By the first half of 2022, the production capacity of Xinfengming polyester filament yarn is 6.3 million tons, making it one of the largest polyester filament yarn manufacturers in China. Polyester staple fiber production capacity of 600,000 tons, polyester staple fiber production is the company focus on polyester filament at the same time active horizontal expansion, into a new stage of development. At the same time, on the basis of Dushan Energy's PTA capacity of 5 million tons, the company has planned a reasonable PTA capacity of 4 million tons, constantly developing the integrated layout, providing a strong and stable supply of raw materials for the company's polyester production.
New Fengming will achieve polyester filament and PTA "two 10 million tons" of development goals
From the vertical perspective, Xinfengming has opened up a complete industrial chain from upstream PTA to polyester filament. PTA is the main raw material of polyester filament. 1 ton of polyester filament requires approximately 0.855 tons of PTA. The opening up of the industrial chain reduces the cost of raw materials, stabilizes the price and cost of raw materials, and demands profits from all links in the industrial chain.
From a horizontal perspective, based on polyester filament, Xinfengming entered the staple fiber field for the first time in 2021, putting into production a 600,000-ton staple fiber project. From the perspective of polyester demand, in addition to polyester filament, staple fiber is the biggest demand, basically about 10 million tons of social total engineering quantity. From the point of view of the process, short fiber and filament process to maintain 80-90% of the similarity, the industry has a deep accumulation of new Fengming, technical barriers are not high. In terms of business development, we can also continuously dig into the original customer demand and reduce the cost of developing new customers. In addition, with the subsequent production of new PTA capacity, self-produced PTA can be consumed.
From the capacity layout time, the advantage of late help the company to achieve the corner overtaking. Among the 23 sets of melt direct spinning production lines owned by Xinfengming, 21 sets of melt direct spinning production lines have been put into operation since 2010. Compared with domestic devices, Xinfengming enjoys obvious advantages in production efficiency, production stability, material consumption and other aspects. PTA was completed in 2019. The first and second phase of Dushan Energy adopted the latest generation PTA technology of BP Company, and its energy consumption and material consumption level improved significantly. For the third phase of the future project, New Fengming will choose the British Koch technology, which is expected to reduce the cost space in terms of variable cost optimization, environmental protection and investment benefits.
In terms of labor costs, the company leverages the "5G+ industrial Internet platform" to build smart factories. Through machine replacement to reach the "black light workshop" standard, the level of automatic production continues to improve, greatly improve the production efficiency. From 2014 to 21, the company's polyester filament production capacity increased from 1.7 million tons to 6 million tons; PTA project from scratch, 5 million tons of production capacity reached full production; At the same time, it entered the field of staple fiber, and horizontally expanded the staple fiber production capacity of 600,000 tons. The number of employees increased from more than 6,000 to more than 10,000, and the unit labor cost was constantly reduced.
According to the strategic planning of new Fengming, during the 14th Five-Year Plan, polyester filament and PTA will be realized "two 10 million tons" of development goals.
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