In recent years, Zhejiang has seen significant growth in its oil and chemical industry, particularly in specialized, fine, and new industrial sectors. These block-like specialty industries have developed strong competitive advantages, with the output value of fine chemicals reaching 65%, significantly higher than the national average by about 25 percentage points. Key products such as disperse dyes, fuel oils, glyphosate, Jinggangmycin, abamectin, vitamin E main rings, isophytol, fluoride base materials, fluorine refrigerants, inorganic fluorine salts, fluorine synthetic materials, and paints hold leading market positions nationwide. The Hangzhou Bay, Wenzhou coastal areas, and the Jin-Yu-Li highway region have developed into major clusters with strong radiation and scale effects. Ten national manufacturing centers and distinctive industrial blocks have emerged, further strengthening the sector.
For instance, in Xiaoshan, Shangyu, and Shaoxing, the fine chemical industry, including dyes, pigments, and textile auxiliaries, plays a central role. By the end of 2004, Xiaoshan District had 368 chemical companies, with total assets of 7 billion yuan and sales revenue of 10.08 billion yuan. The industry covers seven major categories, including basic chemical raw materials, daily chemicals, dyes, paints, coatings, agrochemicals, and pharmaceutical intermediates. Zhejiang's fine chemical industry accounts for over 50% of the national total, showing its dominance in this field.
In Taizhou, Jiaojiang and Xinchang are known for their chemical raw materials and pharmaceutical intermediates. There are more than 500 types of mass-produced chemical raw material medicines and intermediates, with most pharmaceutical intermediates available locally. Nine enterprises are recognized as national-level high-tech firms, and 31 are provincial-level. Several companies exceed 100 million yuan in annual sales, with four surpassing 1 billion yuan. Eight of Taizhou’s companies rank among the top 50 in China’s chemical raw material medicine manufacturers.
Zhejiang Juhua Group has established the largest fluorine chemical production base in the country, covering fluorine base materials, refrigerants, inorganic salts, and synthetic materials. The fluorine industry contributes over 50% to Zhejiang's chemical output.
Xinan Chemical Co., Ltd. leads in organic silicon production, with a capacity of 70,000 tons per year, capturing over 30% of the national market. Expansion plans aim to increase this to 100,000 tons annually by 2007.
Pesticide manufacturers like Zhejiang Xinan Chemical, Zhejiang Xinnong, Zhejiang Longyou Lude, Hangzhou Qingfeng, and Qianjiang Biochemical have shown strong performance. From January to July of this year, 40 major pesticide companies generated 4.017 billion yuan in output value, a 24.8% increase compared to the same period last year. Sales revenue reached 3.863 billion yuan, up 26.6%, with exports rising by 12.2% to 1.722 billion yuan.
In Ningbo, Jiaxing, Wenzhou, and Quzhou, the petrochemical industry has become a core sector. By 2004, Ningbo had 179 large-scale petrochemical enterprises with total assets of 27.9 billion yuan and an annual output value of 57.7 billion yuan. International players like BP, Dow Chemical, LG Chemical, and Formosa Plastics have invested in the region, contributing to projects such as Lucky Gold, Pacific Chemicals, and the Formosa Petrochemical Industrial Park.
Hangzhou alone hosts 266 large-scale chemical companies, producing over 1,000 major products ranging from basic chemicals to bio-chemicals, agrochemicals, and rubber products. The city is home to Asia's largest glyphosate production facility, and over 50% of dye materials are exported. Annual coating production exceeds 200,000 tons, ranking first in the province.
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