BayiChem is grabbed, and domestic manufacture of nitrochlorobenzene will drop

On December 28, 2020, it had been reported that Anhui Bayi Chemical Co., Limited. ("Bayi Chemical"), the biggest domestic manufacturer of nitrochlorobenzene, was suspected of manufacturing hazardous chemicals with no license. The enterprise safety production license expired on November 6, 2020 and it was cancelled. The applying for renewal wasn't approved.

Knowing in the reporter’s visit on December 23 and 24, 2020, Bayi Chemicals insiders still claim that they're "forever in production." Simultaneously, a number of hazardous chemical vehicles frequently go into the factory area, and they're placed while watching logistics door. Their email list also implies that many hazardous chemicals are now being shipped out. Based on incomplete statistics, the hazardous chemicals suspected to become created and utilized by Bayi Chemical include p-nitrochlorobenzene (known as "p-nitro" in the market), p-aminophenol, p-nitrophenol, muriatic acidity, chlorobenzene, and pure benzene., Gasoline, diesel, etc., these chemicals have been in the nation's hazardous chemicals catalog.

Around the second next day of the report, on December 29, 2020, the Bengbu Emergency Management Bureau has sealed the inlet of Bayi Chemical’s production equipment. At the moment, only Bayi Chemical is permitted to eat stock materials and can't add new materials. Following the stock materials are consumed, the next phase of dismantling will proceed.

Based on the Bengbu City’s “Delisting and Entering the Park” plan, Bayi Chemical’s old plant on Tushan Road ought to be fully closed through the finish of 2020, and it is hazardous chemical production safety license expired on November 6 this past year and it was cancelled., The applying for renewal wasn't approved, and also the reason provided by the Emergency Management Department of Anhui Province was "there aren't any conditions for safe production."

It's understood that because of the impact from the epidemic, Bayi Chemical's new plant in Mohekou Industrial Park in Bengbu City couldn't be completed as scheduled. Later on, there might be production gaps in producing that old plant and also the moving from the new plant.

Nitrochlorobenzene is a vital intermediate in producing pesticides and pharmaceuticals. The domestic annual production capacity of nitrochlorobenzene is all about 830,000 tons, and also the market dimensions are about 6 billion yuan. Bayi Chemical may be the largest domestic manufacturer of the product. Based on CICC's November 2020 research report, Bayi Chemical comes with an annual production capacity of 320,000 tons, comprising roughly 39%.

In November this past year, CICC stated inside a research are convinced that the cost increase of p-nitrochlorobenzene is anticipated to carry on before the first 1 / 2 of 2021. Lately, Bayi Chemical continues to be being built because of the aging of their equipment. The phased Bayi Chemical isn't just not able to market p-nitrochlorobenzene, but must also obtain the marketplace to create the pharmaceutical intermediate p-aminophenol.

CICC idol judges the fastest here we are at the brand new Bayi chemical plant to become put in operation come in the 2nd quarter of 2021. The present cost increase cycle will begin in September and it is likely to last before the first 1 / 2 of the coming year. The cost of p-nitrochlorobenzene is believed to improve by 1,000 yuan/ton.

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