Dawn co., ltd. acquires sk system assets for 516 million! tongyi investment builds polyethylene fiber project! toray launches antistatic abs

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This week, the chemical and new materials sectors have seen frequent developments, with companies making strategic adjustments, expanding production capacity, and achieving technological breakthroughs.

In terms of corporate dynamics, ADNOC's subsidiary XRG has completed the acquisition of Covestro, the reorganization plan of Ascend has been approved by the court, and a subsidiary of Huayi Group has ceased production due to environmental issues.

In terms of capacity layout, Dawn Group has acquired an 80% stake in Ningbo Aisikai to strengthen its EPDM raw material supply chain, while Tongyi Zhong plans to invest 198 million yuan to construct a ultra-high molecular weight polyethylene fiber project. Meanwhile, the delay in the commissioning of two world-class ethylene plants reflects the supply and demand pressure in the global market.

In the field of material innovation, Toray has launched high-performance anti-static ABS resin, Japan I.S.T has conquered space-grade transparent polyimide film technology, and Mitsubishi Chemical has completed the development of a new grade of polypropylene recycled material.

The application sector is vibrant, with BASF and Weilan New Energy releasing solid-state battery packs, Covestro exploring the recycling of medical waste plastics, and SSOCO assisting in the mass production of electric aircraft. For more in-depth information, please pay attention to this issue's industry dynamics analysis.

Enterprise News

ADNOCUnder XRGCompleted the acquisition of Covestro, marking the beginning of a new journey in strategic cooperation.

Recently, the investment group XRG P.J.S.C., headquartered in Abu Dhabi (formerly ADNOC International Limited and its subsidiaries, hereinafter referred to as XRG), has officially completed the voluntary public acquisition of Covestro AG, marking an important step in its journey to become one of the world's top three chemical investment companies. XRG confirmed the completion of the acquisition and signed all relevant agreements after obtaining approval from the relevant regulatory authorities. As part of the transaction, XRG injected 1.17 billion euros into Covestro through a planned capital increase to strengthen the financial position of this German manufacturer under the new equity structure.

Daon Co., Ltd. 5.16Acquisition of SK for 10 billion yuan.System assets

On the evening of December 10, 2025, Dawn Holdings announced that it plans to use 516 million yuan of its own funds to acquire 80% equity of Ningbo SK Synthetic Rubber Co., Ltd., held by SK Hong Kong, a subsidiary of South Korea's SK Group. Ningbo SK is an enterprise focused on the research and production of ethylene propylene diene monomer (EPDM), which is the core raw material for Dawn Holdings' dynamic vulcanization platform products.

In the follow-up arrangements after the transaction, SK Group also plans to transfer patents, proprietary technologies, and trademarks related to Ningbo Aisikai products to Dawn Co., Ltd., with the transfer price for this intellectual property not exceeding 64.7 million yuan.

Ascend Performance Materials Company announces that its restructuring plan has been approved.

Ascend Performance Materials is a globally renowned producer of high-performance durable chemicals and engineering materials, with products widely used in everyday life and emerging technologies. On December 9th, the company announced that the U.S. Bankruptcy Court for the Southern District of Texas has approved the company's Chapter 11 reorganization plan. This development is a significant milestone in the company's successful completion of the Chapter 11 reorganization process in the coming weeks, during which the company's debt will be significantly reduced and the capital structure will be more robust, laying a solid foundation for future development.

Huayi Group: A controlled subsidiary has been ordered by the government to suspend production due to environmental issues.

On December 10, Huayi Group (600623.SH) announced that its subsidiary Shanghai Huayi Sanai New Materials Co., Ltd.'s affiliated enterprise Inner Mongolia Sanai Fu Marriott Fluorochemical Co., Ltd. (Marriott Company) recently received a production suspension notice from the People's Government of Fengzhen City. The notice decided to implement a production halt across the entire plant to eliminate risk hazards and ensure the quality of the ecological environment.

Kuraray announces sale! Domestic optical PMMADragon Head Takes Over

On December 8, Corel Corporation announced that it has decided to transfer all shares of its wholly-owned subsidiary, Corel Acrylic (Zhangjiagang) Co., Ltd., to Jiangsu Shuangxiang Group Co., Ltd., and has signed a share transfer agreement. The transfer is expected to take place between mid-February and early March 2026. Corel stated that Corel (Zhangjiagang) Co., Ltd. has been engaged in the business of cast acrylic sheets for methyl methacrylate resin in the Chinese market since its establishment in 2004, primarily targeting the high-end acrylic bathtub market. At the same time, the company also serves as the supply base for cast sheets in the Japanese market.

