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CCM Data & Primary Intelligence

Highlights on Issue 1009

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Industrial Overview

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Major domestic bio-butanol producers become more optimistic on bio-butanol prospect. Harbin Institute of Technology will cooperate with two domestic companies to build a new demonstration production base of biological hydrogen produced from waste water in 2011. Holley Group Co., Ltd. successfully entered domestic fuel ethanol industry by cooperating with CNPC. Kate New Energy Co., Ltd. signed China’s first transnational carbon trading agreement in biodiesel industry on August 9th 2010. Henan Zhongyuan Biodiesel Development Co., Ltd. started to build its first biodiesel production line with capacity of 30,000t/a in Xinmi City, Henan Province. Nanning Pangbo Biological Engineering Co., Ltd. is enhancing its comprehensive strength to achieve its listing goal. Winner of bio-based long-chain dicarboxylic acid (LDA)patent disputes between Shandong Hilead Biotechnology Co., Ltd. and Shanghai Cathay Biotechnology R&D Center Co., Ltd. will probably dominate Chinese bio-based LDA market in the near future. Chinese pharmaceutical grade hyaluronic acid output expects to increase after Novozymes launches its pharmaceutical grade hyaluronic acid production line in 2011. Shanghai Tong-jie-liang Biomaterials Co., Ltd. is actively strengthening international competitiveness by expanding polylactic acid capacity. INOVAL Group Co., Ltd., HTT Corporation and DuPont are constructing a polytrimethylene terephthalate (PTT) fiber project to scramble for China’s PTT market. Fujian Zhongsu Biodegradable Film Co., Ltd. expects to be China’s largest producer of biodegradable polyvinyl alcohol (PVA) film soon. Both China’s PLA export volume and import volume may increase over last year. Related Market Reports Biomass Energies Market in China Future of Enzyme in China Future of Starches in China Future of Green Biotechnology in China Future of White Biotechnology in China

China is forecasted to overtake Japan by the end of 2010 to become the second largest world’s economy. China's economy had been growing at a rapid pace during the last 30 years and may keep growing at a high rate in the next decade, which will lay a solid foundation for China’s economic structure in the future. In order to achieve sustainable development, more strict supervision measures should be taken to reduce pollution, green house gas emission and energy consumption. Moreover, Chinese government is gradually increasing investment in low-carbon industries, witnessed by the the investment of USD1 trillion in renewable energy in the next decade. Besides, China gradually opens domestic traditional energy industry which used to be dominated by state-owned oil companies for domestic private companies, bringing more investment opportunities for both domestic private companies and foreign companies. With more and more large transnational biomaterial companies entering Chinese biomaterial market, domestic biomaterial promotion process may be shortened, thus facilitating the reduction in carbon dioxide emission. Editor's Recommendation on Issue 1009 Overview of latest production and market of domestic bio-butanol With domestic demands for butanol increasing, domestic major bio-butanol producers (TABLE) have been actively operating their butanol production lines or expanding their butanol capacity since the end of 2009. Besides, owing to supply shortage, domestic butanol price has been growing since the beginning of August 2010. TABLE: Existing capacity of major domestic bio-butanol producers, Aug.2010, t/a Company Jilin Ji’an Biochemical Co., Ltd. Jilin Cathay Industrial Biotechnology Co., Ltd. Jiangsu Lianhai Biological Technology Co., Ltd.

Existing capacity 150,000 100,000 70,000

Source: CCM International Jilin Ji’an Biochemical Co., Ltd. (Jilin Ji’an), the largest domestic ethanol producer, has been operating its two existing corn-based butanol production lines since the end of 2009, meanwhile, in order to use corn straw instead of corn to produce bio-butanol, Jilin Ji’an is still doing in-depth R&D on the industrial production process of corn straw-based butanol and is modifying existing biobutanol production lines to reduce production cost, according to Mr. Song, a staff from Jilin Ji’an. Jilin Cathay Industrial Biotechnology Co., Ltd. (Jilin Cathay), domestic second largest bio-butanol producer, has resumed its butanol production lines since Dec. 2009, which were once suspended at the end of 2008 due to the outbreak of global economic crisis. The company planned to expand its bio-butanol capacity to 200,000 t/a,disclosed early in April by Mr. Wang, a director of sales department. Yet, the expansion has not begun, but it is predicted that Jilin Cathay may launch construction of the new bio-butanol production lines before the end of 2010, based on current increasing demands for butanol. Moreover, due to sharp decline of demands for butanol caused by global financial crisis, Lianhai Biological stopped producing butanol and modified its first bio-butanol production line to produce ethanol at the end of 2008, according to Mr. Dai, a director of sales department from the company. Jiangsu Lianhai Biological Technology Co., Ltd. (Lianhai Biological) is engaged in producing biobutanol from cassava and corn. With gradual recovery of domestic economy and growth in demand for butanol, Lianhai Biological decided to reproduce biobutanol and expand its bio-butanol capacity at the end of 2009. After about half a year, Lianhai Biological finished the construction of the second bio-butanol production line with capacity of 35,000 t/a at the end of June of 2010. By now,

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2011-1-10


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Biofuels Market in China Production & Market of Yeast Extract in China Production, Market & Benchmarking of Xanthan Gum in China Production and Market of Succinic Acid in China 2010

Lianhai Biological has launched its two butanol production lines with total capacity of 70,000t/a to expand its domestic market share of bio-butanol. Please contact with us for the full article..... >>Subscribe to our newsletter

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2011-1-10


Industrial Biotechnologies China News Highlight September 2010