China Butadiene Import Analysis

The butadiene import volume tended to be flat in the recent five years, and China’s butadiene import dependence degree was around 10%. As of the first three quarters of 2017, China imported 243,500mt or so, up around 11% Y-O-Y. As Chinese-made butadiene resources were sufficient in Q4 of 2017, the import volume dropped notably Y-O-Y. However, the whole import volume in 2017 saw few changes from 2016. In recent years, with the gradual improvement of the use of China’s butadiene units, the demand for imported resources was relatively stable. And then, the import dependence degree will fall year over year, as China’s newly-added units are put into operation in succession.

As seen from China’s major import origins, South Korea still listed the lead status unchanged. Unlike last year of this period, imported resources from Europe and the U.S. climbed notably, while that from the Middle East saw sharp declines. Besides, Southeast Asia was also an important origin for China to import butadiene. And the whole import volume from Southeast Asia changed slightly Y-O-Y. Some deep-sea resources were delivered to Asian market for arbitrage in Q1 of 2017, as China’s butadiene prices soared to a high level. The trading volume of for imported resources climbed slightly in Q3, 2017, and there were many trades of some deep-sea resources done in the Asian market.