Rongsheng Petrochemical's subsidiary plans to transfer 100% of Rongsheng Energy.

On December 8, Rongsheng Petrochemical (002493.SZ) announced that, based on strategic focus considerations, its wholly-owned subsidiary Rongsheng New Materials (Zhoushan) Co., Ltd. (referred to as Rongsheng New Materials (Zhoushan)) intends to transfer 100% of its equity in Rongsheng Energy (Zhoushan) Co., Ltd. (referred to as Rongsheng Energy (Zhoushan)) to Zhejiang Rongsheng Holding Group Co., Ltd. (referred to as Rongsheng Holding). Upon completion of this transaction, Rongsheng New Materials (Zhoushan) will no longer hold equity in Rongsheng Energy (Zhoushan), and Rongsheng Energy (Zhoushan) will no longer be included in the company's consolidated financial statements.

Tongyi Zhongni Jin 2Invest billions to build a high-performance polyethylene fiber project.

On the evening of December 9, Tongyizhong announced that the company plans to use its own funds or raise approximately RMB 198 million to construct an industrialization project with an annual production capacity of 2,400 tons of ultra-high molecular weight polyethylene fiber. The company stated that this move aims to expand the product's application value in fields such as safety protection, high-end textiles, marine engineering, healthcare, and humanoid robots, and to cultivate diversified profit growth points. This project aligns with national policies and the company's strategic development needs, is conducive to fully utilizing resources, improving the company's future operating performance, and contributes to the company's long-term development.

Bohai Petrochemical 100%The equity will be sold.

Recently, Bohai Chemical announced that the company is planning to sell 100% equity of Bohai Petrochemical and to acquire the controlling interest of TEDA New Material through the issuance of shares and cash payments (hereinafter referred to as the transaction). Based on preliminary calculations, the transaction is expected to constitute a significant asset restructuring as stipulated by the "Administrative Measures for Major Asset Restructuring of Listed Companies." This transaction will not change the actual controller of the company and does not constitute a restructuring listing. According to the "Shanghai Stock Exchange Stock Listing Rules" and other relevant regulations, the transaction constitutes a related party transaction. As the transaction is still in the planning stage, there are uncertainties regarding relevant matters. In order to protect investors' interests and avoid abnormal fluctuations in stock prices, according to the relevant regulations of the Shanghai Stock Exchange, upon the company's application, the company's stock will be suspended from trading starting on December 8, 2025, with the suspension expected to last no more than 10 trading days.

Capacity Dynamics


Maoming Petrochemical adds new project layout 14.High-end polyolefins, etc.

On December 8, the Maoming High-tech Industrial Development Zone Government website announced major project developments, including plans for the ethylene quality enhancement project. The original approved plan for the ethylene quality enhancement project includes the construction of a 400,000 tons/year high-density polyethylene (with reserved capacity for metallocene polyethylene), 200,000 + 300,000 tons/year polypropylene, 240,000 tons/year hydrogen peroxide, 300,000 tons/year propylene oxide, and 500,000 tons/year ABS, as well as corresponding utilities and auxiliary facilities.

Lianhong Gerun: Successful startup with one batch of feed!

On December 8th at 3:40 AM, with the successful production of qualified EVA resin pellets, Lianhong Green's 200,000-ton/year EVA plant completed the entire process, achieving a successful first-time start-up. The Lianhong Green 200,000-ton/year EVA plant utilizes LyondellBasell's LUPOTECH TS tubular reactor technology, producing 200,000 tons of ethylene-vinyl acetate copolymer resin pellets annually. It operates with flexibility ranging from 70% to 110% and offers 13 product grades. The products are primarily used in injection molded products, medical devices, pharmaceutical and food packaging, agricultural films, and photovoltaic materials.

