The chemical management resources company that focuses on consulting the petrochemical industry in the Middle East said that the newly added 52 million tons/year of production capacity in the Middle East will be built mainly in countries such as Saudi Arabia, Kuwait, Bahrain, Qatar, UAE and Oman. The production capacity of petrochemical products increased to 125 million tons per year. At the same time, Iran’s petrochemical production capacity will increase to 47 million tons per year. The total capacity of GCC and Iran's petrochemical products will reach 172 million tons/year. The company expects that from 2011 to 2015, the production capacity of major petrochemical products in the Middle East will increase at an average annual rate of 9%, which will increase the export volume of GCC petrochemical products by 50% in 2015 to approximately 19 million tons. Experts from the Gulf Petrochemical and Chemical Industry Association said that for the sustainable competitive advantage of the petrochemical industry in the Middle East, it is extremely important to expand the supply chain.
In 2010, the surge in the production of petrochemical products in the Middle East was mainly due to the commissioning of six major projects: the Yansab Industrial Complex Project in Saudi Arabia, the related projects of the Saudi Eastern Petrochemical Company and the Kayan Company; the Ras Lavan Olefin Project in Qatar; the UAE The Borouge II project and Iran's Morvarid (also known as olefin 5) petrochemical project.
The Gulf Petrochemical and Chemical Industry Association has conducted major research on the supply chains of major petrochemical products in the Middle East, including olefins, methanol, benzene, para-xylene, polyvinyl chloride and methyl tert-butyl ether. Research shows that from 2009 to 2015, Saudi Arabia’s share of petrochemical exports in the Middle East will drop by 9% to 45%, while UAE’s share of exports will increase the most, mainly due to Botswana and Singapore’s headquarters. The company’s multi-million-ton capacity expansion project and ChemaWEyaat’s investment project will drive the project to be fully operational by 2015 in Abu Dhabi’s project plan.
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