Chinese PP makers promise stable supply as USA propane faces tariff

China’s Zhangjiagang Yangtze (Donghua) Petrochemical in an official statement to its customers called for composure among market players after the Chinese government enlist import propane from the USA to a potential tariff of 25%.

“We are in full support of the country’s countermeasures against the violation of international trade. We assure customers that the potential tariff on import propane from the USA will not affect our production output given the large supplier portfolio allow Donghua to easily replace American gas,” the statement read.

The company operates a propane dehydrogenation unit capacitor 600,000 tons per annum and a downstream PP plant 400,000 tons per annum.

In separate news, statistics showed that China import total 13.35 million tons of propane in 2017 and USA is one the largest suppliers, exporting 3.37 million tons to China, accounted for 25.2% of total propane import.