"Aggregation Order"Annual production of 8Ten thousand tons of new nylon material (Nylon 66)"Project"Postponed to 2026December

On December 10, 2025, Juhe Shun announced that the net proceeds from the company's "Heshun Convertible Bonds" amounted to 331.6652 million yuan, which will be used for the "Annual Production of 50,800 Tons of Nylon New Material Construction Project" and the "Annual Production of 80,000 Tons of Nylon New Material (Nylon 66) Project." Among them, the "Annual Production of 80,000 Tons of Nylon New Material (Nylon 66) Project" will be implemented by the company's holding subsidiary, Shandong Juhe Shun New Material Co., Ltd. The planned investment is 424.4771 million yuan, with 176.6264 million yuan of net proceeds from the convertible bonds intended for use, sourced from funds raised through convertible company bonds.

Two world-class ethylene projects have delayed their commissioning!

Recently, Chevron announced that its joint venture with Phillips 66, Chevron Phillips Chemical (CPChem), is advancing two world-class petrochemical facilities that are expected to be operational in 2027. The projects were originally scheduled to start production in 2026, but both have been delayed.

CP Chemical and Qatar Energy are collaborating on two major projects: one is an $8.5 billion ethylene and high-density polyethylene (HDPE) joint facility located in Orange, Texas, USA; the other is a $6 billion integrated petrochemical complex in Ras Laffan, Qatar. The Texas project has an annual production capacity of 2.1 million tons in its ethane cracking facility and two HDPE units, each with a capacity of one million tons. The Qatar project is equipped with a 2.1 million tons per year ethane cracking facility and two HDPE units with a combined capacity of 1.68 million tons per year. Once operational, the two projects will add 4.2 million tons per year of ethylene and 2.68 million tons per year of HDPE capacity to the global market, which is currently characterized by oversupply and weak demand. They will leverage inexpensive ethane feedstock from U.S. shale gas and Qatar's North Field to create a cost advantage.

This 12Ten thousand tonsYear POEThe device is undergoing trial operation!

Currently, Mitsui Chemicals' 120,000-ton/year Tafmer polyolefin elastomer (POE) plant located on Jurong Island, Singapore is undergoing trial operations, with commercial operations set to begin in the second half of Mitsui's fiscal year, which is March 2026.

Celanese Nanjing Modified Composite Engineering Materials Expansion Project Successfully Commences Commercial Operation

In 2021, Celanese announced the expansion of the modified composite engineering materials capacity in Nanjing, China, which has now been completed. This strategic expansion enhances the existing composite materials production capability at the Nanjing plant, demonstrating the company's commitment to providing reliable, high-quality solutions to global customers while meeting the growing demand for advanced engineering materials in key industries.

Innovative Materials

Expected in 2026Annual ProductionJapan I.S.TConquering Space-Grade Transparent Polyimide Film

Recently, Japan's I.S.T company achieved a significant breakthrough with its independently developed transparent polyimide film "TORMED": this material has been officially selected as the key material for silicon solar panels on civilian low earth orbit satellites and is planned to begin full-scale production in 2026. This breakthrough is not only an important milestone in the development of Japan's I.S.T company but also highlights the technological advancements and competitiveness of PI materials in the field of critical aerospace materials.

Borealis and Borouge Group Launch Global Brand Recleo for Mechanical Recycling of Polyolefins

On December 10, it was reported by Specialized Vision that Borealis and Borouge have officially launched a new global brand, Recleo, aimed at simplifying access to mechanically recycled polyolefins (PO) across various application fields. According to the press release, the Recleo product range integrates post-industrial recyclates (PIR), post-consumer recyclates (PCR), and compounds, forming a cost-effective and multifunctional material solution suitable for multiple sectors, including transportation, construction materials, home appliances, infrastructure, and consumer goods.

Recleo complements the Borcycle M series, with Borcycle M focusing on high-end mechanically recycled polyolefins made from post-consumer waste, suitable for demanding applications. Borealis and Borouge Group stated that the collaboration between the two brands will provide customized high-quality recycling solutions for different customer needs.

Toray introduces advanced anti-static ABS for the electronics field.

Specialized VisionOn December 12th, it was learned that Toray announced the successful development of a new antistatic version of its Toyolacparel Acrylonitrile-Butadiene-Styrene (ABS) resin.

The surface resistivity of the material reaches 10⁹Ω/square (one billion ohms per square), and its anti-static performance is five times that of the company's traditional products. This new type is specially designed for trays, housings, and other handling equipment required in semiconductor and electronic device manufacturing, aiming to reduce the risk of product damage or defects caused by static electricity, dust, and other contaminants.

