Why are Chinese private firms dominating PX supply while state giants lag?

Why are Chinese private firms dominating PX supply while state giants lag?
Private enterprises now control about 60% of China's PX capacity, surpassing Sinopec's 23% and PetroChina's 12%. This shift stems from the rise of mega refining-chemical integration projects led by private groups like Rongsheng and Hengli. Zhejiang Petrochemical's 40-million-ton refining complex, majority-owned by Rongsheng, was built specifically to secure PX feedstock for the group's massive PTA and polyester operations. Previously, PX import dependence exceeded 50%, with pricing power held by Japanese and Korean suppliers. These integrated projects broke that bottleneck, enabling full-chain competitiveness from crude to textiles—a strategic move to protect China's globally competitive polyester industry.