Sinopec Shanghai Petrochemical Overview
Shanghai Petrochemical, formerly established in 1972 and restructured into a joint-stock company in 1993, is the first domestic refining and chemical enterprise listed in A-shares, H-shares, and New York (600688/00338/SHI). Located in Jinshan District, Shanghai, it is a large-scale integrated refining and chemical enterprise with an annual crude oil processing capacity of 16 million tons and an ethylene production capacity of 700,000 tons. It has its own supporting utilities and a complete water and land logistics system.
History
1972: Shanghai Petrochemical General Plant (local state-owned enterprise)
1993: Restructured into a joint-stock company and listed in three markets
Around 2000: Sinopec Group restructured, incorporating Shanghai Petrochemical into its portfolio as a holding subsidiary, a status it retains to this day.
Business Positioning
Sinopec Headquarters: Responsible for overall strategy, resource allocation, crude oil procurement, sales network, brand, and financial management.
Shanghai Petrochemical: Responsible for specific production and operation—16 million tons/year of oil refining, 700,000 tons/year of ethylene, synthetic resins, synthetic fibers, carbon fiber, etc., it is a core production unit in the downstream of Sinopec's industrial chain.
Sinopec is the parent company (group), and Shanghai Petrochemical is its most important integrated refining and chemical base in East China.
Production Base
Shanghai Petrochemical is Sinopec's super-large integrated core production base in the Yangtze River Delta, but it is an independently listed legal entity, not just a simple factory.
Full Industrial Chain Production: Crude oil intake → oil refining → ethylene → plastics, chemical fibers, new materials—all self-produced. It is Sinopec's most important refining and chemical base in East China.
Raw materials are procured by Sinopec, and most products are sold through Sinopec's unified sales system (domestic + export). Investment planning, equipment overhauls, safety and environmental protection, and capacity expansion are all subordinate to the overall industrial layout of Sinopec headquarters.
Shanghai Petrochemical's Export Products:
C5 series, synthetic resins, synthetic fibers, refined oil/aromatics; among them, C5 is the star export product, resin/fiber volume is stable, and refined oil is a supplement. I. C5 Series (Main Export Force, High Growth)
Representative Products: Isoprene, Isoprene, C5 Petroleum Resin, Dicyclopentadiene (DCPD).
Characteristics: Exports in Q1 2026 increased by 26% year-on-year, mainly to Europe, America, Singapore, and Mexico; increased direct sales to factory customers.
Applications: Rubber, adhesives, coatings, tires, pharmaceutical intermediates.
II. Synthetic Resins (Large Volume, Mainly Southeast Asia)
HDPE/High-Density Polyethylene: Films, geomembranes (ML2202), injection molding; exported to Malaysia, Vietnam, and Thailand.
PP/Polypropylene: Filament, injection molding, fibers; Middle East, Africa, and Southeast Asia.
Polyvinyl Alcohol (PVA): Textile sizing agents, adhesives; along the Belt and Road Initiative.
III. Synthetic Fibers (High-End, Stable Exports)
Acrylic Staple Fiber (Bright/Antibacterial/Flame Retardant): High-end clothing, home textiles, wigs; Vietnam, Egypt, and Thailand.
Polyester Fiber (PET): Textiles, fillers; Southeast Asia and the Middle East. Carbon fiber (large tow 48K/60K): Wind power carbon beams, mainly in Europe.
IV. Refined Oils and Aromatics (Supplementary Exports, Refinery By-products)
#0 Exported diesel and aviation kerosene: Southeast Asia and Africa, produced according to international standards.
Toluene and o-xylene: Solvents and chemical raw materials, Japan, South Korea, and Southeast Asia.
Asphalt (Donghai brand): Road construction, along the "Belt and Road" initiative.
V. Other Small-Batch Exports
C9, petroleum coke, liquefied petroleum gas (LPG), etc.
Corporate Development Strategy
Following Sinopec's "reducing oil consumption and increasing chemical production, upgrading to new materials" strategy, we will promote green and low-carbon transformation, gradually shifting from traditional refining and chemical production to high-end new materials and eco-friendly chemical industrial parks, and increasing investment in high-value-added products such as carbon fiber and fine chemicals.
