In 2017, in accordance with the strategic deployment of the CPC Central Committee and the State Council, the petrochemical industry insisted on deepening the supply side structural reform, vigorously promoting innovation driven, transformation and upgrading. The industry economy made outstanding achievements, especially economic growth, which is the fastest growth year in the past six years, and the petrochemical industry has entered a new stage of development.
（1） Overall stable production
In 2017, the overall production of petrochemical industry remained stable. The output of ethylene was 18.214 million tons, an increase of 2.4%; the output of sulfuric acid was 86.942 million tons, an increase of 1.7%; the output of caustic soda was 33.652 million tons, an increase of 5.4%; the output of calcium carbide was 24.473 million tons, a decrease of 1.7%; the output of pure benzene was 8.335 million tons, an increase of 3.7%; the output of methanol was 45.288 million tons, an increase of 7.1%; the output of synthetic materials was 150 million tons, an increase of 6.6%; the output of tires was 926 million, an increase of 5.4%; the total output of chemical fertilizer was 60.652 million tons , down 2.6%.
（2） Economic benefits increase faster
In 2017, there were 28005 Enterprises above Designated Size in the petrochemical industry, with a year-on-year increase of 3.7% in industrial added value. The total revenue from main business was 13.45 trillion yuan, an increase of 15.8%, the fastest growth rate in six years. Among them, the revenue from main business in the chemical industry was 9.10 trillion yuan, an increase of 13.8%. The profit for the whole year was 831.36 billion yuan, up 52.1%, the fastest growth rate in seven years, including 607.24 billion yuan, up 39.7% in the chemical industry.
（3） Further expansion of foreign trade
In 2017, the total import and export trade of petrochemical industry was 583.37 billion US dollars, an increase of 22.1%, of which the export was 192.98 billion US dollars, an increase of 12.9%; the deficit was 1974.42 billion US dollars, an increase of 45.1%.
（4） Continuous optimization of structural adjustment
The development of high-end and special chemical products, such as synthetic resin, synthetic fiber and electronic chemicals, has been accelerated. The income and profit growth of synthetic materials, basic chemicals and special chemicals are leading, and the contribution rate to the overall income and profit growth of chemical industry is more than 80%. New progress has been made in overcapacity industry. In 2017, the capacity of synthetic ammonia has been reduced by 1.65 million tons, and the capacity of urea has been reduced by 280% 10000 tons, 3.5 million tons of carbide and 280000 tons of PVC.
In 2017, the economic operation of petrochemical industry has achieved high-speed development, and there are many bright spots in the industry, but there are still many challenges and constraints in the industry, among which are:
（1） Industry investment remains weak
In 2017, the investment in fixed assets in the petrochemical industry was 2.06 trillion yuan, down 2.8%; among them, the investment in the chemical industry was 1.50 trillion yuan, down 5.2%, up 2.5 percentage points from the previous year, down for the second consecutive year. The main reasons are as follows: first, the conversion of new and old kinetic energy is slow. Bulk products such as synthetic ammonia, chemical fertilizer, methanol, chlor alkali, calcium carbide, tire, etc. have excess capacity, and the investment demand is not strong; the innovation capacity of high-end special chemical products needs to be improved, the industrialization level is still low, and the investment power has not yet formed. Second, macro environmental impact. In recent years, environmental supervision has been strict year by year, and capacity reduction has increased, which has a great impact on investment in petrochemical industry.
（2） Frequent industrial safety accidents
At present, there are nearly 300000 hazardous chemical production and operation units in China, of which 80% are small chemicals with relatively poor safety assurance capacity, and safety accidents happen frequently. According to the State Administration of work safety, there were 218 accidents and 271 deaths in the chemical industry in 2017, including two major accidents: the explosion of Linyi Jinyu Petrochemical Co., Ltd. on June 5 and the explosion of Lianyungang Juxin Biotechnology Co., Ltd. on December 9. The industrial layout of domestic petrochemical industry is not reasonable. The problems of "surrounded by chemical industry" and "surrounded by chemical industry" are increasingly prominent. Some hazardous chemical production enterprises are close to the densely populated areas of cities and towns, which seriously affect the lives and property safety of the surrounding people. It is urgent to carry out relocation and transformation to eliminate the potential safety hazards.
