Last year, Baosteel Chemical Branch (Baochem)'s cumulative production was 933,000 tons. It handled 3.06 billion standard cubic meters of gas, with tar, coarse benzene processing and carbon soot production reaching the annual goals. The sales income reached 9.635 billion yuan, which was 139.58 % of that in 2009 and achieves profits which was 189.76 % of that in 2009.
Last year, Baochem firmly seized the favorable market opportunity and, revolving on the company's new round of development plan, effectively implemented production organization and cost&quality research upon the basis of speeding up the layout, improving productivity, implementing management reform and improving "1 headquarter&multiple bases"management and control model.
Last year, Baochem completed first phase benzene hydrogenation project upgrading work. After transformation, the production capacity increased nearly 60% compared with previously and the device production temperature and power consumption indicator decreased by 50% and 40%. The products were extended from pure benzene to 5 areas including pure benzene, toluene and xylene. With the adoption of production methods which were closer to the market, Baochem's Meishan Chemical Branch developed carbon black oil products with high added value and achieved profitability.
Baochem Suzhou Branch adopted key user oriented process control standards to strengthen cooperation with downstream users and actively committed to new product development and quality research. By the end of last year, Baochem Suzhou Branch and Daxing Energy Co., Ltd. (Dasteel) set up a joint venture carbon soot production line with an annual output of 40,000 tons which promoted Baochem's new round of development in the field of carbon soot.
Targeted at on site product quality improvement, Baochem also organized production units to launch a series of research projects. Key products indicators in Baoshan and Meishan, such as ammonium sulfate high class rate, the appearance of phenol products, pure benzene bromine index were significantly improved and were highly praised by users.
Last year, Baochem greatly improved its capacity to respond to market fluctuations, sped up the cost system construction and achieved comprehensive coverage of the three major production bases.
By sunshine marketing&auctioning, Baosteel Chemical not only created a fair competitive environment but also allowed small products such as coumarone and carbazole which lacked price benchmark in the domestic chemical market to realize maximum market value and enhanced the selling price of these products. Last year, through sunshine marketing and auctioning, more than 45.8 million yuan of profits were realized.
