Multiple Enterprises Enter the Market, Polymethyl Methacrylate (PMMA) Gains Popularity Again

In recent years, with the breakthroughs in domestic independent technologies and the substantial growth in demand for high-end markets, a number of Polymethyl Methacrylate (PMMA) projects have made substantial progress in capacity expansion, technological iteration, and industrial chain extension, driving the accelerated transformation of China's PMMA industry towards high-end and green development. The following is an analysis of the project dynamics and market trends of benchmark significance in the industry in 2025:

I. Concentration of Major Projects and Accelerated Release of High-end Capacity

Zhejiang Petrochemical's 180,000 Ton/Year PMMA Project Enters the Final Stage Before Production

Zhejiang Petrochemical Co., Ltd. has the world's largest single-line optical-grade PMMA production unit (60,000 tons/year). At present, the core equipment installation of this unit has been completed, and it is planned to be officially put into production by the end of 2025. The project adopts the continuous bulk polymerization process jointly developed by the Quzhou Institute of Zhejiang University and Zhiying Petrochemical. The product has a light transmittance of 92% and a haze of ≤ 0.8%. Its key indicators are benchmarked against the Degalan series of Evonik (Germany). After putting into production, it will fill the gap in China's reliance on imports in the fields of high-end display light guide plates and automotive lidar covers. After the project is put into production, Zhejiang Petrochemical's total PMMA capacity will reach 180,000 tons/year, making it one of the world's largest single PMMA production bases.

Groundbreaking Ceremony Held for the 2.5 Billion Yuan Optical-grade PMMA Project in Pengzhou, Chengdu

On May 11th, the optical-grade polymer new material project led by the team of Academician Zhang Suojiang from the Institute of Process Engineering of the Chinese Academy of Sciences was officially launched in the Pengzhou Economic and Technological Development Zone, Chengdu, with a total investment of 2.5 billion yuan. The project adopts the independently developed continuous bulk polymerization method. Through the optimization of molecular structure, it has achieved an optical purity of 99.99% and a light transmittance of 93%, reaching the industry-leading level. Its products will be directly applied to high-value-added fields such as aviation transparent armor and medical equipment. After the first phase of the project reaches its designed capacity, the annual revenue is expected to reach 800 million yuan; the second phase will extend to the manufacturing of optical lenses and liquid crystal light guide plates, forming an industrial chain closed loop of "material-component".

Shuangxiang Co., Ltd. Consolidates Its Leading Position Through Capacity Expansion

Shuangxiang Co., Ltd. is the first domestic-funded enterprise in China to realize large-scale mass production of high-end optical-grade PMMA. Relying on the advantages of the continuous bulk polymerization process, the revenue of its PMMA/MS material sector increased by 35.21% year-on-year in the first half of 2025, and the gross profit margin rose to 18.69%. At present, Shuangxiang Co., Ltd.'s production bases in Chongqing and Suzhou have an optical-grade PMMA capacity of 155,000 tons/year. With the advancement of the 300,000 ton/year second-phase project, the total capacity is expected to exceed 300,000 tons by 2026, further squeezing the market share of international manufacturers such as Mitsubishi Chemical (Japan) and Chi Mei (Taiwan, China).

II. Technological Breakthroughs Reshape the Industry Pattern, and Domestic Substitution Accelerates in an All-round Way

Industrial Breakthrough Achieved in Coal-based MMA Technology

The 10,000-ton coal-based methanol-acetic acid to methyl methacrylate (MMA) project developed by the Institute of Process Engineering of the Chinese Academy of Sciences was successfully commissioned in Hami, Xinjiang. This project has become the world's first industrialized MMA production unit using a non-petroleum route. Through the aldol condensation-hydrogenation process, this technology converts acetic acid (a by-product of coal chemical industry) into MMA. Compared with the traditional isobutylene oxidation method, the raw material cost is reduced by 12% and carbon emissions are reduced by 20%, providing a low-carbon and independent raw material supply path for the PMMA industry.

Accelerated Standardization Process of Recycled PMMA

The national standard "Plastics - Recycled Plastics - Part 12: PMMA Materials" has entered the verification test stage and is expected to be released in November 2025. This standard clearly specifies for the first time that recycled PMMA must meet indicators such as light transmittance ≥ 90% and impact strength ≥ 18 kJ/m², which will promote the standardized development of the waste acrylic recycling industry. As the enterprise with the largest recycled MMA capacity in China (15,000 tons/year), Ronglian Recycling Technology has passed the ISCC PLUS certification for its chemical recycling technology, and its products have been used by LG Display (South Korea) in the manufacture of liquid crystal light guide plates.

Optical Performance Indicators Set New Industry Records

Projects such as Zhejiang Petrochemical and Pengzhou (Chengdu) have optimized their processes to increase the light transmittance of PMMA to 93%, achieving a further breakthrough compared with traditional products (with a light transmittance of 92%), which can meet the strict requirements of Augmented Reality/Virtual Reality (AR/VR) devices for materials with high light transmittance and low birefringence. At the same time, the Zhejiang Huashuai Te Aviation PMMA project has overcome the problems of core indicators such as optical distortion and heat distortion temperature. Its products have passed the preliminary test of Commercial Aircraft Corporation of China, Ltd. (COMAC), and it is expected that after being put into production in 2026, it will break the monopoly of Röhm (Germany) in the field of aviation transparent materials.

