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Sinopec plans to supply more asphalt
By Chen Qide (China Daily)
Updated: 2004-06-07 08:59

Sinopec will supply more high-end asphalt to the Chinese market in an attempt to challenge overseas competitors, its president said at the weekend.

Wang Jiming said the company's domestic asphalt share is expected to rise from last year's 24 per cent to 30 per cent within two years.

He announced the plan during a ceremony on Saturday to celebrate the successful use of asphalt on Shanghai's Formula One (F1) race track, which was developed using Sinopec's technology.

Sinopec has now become the world's second largest producer of F1 circuit asphalt, behind Shell Co.

China consumed 9.1 million tons of asphalt last year, which was used to pave expressways, airport runways, highways and roads - 27 per cent of which came from abroad. Consumption is expected to exceed 11 million tons by the end of next year, according to Sinopec sources.

Wang said the imported asphalt was mostly used on expressways and runways.

"However, with the successful use of the high-tech F1 circuit asphalt, we are able to compete with our foreign counterparts in this field," he said.

"Our goal is to replace imports with our own products for more of a share on the domestic market."

About 4,500 tons of newly developed asphalt have been spread on the 5.3-kilometre F1 track, known as the Shanghai Circuit.

Hermann Tilke, chairman of German Tilke AG, which was responsible for the circuit's design and construction, said Munich University tests show the asphalt's quality is up to scratch.

"The success has become a milestone for Sinopec in its push into the world market," Tilke said.

Before Sinopec, all of the world's F1 circuits used Shell's product. But it now faces heated competition from Sinopec, said Tilke.

Sun Weijun, chairman of Sinopec Zhenhai Refining and Chemical Co Ltd, said the company will enlarge its production capacity for polymer modified asphalt, which was used for the F1 circuit, "if the market at home and abroad demands more."

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