The Import and Export of Chinese Paraffin Wax
China is the world's largest paraffin-based petroleum resource reserves and paraffin-producing country. Its total paraffin export volume is about 40% of total domestic production.
The export volume in 2012 was 464,000 tons, and in 2013 it was 497,200 tons, the output in 2014 was 481,400 tons, the total amount of paraffin exports in the first quarter of 2015 was 169,000 tons, which is a significant increase of 43.95% over the same period.
The main reason for the increase in exports: Affected by the low profit of the lubrication oil, some US refineries has canceled the production of some low-end lubricants, resulting in a sharp decline in the paraffin wax and an increase in demand for paraffin wax in China.
China is a global paraffin wax production and exporting country, so the import of the same quality paraffin is very small. Basically, it has no impact on the domestic market. In the first quarter of 2015, the amount of paraffin wax was only 1688 tons, decreasing 27% year-on-year.
However, the import of low-quality paraffin wax has gradually increased in recent years, mainly due to the large price advantage of resources in the Middle East and other regions, and the slow increase in domestic demand.
In addition, domestic resources are concentrated in PetroChina and Sinopec refineries, and there is a lack of low-end raw materials and products at low prices. The main importing countries are from Iran, the United Arab Emirates, Indonesia, Singapore, Thailand, etc.
However, in 2019, Chinese paraffin wax price is kept in a relatively low level. For example, the fully refined paraffin wax 56 from Ffaith is 880$/T. The oil content is only about 0.5%. So for many applications, Chinese paraffin wax is also a better choice.