China UPR capacity to reach 7.357 mln t/y by end-2026

China UPR capacity is set to hit 7.357 mln t/y by end-2026, up 8.99% YoY (OilChem), while H1 output fell 8.86% to 1.44 mln tonnes and operating rates dropped to 31%. Severe oversupply will intensify price competition, despite seasonal demand recovery. Market sentiment hinges on actual end-user uptake, with low utilization and rising inventories pressuring margins. Monitor H2 startup delays and post-disaster consumption pace for near-term trading cues.

According to OilChem data, domestic unsaturated polyester resin (UPR) capacity is expected to reach 7.357 million t/y by end-2026, up by 8.99% year-on-year, driven by three new units with a combined 547,000 t/y planned to come onstream in the second half of the year. China UPR Planned & Under-Construction Capacity,