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Russian linear polyethylene market grew 50 times over the decade

August 03/2010

MOSCOW (MRC) -- In 2008, the linear polyethylene market crossed the psychological checkpoint of 100 kt, and in 2009, despite the general slump, its consumption went up almost by 16% (to 116,2 kt), according  to MRC "Polyethylene in Russia - 2010" Annual report. 

Russian linear polyethylene market grew 50 times in 10 years


A trend of ousting of LDPE with HDPE grades (over 50% share in the market) and LLDPE (9% share in the market) remains in the structure of polyethylene demand. Launch of Nizhnekamskneftechim HDPE/LLDPE facilities with 230.000 tpa capacity (swing technology) changed the structure of HDPE and LLDPE supply in the domestic market. At the same time, Sabic's agressive strategy slightly changed the alignment of forces in the film-grade polyethylene market (the company increased supplies to the Russian market 14 times). South Korean companies (Hyundai Petrochemical,  Hanwha Corporation, LG) contrariwise cut down sales.


The LLDPE market will most likely continue to grow 20% annually. Use of linear polyethylene generally corresponds with the modern global trend of resource saving. In some cases LLDPE usage lets decrease the thickness by 20-40% while saving the same physical-mechanical properties.


More detailed analysis of processing capacities and polyethylene consumption by sectors, markets, types of finished goods and converters is available in MRC "Polyethylene in Russia - 2010" Annual report


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