Global Overview - Global propylene capacity is projected to grow from 125 million tons in 2017 to 177 million tons by 2024, with an average annual growth rate of 5.1% [1] - Global propylene production is expected to increase from 103 million tons to 134 million tons during the same period, with an average annual growth rate of 3.9% [1] - Northeast Asia is the largest production region, accounting for 51.5% of global capacity, followed by North America (14.0%) and Western Europe (9.0%) [1] China's Propylene Industry - China is a significant global propylene producer, with a projected capacity of 69.73 million tons and a production of 53.41 million tons by 2024 [2] - The average annual growth rate of propylene capacity in China from 2014 to 2024 is 12.8% due to the increase in coal/methanol-to-propylene and propane dehydrogenation facilities [2] - The overall capacity utilization rate in China's propylene industry is expected to be 76.6% in 2024, down from over 90% prior to 2014 [2] Production Techniques - Traditional oil-based processes like catalytic cracking and steam cracking remain the dominant methods for propylene production in China [2] - By 2024, steam cracking will account for 33.7% of production capacity, while propane dehydrogenation will represent 32.3% [2] Regional Production Distribution - Propylene production in China is concentrated in East and North China, which account for 31.1% and 20.3% of total production, respectively [3] - The top five provinces for propylene production are Zhejiang, Shandong, Guangdong, Jiangsu, and Ningxia, collectively accounting for 58.4% of national output [3] Market Competition - The Chinese propylene industry is competitive, with over 100 production companies; the top 10 companies hold 56.4% of the total capacity [3] - State-owned enterprises like Sinopec and PetroChina are the primary producers, but there is a trend towards diversification with private companies entering the market [3] Consumption Trends - China is the largest consumer of propylene globally, with a projected apparent consumption of 55.36 million tons in 2024 [4] - The domestic supply is expected to be approximately 53.41 million tons, with imports at 2.02 million tons and exports at 0.07 million tons [4] - The average annual growth rate of domestic propylene consumption from 2014 to 2024 is about 9.9% [4] Downstream Demand - The demand for propylene derivatives has been increasing, with polypropylene accounting for 67.7% of consumption in 2024 [5] - Other derivatives like epoxy propane and acrylonitrile are also seeing significant growth, with production rates increasing substantially from 2014 to 2024 [5]