III. International Giants Adjust Their Strategies, and Local Enterprises Seize the High Ground

Röhm Accelerates Its Capacity Layout in China

The expansion project of Röhm Group (Germany)'s PMMA molding compound factory in the Shanghai Chemical Industry Park was put into production in 2023, with an additional capacity of 30,000 tons/year, increasing its total capacity in China to 100,000 tons/year. Faced with the explosive growth of China's new energy vehicle market, Röhm has developed high-fluidity PMMA materials (such as PLEXIGLAS® 7N) in a targeted manner, which are suitable for complex structural parts such as through-type taillights and lidar covers. Its sales in China increased by 18% year-on-year in the first half of 2025.

Mitsubishi Chemical Launches Localization Transformation

In response to the ecological protection policy along the Yangtze River, Mitsubishi Chemical will relocate its Nantong PMMA factory to the South District of the Economic and Technological Development Zone. The new factory has a capacity of 60,000 tons/year and is planned to be put into production in 2028. During the relocation process, Mitsubishi Chemical will upgrade its production process simultaneously and introduce an Artificial Intelligence (AI) quality control system, which will increase the batch stability of products by 30%. Its target market is locked in the fields of Organic Light-Emitting Diode (OLED) displays and high-end lighting in the Yangtze River Delta region.

The Export Competitiveness of Local Enterprises Has Been Significantly Enhanced

Driven by the accelerated advancement of domestic substitution, China's PMMA imports decreased by 10.7% year-on-year to 162,800 tons in 2024, while exports increased by 46.2% against the trend to 54,000 tons. The optical-grade PMMA products produced by enterprises such as Zhejiang Petrochemical and Shuangxiang Co., Ltd. have passed the certification of international institutions such as SGS (Societe Generale de Surveillance) and UL (Underwriters Laboratories). Their export prices are 8%-12% lower than those of LG Chem (South Korea), and they are rapidly replacing imported products in the Southeast Asian and Middle Eastern markets.

IV. Market Trends and Strategic Suggestions

Intensified Structural Differentiation of Demand

• High-end Field: The demand for foldable smartphone covers, AR/VR devices, etc., has driven the price of optical-grade PMMA up to 22,000 yuan/ton, a premium of 32% compared with ordinary-grade products.
• General Field: Affected by the sluggish real estate market, the price of PMMA sheets for advertising and decoration has dropped by 15% year-on-year, and the industry is facing reorganization and reshuffling.

Suggestion: Traders should focus on high-margin products such as optical-grade and medical-grade PMMA, and build a differentiated product line. For example, they can act as agents for the combined solution of Zhejiang Petrochemical's optical-grade particles and Pengzhou (Chengdu)'s aviation materials.

Regional Reconstruction of the Supply Chain

Geopolitical factors have promoted the concentration of the global PMMA supply chain towards regionalization. International manufacturers such as Röhm and Sumitomo Chemical are accelerating their layout in China; local enterprises are building cost advantages through the vertical integration of the industrial chain of "coal-based MMA - high-end PMMA - recycled materials". Taking Shuangxiang Co., Ltd. as an example, relying on the MMA project of Chongqing Yixiang Chemical (a subsidiary of its controlling shareholder), the enterprise has increased its raw material self-sufficiency rate to 70%, and its cost is 1,000-1,500 yuan/ton lower than that of its peers.

Suggestion: Traders should establish a procurement network with "domestic supply as the mainstay and international supply as a supplement", focus on connecting with leading enterprises such as Zhejiang Petrochemical and Shuangxiang Co., Ltd., and at the same time pay attention to the release rhythm of the new capacities of Röhm and Mitsubishi Chemical.

Green Certification Becomes a Necessity for Export

The European Union's Carbon Border Adjustment Mechanism (CBAM) and the policies related to recycled materials issued by various countries have forced the industry to transform towards green development. Wanhua Chemical's PMMA products have obtained the ISCC PLUS certification, with the proportion of recycled components reaching up to 30%; the chemically recycled PMMA of Ronglian Recycling Technology has passed the UL Environmental Declaration verification, and its carbon footprint is 45% lower than that of virgin materials.

Suggestion: Export-oriented traders should give priority to acting as agents for products certified by ISCC, Environmental Product Declaration (EPD), etc., and make preparations in advance for compliance when entering the European Union and North American markets.

V. Outlook on Future Capacity and Technology

It is expected that from 2025 to 2027, the new domestic PMMA capacity will exceed 1 million tons, among which the proportion of optical-grade products will increase from the current 15% to 35%. With the commissioning of projects such as Zhejiang Petrochemical and Pengzhou (Chengdu), China's high-end PMMA capacity is expected to reach 28% of the global total capacity by 2027, completely reversing the situation of "oversupply of low-end capacity and reliance on imports for high-end products". In terms of technology, technologies such as continuous bulk polymerization, chemical recycling, and coal-based MMA will become the mainstream of the industry, promoting the leapfrog development of the PMMA industry towards low-carbonization and high value-added.