Chinese state-owned coal firm to build 50ktpa EPDM plant in Shaanxi

Japanese elastomer engineering firm ETIC has inked a licensing deal with Guoneng Yulin Chemical, a state-owned coal energy company based in China, to construct a 50 kilotonne-per-annum (ktpa) ethylene propylene diene monomer (EPDM) plant in Yulin City, Shaanxi province. The agreement, announced on 6 August, covers technology transfer for a vanadium-catalysed EPDM process described by ETIC as ideal for thermoplastic elastomers and foamed products. Construction is slated to begin shortly, with commercial operations targeted for the end of 2028. ETIC highlighted the plant’s strategic advantage: Guoneng Yulin Chemical produces ethylene and propylene feedstocks from coal, a cost-competitive route amid soaring naphtha prices driven by the Strait of Hormuz blockade. The deal marks ETIC’s third EPDM licensing agreement, following a 50ktpa plant with Shaanxi Yuneng Chemical New Materials currently under construction and due online at the end of 2027, and a 25ktpa unit with Shandong Dawn Polymer Materials also scheduled for late 2027. ETIC plans to expand its licensing footprint, with a focus on India and Africa, while continuing to refine its EPDM technology and increase grade-line capacity.