Polyethylene and Polypropylene Consumption Outpaces GDP Growth in Russia

In 2023, the consumption of fundamental polymers, including polyethylene and polypropylene, in Russia surged to 4.3 million tons, marking an impressive growth of over 10% compared to the previous year.

Looking ahead to 2028-2029, Petrov anticipates further potential growth in the consumption of basic polymers in Russia, projecting an increase of 1.6 million tons. SIBUR's projections are grounded in various factors, with per capita polymer consumption serving as a significant metric. In Russia, this figure currently stands at 30 kg per person per year. Comparatively, the United States boasts a per capita consumption level twice as high at 62 kg, while China registers at 52 kg. Notably, Turkey, with a per capita consumption of 42 kg, serves as a benchmark for Russia and has emerged as a prominent hub for polymer processing in recent years.

As the consumption of basic polymers in Russia continues to rise, domestic producers are strategically boosting domestic sales while concurrently curbing exports. This strategic shift aims to address the burgeoning domestic demand, compensating for reduced supplies from the European Union.

In a global context, Alexander Petrov underscores that polymer consumption worldwide is surpassing the growth rate of the global GDP. This observation points to the increasing significance of polymers in various industries and applications, reflecting a broader trend of polymer integration into diverse sectors of the global economy.

In the realm of international trade, the export of chemical products from Russia experienced a decline in January-November 2023, amounting to USD 24.9 billion. This figure represents a notable 34% decrease compared to the same period in 2022, which saw chemical product exports totalling USD 37.8 billion.

The dynamics of polymer consumption and trade patterns underscore the evolving landscape of the global petrochemical industry. Russia's heightened demand for basic polymers, coupled with strategic shifts in trade patterns, reflects the industry's responsiveness to market trends and the need to meet domestic requirements. The surge in polymer utilization in Russia also aligns with the broader global narrative, where polymers continue to play an integral role in diverse sectors, ranging from packaging and construction to automotive and healthcare.

As the demand for polymers in Russia shows no signs of abating, the industry's stakeholders, including SIBUR and other key players, are poised to navigate this growth trajectory strategically. The projections for future consumption, guided by per capita metrics and industry trends, offer valuable insights into the evolving dynamics of the polymer sector in Russia and its integration into the global economic landscape.