SABIC has started construction of its US$ 6.4 billion manufacturing complex in Fujian, southern China. “Today, a joint venture between SABIC and Fujian Energy and Petrochemical Group Co. Ltd. (Fujian Energy Petrochemical) held a groundbreaking ceremony to mark the start of full execution and construction phase of SABIC Fujian Petrochemical Complex (Sino-Saudi Gulei Ethylene Complex Project) in Fujian Province, China, SABIC said.

The SABIC Fujian Petrochemical Complex is located in Gulei Petrochemical Industrial Park. It will include a mixed-feed steam cracker with up to 1.8m tonne/year ethylene (C2) capacity and various downstream units producing ethylene glycols (EG), polyethylene (PE), polypropylene (PP) and polycarbonate (PC), among other products.

"The project is scheduled to commence the preparation for commissioning and start-up from the second half of 2026," SABIC said in a statement.

SABIC CEO Abdulrahman Al-Fageeh attended the event, celebrating the next chapter of the joint venture.  Al-Fageeh said: “The SABIC Fujian Petrochemical Complex is a landmark project in our development in China and testament to SABIC’s ambition to become the world’s preferred leader in chemicals. As we embark on a new chapter, we remain fully committed to providing effective solutions to our customers, maximizing shareholder value, and supporting industry upgrading. China - as one of the key major petrochemical markets globally - is also a very crucial and strategic market for SABIC. By leveraging our unique strengths, SABIC will continue to invest in China and collaborating with our local partners to contribute to the country’s high-quality sustainable development.”

In addition to the groundbreaking ceremony, the EPC (Engineering, Procurement and Construction) Contracts and a Project Financing Loan Agreement for the SABIC Fujian Petrochemical Complex were signed as well.