BEIJING, March 31 (Xinhua) — Experts believe the joint reorganization of Sinochem and Sinochem will promote high-quality development of the chemical industry
Xinhua News Agency reporter Yu Wenjing, Wang Xi
China’s Sinochem Group Co., Ltd. and China National Chemical Group Co., Ltd. (ChemChina) jointly restructuredwith the approval of the State Council on Wednesday. Industry experts believe that this is conducive to integrating resources, giving play to synergies, building a world-class comprehensive chemical enterprise, and promoting the high-quality development of China’s chemical industry.
It is understood that Sinochem Group is a leading integrated operator of petroleum and chemical industry, agricultural inputs and modern agricultural services, and has a strong influence in urban development and operation and non-bank financial fields; China national chemical group is a professional chemical company, with new chemical materials and special chemicals, agricultural chemicals, petroleum processing and refining products, rubber tires, chemical equipment and scientific research and design business segments. In the joint reorganization, a new company was set up by the State-owned Assets Supervision and Administration Commission on behalf of the State Council to perform the role of investor, and Sinochem Group and ChemChina were integrated into the new company.
In recent years, international chemical giants have promoted restructuring and integration one after another. Developed economies in the world all have large comprehensive chemical enterprises, which play an important leading role in basic chemical research and development, new product creation and value creation of industrial chain.
Experts believe that China is a major chemical country in the world, but the market players are scattered and the industry aggregation effect is weak. Sinochem has a research in the field of chemical production and sales integration advantages, China’s chemical industry has a good base for chemical industry and research and development base, the joint reorganization helps build industry leading comprehensive chemical group, accelerate chemical industry supply side structural reform and transformation and upgrading of industry, and is helpful to optimize enterprise resource allocation, form the industrial chain of organic synergy complement each other, strengthen technology r&d and innovation ability.
Li Shousheng, president of the China Petroleum and Chemical Industry Federation, said that the world chemical industry is undergoing profound changes, with regional cooperation and globalization advancing in coordination, and innovative development and green development interwoven. At present, China lacks large enterprises with international competitive advantages, which is a short board for China to leap from a major petrochemical country to a powerful country. The implementation of the joint reorganization will accelerate the enhancement of the core competitiveness of China’s petroleum and chemical industries.
Experts also believe that the joint reorganization will not only lead to the high quality development of the chemical industry, but also provide better products and services to the market. For example, in construction, transportation, the new generation of information industry and other application fields, to break the bottleneck of key materials, to provide comprehensive solutions of chemical materials; In the agricultural field, it provides a high level of agricultural materials and integrated agricultural services. In the field of chemical environmental protection, we will vigorously promote energy conservation and emission reduction.
It is understood that last year, Sinochem Group and ChemChina’s agrochemical business integration, the establishment of Syngenta Group, through comprehensive cooperation to create the world’s leading agrochemical business, including seeds, pesticides, fertilizers and comprehensive services for the planting industry, but also for the breeding industry supporting feed additives. In the first half of 2020, all Syngenta Group business units achieved core business sales growth.
, deputy director of the institute of science and technology development strategy of Chinese Academy of Sciences, wang said the restructuring is helpful for enterprises to further increase investment in r&d, promoting innovation system optimization combination, promote the subordinate institutions innovation resources integration, better to play a leading role in technology innovation, industry, establish in the pillar position of strategic emerging industries, for high-level industrial base and modern supply chain and the industry chain as a whole development play a more important role.