（3） Increasing import pressure in petrochemical market
In 2017, the import of petrochemical products, such as synthetic materials and organic chemical materials, continued to grow, exerting greater pressure on the domestic market. According to customs data, in 2017, the total import of synthetic materials was 48.698 million tons, an increase of 8.3%; the net import was 38.809 million tons, an increase of 8.2%; the total import of organic chemical raw materials was 62.227 million tons, an increase of 6.3%; the net import was 47.832 million tons, an increase of 4.8%. The main reasons are as follows: first, the domestic market demand grew rapidly, and the apparent consumption of synthetic materials and organic chemical materials increased by 7.0% and 5.5% respectively; second, affected by environmental protection, some enterprises cut production, stopped production, and the supply grew slowly; third, there is still a gap between domestic high-end chemical products and the world's advanced level, and the competitiveness is relatively weak.
（1） Vigorously promote the relocation and transformation of hazardous chemical production enterprises
In 2018, we will earnestly implement the guiding opinions on promoting the relocation and transformation of hazardous chemical production enterprises in urban densely populated areas (GBF [2017] No. 77), establish a special working group for the relocation and transformation of hazardous chemical production enterprises jointly with the State Administration of work safety, strengthen the supervision, inspection, tracking analysis and notification of the relocation and transformation of hazardous chemicals, and organize experts to All provinces (autonomous regions and municipalities directly under the central government) shall submit implementation plans for evaluation, guide and urge local governments to carry out relocation work, summarize and promote typical experience and practices in a timely manner, praise the solid work and remarkable results, supervise and urge the rectification in a timely manner for the poor work and lagging progress, and ensure that small and medium-sized enterprises and large enterprises with major risks and hidden dangers shall start relocation and reform before the end of 2018 Make.
（2） Speed up the implementation of new chemical materials
Around the key fields of automobile, new generation information technology, aerospace, rail transit, energy conservation and environmental protection, and great health, the implementation plan of chemical new material short board project is prepared and organized. To guide the work of carbon fiber and composite industry development alliance, new materials industry alliance of electronic chemical industry and other alliances, and promote the application and promotion of carbon fiber, electronic chemicals and membrane materials in the downstream field. Promote the establishment of automobile lightweight non-metallic material industry alliance, and promote the application of engineering plastics and carbon fiber composite materials in the automobile industry.
（3） Carry out intelligent transformation of Chemical Industry Park
Establish the evaluation index system of chemical industry park, carry out the investigation of National Chemical Industry Park, create "one map" of chemical industry park, and carry out the comprehensive evaluation of chemical industry park. The existing capital channels are used to support the intelligent transformation of the chemical industry park, continuously improve the infrastructure and public service level of the chemical industry park, and enhance the ability of the chemical industry park to undertake the relocation of hazardous chemical production enterprises.
（4） Promote the deep integration of the two chemical industries
We will carry out in-depth pilot demonstration of intelligent manufacturing and industrial Internet, and accelerate the introduction of relevant standards and specifications. We will actively promote the establishment of information sharing platform for the supervision of hazardous chemicals, integrate the information resources of the supervision of hazardous chemicals of relevant departments, establish a large database, and form a comprehensive information platform for government construction management, enterprise declaration information, data co construction and sharing, and departmental division of labor supervision.
（5） Enhance service capacity and guide petrochemical industry to expand investment
We will strengthen the docking of fiscal, tax, financial, trade and other policies with industrial policies, implement bank enterprise docking and industry finance cooperation policies, and increase financing support for key enterprises and projects. We will increase support for the relocation and transformation of hazardous chemical production enterprises, the upgrading of petrochemical industry technology, the pilot of intelligent manufacturing, the intelligent chemical industry park, the development of high-end products, green and safe production, and the construction of public service platforms.
(6) one belt, one road, to enhance the "going out" level of the industry.
We should actively promote one belt, one road, and other key industries such as tires, fertilizers, chlor alkali and other countries to carry out international capacity cooperation. According to the project list proposed by the country, organize enterprises to conduct targeted docking with the industries of the other country. Encourage enterprises to adopt different modes to unite and "go out". We will improve the fiscal and tax support policies, establish a coordination mechanism between petrochemical enterprises, financial institutions and insurance institutions, and address the financing needs of enterprises' overseas development.
