with an average annual growth rate of 8.0%.
   IPA is also used in other areas, such as electronics, mineral flotation, dyeing/printing, household and personal care cosmetics and surfactants - especially in the electronics and mineral flotation industries. In 2009, the demand for IPA in such areas was about 32 000 tons. It will reach 58 000 tons in 2014, having an average growth rate of 12.6% per year.
   In summary, the demand for IPA in China will reach 325 000 ton in 2014, leaving a large shortage. In China, no IPA units are under construction now. PetroChina Jinzhou Petrochemical Company has not implemented its proposed IPA project. Taking into account the growing demand for IPA in the future, the domestic supply of IPA will not meet the demand.