Torray announced that it plans to provide samples to customers starting from the next fiscal year and will continue to advance related research and development work.

Mitsubishi Chemical: New Grade Development Completed

Japan Polypropylene Corporation launched the environmentally friendly polyolefin product "NOVAORBIS™" in January 2015. Currently, the polypropylene recycled material "NOVAORBIS™-MR" in its product line has completed the development of new grades.

Innovative application

Toray Introduces Scalable Nanofiltration Membrane Technology

Dongli has launched scalable nanofiltration technology that can recover over 95% of lithium from waste batteries, contributing to efficient recycling and the future transition to clean energy.

Toray Industries, Inc. has announced a significant technological breakthrough: the development of a scalable, highly durable, and highly selective nanofiltration membrane element aimed at recovering high-purity, high-yield lithium from used automotive lithium-ion batteries. This innovation is an important step in addressing the core issues of current battery recycling processes, where a large amount of high-value lithium is often lost or discarded. By improving recovery efficiency, Toray's technology helps build a more sustainable lithium resource recycling system, which is crucial for countries promoting decarbonization and the widespread adoption of electric vehicles.

BASF and Weilan New Energy jointly unveiled a new generation solid-state battery pack at the Guangzhou International Auto Show.

At the Guangzhou International Auto Show, Weilan New Energy Technology (hereinafter referred to as "Weilan") and BASF jointly showcased a new generation solid-state battery pack.

The battery pack utilizes BASF's innovative material solutions, includingEngineering plastics(Ultramid®, Ultradur®) and polyurethane products (Elastolit®, Elastoflex®, Elastan®, and Eastocoat®) contribute to vehicle lightweighting, optimize thermal management, and enhance the safety performance of electric vehicles (EVs).

Covestro and AllmedCooperation, exploring the recovery of polycarbonate from artificial kidney filters

Global leading high-performance polymer materials supplier Covestro has announced a partnership with international blood purification specialist Allmed to jointly research the recycling of discarded artificial kidney filters. The study will explore the potential for recovering polycarbonate from medical devices and using it in new products containing recycled materials.

This collaboration aims to verify the feasibility and economic benefits of technology while addressing the complex regulatory environment in the field of medical waste management to develop a circular economy model for medical devices. Allmed and Covestro are working with other partners in the UK, including Allmed's distribution partner Kimal, a leading regional hospital trust, and a specialist recycling company, to prepare for the first recycling trial.

Sosokou assists vertical aviation in mass production of electric aircraft.

Vertical Aerospace has announced a long-term supplier partnership with Syensqo to collaboratively integrate advanced materials for the VX4 electric aircraft. This model is expected to achieve airworthiness certification by 2028, after which it will officially enter commercial operation.

This collaboration marks the deep implementation of years of joint research and development achievements by the two companies. As a leading enterprise in the electric aviation field, Vertical Aerospace is joining forces with Trinseo, an advanced composite materials and adhesives manufacturer, aiming to enhance the lightweight strength, structural efficiency, and durability of the VX4 aircraft. According to both parties, these materials have already been applied to Vertical Aerospace's prototype projects and will be comprehensively used in the aircraft's entire structure in the future to meet the rigorous demands of high-frequency flight operations for electric vertical takeoff and landing (eVTOL) aircraft.

BASF, San Fang Chemical, and Likai Advanced Materials collaborate to promote circular economy in the footwear industry by launching new thermoplastic polyurethane film.

On December 11, 2025, BASF, San Fang Chemical Industry Co., Ltd., and Advanced Polymer Materials Inc. signed a Memorandum of Understanding (MoU) aiming to collaboratively develop sustainable solutions for the footwear industry, with a focus on thermoplastic polyurethane (TPU) products, to support the achievement of their shared 2050 net-zero emission goals.

The first milestone of this cooperation is the launch of TPU film certified by the Global Recycle Standard (GRS), which combines excellent performance with environmental friendliness. GRS is an internationally recognized certification system used to verify the use of recycled content in products. It provides a reliable framework for tracking the recycled material content throughout the entire supply chain, ensuring transparency and integrity in the entire process.

Edited by: Lily