The new propylene production capacity in the United States is expected to increase significantly in the new year as a new propane dehydrogenation (PDH) plant will be put into operation and some new cracking units will be put into operation in succession, but the yield of propylene downstream derivatives will remain stable.
EPP's original 750,000 ton/year of the new PDH unit was originally scheduled to go live in September 2017. However, due to the strong Hurricane Harvey in late August, the unit's start-up time was forced to be postponed until 2017 In November. Although market participants said the device started its construction by the end of November, the EPP said in a filing with the government that the device's start-up activities will continue until the end of January this year, which means that the PDH device will be put into production February this year.
In addition to the PDH plant being delayed, Hurricane Harvey led to the unplanned shutdown of propylene production in several U.S. refineries and olefin plants. Although many unscheduled shutdowns resumed production within a few weeks after the hurricane, some of the olefin plants were suspended until November of that year. One of the facilities was suspended until December.