Canadian Plastics

LyondellBasell, Sinopec form JV to build new chemical plant in China

Canadian Plastics   


The new facility is expected to produce 300 kilo tons per year of propylene oxide and 600 KTA of styrene monomer.

In a bid to satisfy rising demand in China’s domestic market, chemical maker LyondellBasell Industries has signed a memorandum of understanding with China Petroleum & Chemical Corp. (Sinopec) to form a 50/50 joint venture to construct a new propylene oxide (PO) and styrene monomer (SM) unit in Zhenhai, Ningbo, China.

Once finalized, the JV will build upon the existing LyondellBasell/Sinopec PO/SM joint venture in the same location, which operates under the name Ningbo ZRCC Lyondell Chemical Co. Ltd.

The new facility is expected to produce 300 kilo tons per year of PO and 600 KTA of SM.

Construction of the facility will begin in early 2020 with start-up expected in 2022.


The facility will use LyondellBasell’s leading PO/SM technology. Products produced will be marketed equally by both companies, LyondellBasell said in a statement.

LyondellBasell operates five wholly-owned facilities in China. The Netherlands-based company is also currently in the process of building what it calls the largest next generation PO/tertiary butyl alcohol (TBA) plant in the world near Houston, Texas.



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