SIBUR summarises key operational results for 2023

29 January 2024. SIBUR, Russia's largest producer of polymers and rubbers, summarised the company's key operational results for 2023 at the Ruplastica international trade fair, which was held in Moscow on 23–26 January 2024.

In 2023, SIBUR ramped up the sales of its key products, with the share of supplies to the Russian market rising to 75%. Since 2021, SIBUR has been consistently increasing its sales in the domestic market, which is the Company's priority, by reducing export sales and continues to stimulate further growth in local polymer processing and reducing imports of finished polymer products.

In 2023, polymer consumption in Russia showed a record growth of 10% to 4.4 mt. Four percent of this growth is attributable to joint programmes between SIBUR and customers, such as import substitution of polymers, expansion of processing capacities, and substitution of conventional solutions with those based on polymers. In 2023, SIBUR completed 330 programmes with more than 270 partners, which is equivalent to 176 kt of products.

Off the back of growing demand from Russian processors, in 2023 SIBUR's domestic sales of polypropylene and polyethylene increased by 11% year-on-year, while sales of BOPP films, elastomers, plastics and organic synthesis products grew by 16%, 8%, and 11%, respectively. As the main raw material for polymers and elastomers is LPG, SIBUR's facilities have quadrupled its consumption over the last five years to more than 70% of the fractionation volume, which translated into lower exports of this product.

In 2023, transport showed the most impressive growth in polymer consumption. Since early 2022, SIBUR has developed new grades of polypropylene, polyethylene, ABS, polycarbonate, and rubbers for the transport industry with a potential of more than 90 ktpa. Polymer products are widely used in compounds, batteries, fuel tanks, vibration and noise insulation, and many other car parts to reduce vehicle weight and make it eco-friendlier.

Consumer goods producers also increased their demand for polymers by 7% due to the growth in the country's output of footwear, household appliances, and toys.

The construction industry's demand for polymers exceeded 1.6 mtpa. Since 2022, SIBUR has introduced over 15 new grades to substitute conventional solutions and imports of more than 100 kt of products. The use of polymer materials with their increased energy efficiency and durability in the construction industry and housing and utilities sector eliminates losses and offers additional benefits, including by reducing GHG emissions.

2023 also saw an increase in polymer consumption by agriculture and healthcare, up 1.5% and 6%, respectively.

Due to its industry-specific approach to customers, SIBUR is well aware of the needs and specifics of key polymer consuming sectors, is capable of bringing new solutions to the market faster and supporting their wider application.