The multinational chemical manufacturing giant, Saudi Basic Industries Corporation (SABIC), has recently proclaimed its commitment to a colossal petrochemical venture in Fujian Province, China. This undertaking will be realized through the formation of the SABIC Fujian Petrochemical Complex Project, also known as the Saudi-Chinese Gulei Ethylene Complex Project.
With a strategic partnership structure featuring SABIC Industrial Investments, a wholly-owned subsidiary of SABIC, holding a 51% stake and Fujian Petrochemical Company Limited (FPCL) holding the remaining 49%, the joint venture has resolved to establish an expansive industrial complex in the Gulei region of Fujian Province.
Representing the largest foreign investment in the province to date, the project boasts an impressive financial commitment of 44.8 billion Chinese yuan (approximately $6.4 billion). This move signifies a considerable augmentation of SABIC’s foundational investments within China.
The planned complex is expected to have an impressive annual production capacity of 1.8 million tons of ethylene. Additionally, it is set to host a suite of cutting-edge manufacturing facilities, which include lines for ethylene glycol, polyethylene, polypropylene, polycarbonate, among others, further cementing SABIC’s position in the global chemical industry.
Projected to reach completion by 2026, the SABIC Fujian Petrochemical Complex Project is poised to become a pivotal element in the company’s expansion strategy and in bolstering economic ties between Saudi Arabia and China.