Second attempt by coal-based plant in China to produce HDPE pipe grade

Market sources reported that Inner Mongolia ChinaCoal Mengda New Energy & Chemical Industry Co Ltd (Zhongmei Mengda Chemical) has started the production of HDPE pipe (PE80) 2480 grade this week.

Based in Inner Mongolia, China, the plant has a production capacity of 300,000 tons/year. Players attributed this situation toward the expectations from market toward the pick up of demand for HDPE pipe after Chinese New Year holidays.

This is the second time for coal-based plants to produce HDPE pipe grade whereby the first attempt were conducted by Shaanxi Yanchang Zhongmei Yulin Energy and Chemical Co Ltd which produced HDPE pipe (PE100) PN049 grade since August 2017, with production capacity of 300,000 tons/year as well.