Chemical products: localization of BOPET is accelerating, and demand for electronics and photovoltaics is booming, and the rating of “Outperform” is maintained

High-end BOPET materials gradually broke the foreign monopoly, and the epidemic accelerated the localization process. As the “world factory”, China has undertaken most of the production of liquid crystal displays, but the optical BOPET upstream of the industrial chain is under a foreign monopoly. In recent years, with the strong support of national policies and the continuous efforts of Chinese enterprises, a number of Excellent film companies, such as Double Star New Materials, Jizhi Technology, Changyang Technology, and Dongcai Technology, have begun to gradually break foreign monopolies. During the new crown epidemic this year, some suppliers of Samsung and other companies were unable to supply in time, and more orders were transferred to Chinese companies to accelerate the localization of high-end polyester film materials.

BOPET application areas continue to expand, and domestic demand is growing rapidly. Due to its excellent performance, BOPET has a wide range of applications. According to incomplete statistics, BOPET has more than two thousand applications. From its initial application to packaging materials, it is now widely used in optical display material base films, solar backsheet films, and MLCC. Type membrane and other fields. According to statistics, the global demand for BOPET has grown by 6.7% in the past five years, and the demand has exceeded 5 million tons. In the next five years, due to the steady increase in demand for traditional packaging materials, the application of BOPET in new industrial fields has gradually expanded, and global demand has increased. The speed will remain above 5%. Due to the rapid economic development in China, the growth rate of BOPET demand is also significantly higher than the global level. According to the statistics of the China BOPET Association, the growth rate of China’s BOPET demand will be 12% in 2020 and 15% in 2021.

Industry concentration continues to increase, benefiting leading companies. From 2015 to 2019, no new companies entered the BOPET market. The new production capacity belonged to the expansion of the original enterprises, and most of the capacity expansion companies were the top ten companies in the industry, and the new capacity was put into order in an orderly manner. By the end of 2020, the production capacity concentration of the top ten enterprises in the BOPET industry is expected to be 63%, an increase of 13% from 2015. The industry concentration has steadily increased, and enterprises have increased their voice in pricing. In addition, the mainstream suppliers of high-end BOPET film equipment are two German companies. The equipment production line is relatively fixed, the supply of film drawing equipment is orderly, and BOPET production capacity is released in an orderly manner.

The downstream segments are developing vigorously, which will drive the BOPET industry to continue high growth in the future. As we enter the era of “no screen, no display”, the demand for LCD panels continues to grow, and more panels are transferred to China for production, and the demand for high-end BOPET films increases rapidly. The acceleration of the global emission reduction process is beneficial to the photovoltaic new energy industry. In 2019, the global new photovoltaic installed capacity was 98GW, and China’s new photovoltaic installed capacity was 31.47GW. Recently, my country has proposed that by 2030, the total installed capacity of wind power and solar power will reach 1.2 billion kilowatts or more. The photovoltaic industry is expected to usher in a higher growth rate and drive the rapid increase in the demand for photovoltaic backplane materials. With the continuous expansion of MLCC in consumer electronics, automotive, 5G, military industry and other major application markets, the corresponding demand for release films has also increased substantially.

Post time: Jan-11-2021