Chlorinated Paraffin Industry Facing Industrial Adjustment
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On October 10, a reporter learned from the 2007 International Conference on Chlorinated Paraffins that the United Nations Environment Programme (UNEP) will hold a review meeting in Geneva in November 2007. The meeting aims to determine whether short-chain chlorinated paraffins (SCCPs) should be added to the list of Persistent Organic Pollutants (POPs) under the Stockholm Convention. This decision could significantly affect global producers and distributors of chlorinated paraffins, including major players in China. If SCCPs are included in the POPs list, industries involved would need to make substantial changes in their production processes.
POPs, or persistent organic pollutants, are chemical substances that remain in the environment for long periods, travel great distances, accumulate in living organisms, and pose significant risks to human health and the ecosystem. The Stockholm Convention was adopted on May 23, 2001, by the Plenipotentiary Conference, with the goal of reducing and eliminating these harmful substances. At the time, Zhu Guangyao, then deputy director of China's State Environmental Protection Administration, signed the convention on behalf of the Chinese government, making it one of the initial signatories. Since then, Chinese authorities have been closely monitoring the inclusion of short-chain chlorinated paraffins in the review process. Experts suggest that other chemicals may also be considered for inclusion in the future.
According to industry experts, approximately 80% of domestic manufacturers in the chlorinated paraffin sector could be affected by any regulatory changes. Zhang Guomin, vice president of the China Petroleum and Chemical Industry Association and secretary-general of the China Chlor-Alkali Industry Association, highlighted several challenges facing the industry. First, rising crude oil prices since 2006 have led to increased raw material costs, putting pressure on production. Second, the industry is highly fragmented, with many small-scale producers, each having an average capacity of less than 10,000 tons. Third, there is limited development in high-performance, specialized grades of chlorinated paraffins, and further expansion into new application areas is needed. Lastly, some unfair market competition and trade protectionist practices still exist.
To address these issues, industry leaders recommend improving production processes, enhancing innovation, and strengthening environmental and safety standards. They also emphasize the importance of promoting technological advancement, adjusting product structures, and expanding international cooperation. By working together, the industry can move toward a more sustainable and competitive future.