Home / Knowledge / News / Textiles / Four firms ink JV for naphtha crackers in China
Four firms ink JV for naphtha crackers in China
Aug '11
Four Taiwanese petrochemical companies - LCY Chemical, Ho Tung Chemical, USI Corp. and China Petrochemical Development – have inked a deal with mainland China's Sinopec Group and Fujian provincial government to invest US$ 4.5 billion or around NT$ 130 billion to set up an oil refinery and a naphtha cracking complex in Gulei in Zhangzhou in Fujian province.

The consortium of the four Taiwanese firms is led by Founder of Ho Tung Chemical Chen Wu-hsiung, who is also the Chairman of the Petrochemical Industry Association of Taiwan.

The naphtha cracking plant will be a joint venture with both the Chinese and Taiwanese sides contributing 50 percent or equal share of the capital. However, the project would need authorization of the Governments on both sides of Taiwan Strait.

Taiwan has not yet allowed investment in naphtha cracking and oil refining operation in mainland China. In view of the same, the Ministry of Economic Affairs (MOEA) has released a statement directing the local businesses to adhere to the norms for investment in China.

Initially the four firms proposed to invest in Taiwan's Kuokuang Petrochemical Project, but it was called off following strong resistance from environmentalists. Subsequently, the firms turned to mainland China with an intention to exploit the immense potential of market there.

Alongside naphtha crackers with a capacity to produce 1.2 million metric tons of ethylene per annum, also proposed to be set up as a part of the plant are an oil refinery with a capacity to process 16 million metric tons of crude oil per annum and 26 mid and downstream petrochemical firms.

Once the project gets sanctioned, it is likely to be completed within three years and commence operations in 2014.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 25th May 2017

Huntsman and Clariant to have merger of equals

Huntsman Corporation and Clariant have announced that their boards of ...

Courtesy: CBRE

Apparel/Garments | On 25th May 2017

European cities preferred for retailer expansion: CBRE

European cities were the preferred new destination for international...

Apparel/Garments | On 25th May 2017

Guess records $458.6 million revenue for Q1 2018

For the first quarter of fiscal 2018, the net revenue of American...

Interviews View All

Kaizad Hansotia

Competition is the best thing that can happen to a startup

Sachin Sharma
Gem Enviro Management Pvt Ltd

There are no significant differences between virgin yarn and PET recycled...

Vidhyaa Shankar. S
A Ganapathi Chettiar

'The usage of knits is getting into the boundaries of woven fabrics'

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Pranav Mishra

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


news category

Related Categories:
May 2017

May 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search