BOPET stands for biaxially oriented polyethylene terephthalate. It is a multifunctional film with a wide range of uses. This article deeply explores the classification, industry supply chain, and upstream development analysis of BOPET films.
BOPET (biaxially oriented polyethylene terephthalate) is a plastic film. Known for its exceptional performance. It is produced through a process using dimethyl terephthalate and ethylene glycol. The film stands out for its high mechanical strength, excellent optical properties, good electrical insulation, broad temperature resistance, and chemical resistance. These properties make it one of the most versatile materials used in various industries.
BOPET films have come a long way since their early days in tape backing and photographic film. Today, these films are used in a wide range of applications, from food and beverage packaging to image transfers, labels, electronics, electrical components, solar panel backsheets, LED lighting, OLED lighting, and even building materials. This wide range of applications highlights the film’s features. These features include high clarity, high barrier properties, heat shrink properties, and heat sealability. All of these are constantly being explored and exploited.
1）Upstream factor analysis
The profit model of the BOPET film industry mainly relies on the production and sales of polyethylene terephthalate (PET) films. Given the large fixed investment required to produce these films. Improving profitability in this industry depends on two main factors: reducing fixed costs per unit of product and developing new products.
From the perspective of upstream components, the main raw materials of the BOPET film industry come from the petrochemical industry. These materials are PET slices (slicing method), PTA (purified terephthalic acid), and MEG (monoethylene glycol) (direct melting method). At the very top of the supply chain, these raw materials often come from crude oil or coal.
1. PTA (purified terephthalic acid)
In 2022, the new production capacity of the PTA industry will increase significantly, reaching 8.6 million tons. The total production capacity is 71.44 million tons, an increase of 10.9%. In contrast, total PTA production increased by only 1.41% to 54 million tons. This difference can be attributed to China’s polyester production capacity growing from 45.82 million tons in 2016 to 71.37 million tons in 2022. The average annual growth rate is 7.16%. Theoretically, approximately 0.86 tons of PTA are needed to produce 1 ton of polyester. That is, 82.98 million tons of PTA are needed.
In 2022, the average domestic PTA market price will hover around 6,100 yuan/ton. There is a significant increase from 4715 yuan/ton in 2021. PTA prices are closely related to paraxylene (PX) prices. Paraxylene (PX) prices are affected by crude oil fluctuations. PTA prices are sensitive to changes in naphtha and PX costs. Notably, PTA spot prices reached their annual peak in June 2022. At that time the PX crack spread hit its highest point of the year.
Data from zhongzhou future
2. MEG (monoethylene glycol)
Another key raw material used in the production of PET film is monoethylene glycol (MEG). In 2022, MEG production will total 1,239.41 million tons. An increase of 15.52% from 107.3 million tons in 2021. This growth was driven by strong supply in the first half of the year. Then the new production capacity of the facility will start in the second half of the year.
From January to November 2022, MEG imports were 641.03 million tons, a year-on-year decrease of nearly 550,000 tons. The main reason for the decline in import volume is the expansion of domestic MEG production capacity. leading to a reduction in overall imports.
Maintenance at MEG facilities increased during the first half of 2022. leading to reduced supply. But, in the second half of the year, as these facilities resumed operations. Supply rebounded. The average operating rate of ethylene glycol production throughout the year was 58.54%. The smallest operating rate is around 45%. A new low in five years. At the same time, coal-to-ethylene glycol production faces losses due to cost and price fluctuations. The average operating rate is 42.23%. The low is around 20%. It also hit a five-year low.
Reliance on international ethylene glycol imports has been significantly reduced. Yet, the overall demand for MEG in 2023 should be closely monitored. Especially the needs of end users.
The large expansion of the BOPET film industry depends on the optimization of its upstream factors, including raw material supply, cost management, and production capacity. Understand the dynamics of the upstream petrochemical industry. Especially the dynamics of PTA and MEG. It is crucial to grasp the growth potential of the BOPET film industry. The development and performance of these key raw materials directly affect the overall profitability of the BOPET film industry. Besides, the continued exploration of the multifunctional properties of BOPET films and the diversification of their applications will also help push the industry forward. As demand continues to expand in various fields such as food packaging, electronics, and building materials. The BOPET film industry is poised for continued growth and innovation.
2) Classification of BOPET Products
Biaxially oriented polyethylene terephthalate (BOPET) films are widely used in various industries due to their excellent properties. In this article, we will classify BOPET products based on their intended use. Also will highlight their wide range of uses in different fields.
1. Electrical insulation film
BOPET films are widely recognized for their excellent electrical, mechanical, thermal, and chemical inertness. They have excellent insulation properties and high breakdown voltage tolerance. Making it the preferred choice for electronic and electrical insulation materials. Standard thickness ranges are typically 25μm, 36μm, 40μm, 48μm, 50μm, 70μm, 75μm, 80μm, 100μm to 125μm. These films are widely used in applications such as wire and cable insulation (25-75μm) and touch switch insulation (50-75μm).
2. Capacitor film
BOPET capacitor film has high tensile strength, high dielectric constant, and low loss factor. They have uniform thickness, excellent electrical properties, and high electrical resistance. These properties make them ideal for use as dielectric materials and insulating layers in capacitors. Standard thicknesses include 3.5μm, 3.8μm, 4μm, 4.3μm, 4.8μm, 5μm, 6μm, 8μm, 9μm, 9.8μm, 10μm and 12μm.
3. Laminated film
BOPET laminate films offer excellent transparency, high stiffness, and excellent thermal stability. Smooth surface for optimal winding. Uniform longitudinal and transverse stretch capabilities and excellent resistance to water, oil &chemicals, among other qualities. They are designed to protect images, documents, certificates & office supplies. Ensure a neat and beautiful appearance after lamination. Preserve the clarity and integrity of the original content. Common standard thicknesses of laminate films are 10.75μm, 12μm, 15μm, 25μm, 28μm, 30μm, 36μm, 45μm, 55μm, 65μm and 70μm. Laminated films with a thickness exceeding 15μm are usually used for laser anti-counterfeiting base films or high-end lamination.
4. General film
BOPET general-purpose films offer excellent strength, dimensional stability, cold resistance, and chemical stability. Widely used in composite packaging, photosensitive film, metal plating, recording, and other fields. Subtypes include semi-hardened film, hot stamping film, printed cross-border packaging film, aluminized film, etc.
5. Functional Materials
BOPET can be applied to various functional materials. They can function as color films, solar back sheet films, window films, optical films, and barrier films. These films play an important role in improving the performance and characteristics of materials in different industries.
The classification of BOPET products according to their intended applications emphasizes the versatility and adaptability of these films. From electrical insulation to capacitors, laminates, general purpose and functional materials. BOPET films remain an integral part of many industries. Adds value through its unique properties. Whether it’s maintaining document clarity or achieving cutting-edge technological advancements. BOPET films all play an important role in shaping various industries.
