Western China is likely to be the focus for development of the petrochemical sector in future, Bang Han-hong, president of Korea Petrochemical Industry Association (KPIA) said at the 12th edition of the Korea-China Petrochemical Conference, which concluded in Xi’an city in China’s Shaanxi province.
The recent changes in the market due to availability of North American shale-gas based low-price products necessitate the Korean and the Chinese petrochemical sector to come up with solutions for new base material diversification and measures for increased cooperation between the Chinese and Korean petrochemical sectors, Mr. Bang said at the conference, Business Korea reported.
Mr. Bang, who is also president of Hanwha Chemical, said not only Xi’an, but also Chongqing and Chengdu would be central to the development of petrochemical sector in Western China.
He added that right investment cooperation between the two countries can make the region the next leader in the petrochemical industry.
He suggested that Korea and China must create an active environment for trade through specialization structures and joint investments. He said the cheap logistics cost between the two countries can also help in vitalizing the Western Chinese region.
The Korea-China Petrochemical Conference is held biannually, and is hosted by both the countries on a rotation basis.
In addition to the rise of shale gas and development of the Western Chinese region, this year’s conference discussed strategies for investments and business expansions in China, especially in view of the ongoing Korea-China FTA negotiations, and future outlook of the petrochemical industry.
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