2.1 Chemical Production

The chemical industry is an important primary industrial sector of China’s national economy. Construction during the past 50 years has resulted in a complete and independent chemical industrial system having a satisfactory variety and reaching a certain scale. Statistics show that China is able to produce more than 45,000 types of chemical products. The output of synthetic ammonia ranks first and that of plastics ranks second in the world. In 1998, the output of primary industrial chemicals was 54.5 million tons, that of chemical fertilizers was 65.49 million tons, that of chemical pesticides was 382,000 tons and that of organic industrial chemicals was 19.31 million tons. In 1997, there were a total of 29,102 petroleum and chemical industrial enterprises across the country, which employed 5.531 million people. The total output value of the chemical industry registered 564.07 billion yuan (at 1990 fixed prices).

2.2 Chemical Import and Export

In order to protect human health and the environment, China has rigidly followed related international agreements and treaties while handling imports and exports of chemicals, and developing normal trade with other countries and regions. The volume of chemicals import and export has increased on a year-by-year base, though the growth rate is small. Changes have also taken place in the category, quantity and volume of trade of imported or exported chemicals. China enjoys an important position in the international chemicals trade, and has established normal trade relations with numerous countries and regions in this respect. Table 2.1 compares the total volume of chemicals imports and exports and the overall national volume of imports and exports during the 1991-97 period. China has chemical trade relations with the following major countries and regions: The United States, Japan, the Republic of Korea, Taiwan, Hong Kong, Russia, Germany, Thailand, the Netherlands and Singapore.

2.3 Use of Chemicals

Chemicals produced in China are mainly for domestic use. Only a small part is exported. China imports a large amount of chemicals each year. The chemical industry sector arranged production according to market demand.

According to Chinese Agricultural Statistical Data, the national consumption of chemical fertilizers by farmland from 1995 to 1998 stood at 35.94 million tons, 38.29 million tons, 39.8 million tons and 40.85 million tons, respectively, while the consumption of pesticides during the same period was 1.087 million tons, 1.14 million tons, 1.195 million tons and 1.231 million tons, respectively.

Table 2.1 A Comparison Between the Total Volume of Chemicals Imports and Exports and the Overall National Volume of Imports and Exports During the 1991-97 Period (US$ billion)

2.4 Chemical Wastes

The State Environmental Protection Administration has adopted a registration system for industrial solid wastes in accordance with the Law of the People’s Republic of China on the Prevention and Control of Environmental Pollution Caused by Solid Wastes. Of the generated wastes, a considerable part is hazardous. The various types of hazardous wastes produced in 1996 amounted to 24.77 million tons, of which 10.89 million tons were utilized in a comprehensive way, 3.31 million tons were disposed of, 6.71 million tons were stored and 3.9 million tons were discharged.

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