Isopropanol is an organic compound, a colorless, transparent liquid, flammable, and

smells like a mixture of ethanol and acetone. It is an important chemical product and
raw material, mainly used in pharmaceuticals, cosmetics, plastics, fragrances, paints,
etc.

       In terms of the industrial chain, the upstream of isopropanol mainly includes
acetone, propylene, catalyst, hydrogen and other raw materials, and the downstream
demand market mainly includes the pharmaceutical industry, pesticide industry,
coating industry, plastic industry, cosmetics industry, industrial cleaning industry, etc.

Industrial chain of isopropanol industry

 
Data source: Guanyan Tianxia

       In recent years, as China’s isopropanol production capacity has continued to

increase, but demand has been limited, the capacity utilization rate has been at a low
level below 40, and overcapacity has rapidly emerged. According to data, in 2019,
China's isopropanol production capacity reached 1.095 million tons, the capacity
utilization rate was 35.35%, and the output was 387,100 tons, and the output is
expected to reach 380,000 tons in 2020.

2015-2019 China's isopropanol industry capacity and capacity utilization

statistics
 Data source: Guanyan Tianxia

2015-2020 China's isopropanol industry output

statistics 
Data source: Guanyan Tianxia

Major isopropanol production enterprises and capacity scale

Production scale ( 10,000 Adopting
manufacturer
tons / year ) process
Qingdao Hailijia Chemical New Acetone
5
Materials hydrogenation
Heze Huali New Material 5  
Xinhua Chemical Industry, Propylene
5
Yancheng, Jiangsu Hydration
Xinhua Chemical Industry Acetone
6
Zhejiang Jiande Area hydrogenation
 Acetone
Dezhou Detian Chemical 5
hydrogenation
Zhejiang Liansheng Chemical 2 ( electronic grade )  

Jiangsu Danuoer Technology 0.8 ( ultra pure grade )  

Acetone
Zibo Nuo'ao Chemical 1
hydrogenation
Suqian Liansheng Technology 3  
Propylene
Jinzhou Petrochemical 10
Hydration
Kailing Acetone
10
Chemical ( Zhangjiagang ) hydrogenation
Guangrao Winbond Chemical 4  
Hunan Changde Chemical
1.5  
Industry
Acetone
Shandong Dadi Supu Chemical 20
hydrogenation
Shandong Dongying Haike New Propylene
8
Energy Chemical Hydration
Acetone
Huizhou Yuxin 5 ( plan to build in 2020 )
hydrogenation
10 ( Planned to start Acetone
Lihua Yiweiyuan Chemical
production in 2020 ) hydrogenation
Data source: Guanyan Tianxia

       Therefore, China's apparent consumption of isopropanol has shown an upward

trend from 2015 to 2018, and has declined in 2019, but the export volume has
increased significantly. It can be seen that the consumption of isopropanol in China
continues to be sluggish, and the demand for isopropanol in exports has been clearly
driven.

       According to data, in 2019, China's apparent consumption of isopropanol was

236,900 tons, and it is expected to be 240,000 tons in 2020. In 2020, China's
isopropanol export volume was 250,000 tons, an increase of 36.54% year-on-year,
and the export volume from January to May 2021 reached 40,600 tons.

Statistics and forecast of apparent consumption of isopropanol industry in

China from 2015 to 2020
 Data source: Guanyan Tianxia

Statistics of China's isopropanol export volume from 2015 to May

2021 
Data source: Guanyan Tianxia

       Among them, India is China's main export area, with the export volume of
isopropanol reaching 44,798 tons in 2020; followed by Indonesia, with the export
volume of isopropanol reaching 23,295 tons; Thailand ranked third, with the export
volume of isopropanol reaching 19,440 tons.

The top ten regions of China's isopropanol export volume in 2020

 Data source: Guanyan Tianxia

       Looking ahead, China's isopropanol industry output will continue to grow, while
exports are facing anti-dumping, demand will hardly increase, and market pressure
will further increase. Therefore, in the future, China's isopropanol industry should
actively expand other export directions, while relevant companies should strengthen
their own construction and improve the industrial chain, which will offset the adverse
effects of Indian anti-dumping to a certain extent.

Development prospects of isopropanol in China

Data source: Guanyan Tianxia Collation (WYD)