عربي English Türkçe اردو فارسى
Logo
Latest News
Business

Up to $12 Billion Potential Collaboration between UAE’s ADNOC and Wanhua

FILE PHOTO: Staff are seen at the Panorama Digital Command Center at the ADNOC headquarters in Abu Dhabi, UAE May 12, 2018. REUTERS/Satish Kumar/File Photo
FILE PHOTO: Staff are seen at the Panorama Digital Command Center at the ADNOC headquarters in Abu Dhabi, UAE May 12, 2018. REUTERS/Satish Kumar/File Photo
TT
20
TT

Up to $12 Billion Potential Collaboration between UAE’s ADNOC and Wanhua

FILE PHOTO: Staff are seen at the Panorama Digital Command Center at the ADNOC headquarters in Abu Dhabi, UAE May 12, 2018. REUTERS/Satish Kumar/File Photo
FILE PHOTO: Staff are seen at the Panorama Digital Command Center at the ADNOC headquarters in Abu Dhabi, UAE May 12, 2018. REUTERS/Satish Kumar/File Photo

The Abu Dhabi National Oil Company, ADNOC, signed on Tuesday, a Partnership Framework Agreement with Wanhua Chemical Group Co., Ltd.,Wanhua Chemical, to explore the collaborative development of new opportunities in the downstream sector in the United Arab Emirates and China.

ADNOC and Wanhua Chemical also signed a shipping Joint Venture,JV, agreement building on the 10-year LPG supply contract signed in November 2018.

The potential total value of the collaboration between ADNOC and Wanhua is estimated to be up to $12 billion, further solidifying the strong business and investment ties between the companies, but also reflecting the strong partnership across the energy sector between the two countries.

The Agreements with Wanhua Chemical were signed by Dr. Sultan Ahmed Al Jaber, UAE Minister of State and ADNOC Group CEO, and Zengtai Liao, Chairman of Wanhua Chemical Group.

Dr. Al Jaber said: "The bilateral nature of our planned joint cooperation into both the UAE and China is unique, as it will allow the combined platforms to benefit from ADNOC’s competitive feedstock availability in Abu Dhabi, as well as capture the promising growth opportunities in China."

Under the terms of the JV Contractual Agreement, ADNOC Logistics and Services, ADNOC L&S, and Wanhua Chemical will establish a LPG Shipping Joint Venture, building on the existing 10-year LPG supply contract, which was signed in Shanghai, China, in November 2018. The JV includes the operation of two VLGC vessels,Very Large Gas Carriers vessels. Both companies will optimize their respective supply programs and maximize value through the operation and management of these vessels. Through the JV, ADNOC will maximize the value of its LPG portfolio.

In an additional Partnership Framework Agreement, ADNOC and Wanhua Chemical have agreed to explore and develop JV opportunities in both the UAE and in China. The UAE JV would be focused on producing downstream derivatives, including polyurethanes value chain chemicals at ADNOC’s integrated refining petrochemicals complex in Ruwais, Abu Dhabi. The China JV would focus on exploring investment opportunities for the development and production of petrochemical and derivative products in Yantai, Shandong Province, China. These JVs will yield increased feedstock supplies from ADNOC to Wanhua and further strengthen the existing long-term relationship between both companies. The opportunities will allow ADNOC and Wanhua Chemicals to combine and leverage their market leadership and expertise in technology, marketing and competitive feedstocks.

Most Viewed

 
Business

China’s Economy Lags in July Under Pressure from Tariffs and a Weak Property Market

People ride scooters on a street in Beijing, China, 13 August 2025. (EPA)
People ride scooters on a street in Beijing, China, 13 August 2025. (EPA)
TT
20
TT

China’s Economy Lags in July Under Pressure from Tariffs and a Weak Property Market

People ride scooters on a street in Beijing, China, 13 August 2025. (EPA)
People ride scooters on a street in Beijing, China, 13 August 2025. (EPA)

China's economy showed signs of slowing in July as factory output and retail sales slowed and housing prices dropped further, according to data released Friday.

Uncertainty over tariffs on exports to the United States is still looming over the world's second-largest economy after President Donald Trump extended a pause in sharp hikes in import duties for 90 days, beginning Monday, following a 90-day pause that began in May.

As officials worked toward a broader trade agreement, China reported earlier that its exports surged 7.2% in July year-on-year, while its imports grew at the fastest pace in a year, as businesses rushed to take advantage of the truce in Trump's trade war with Beijing.

But that also reflected a lower base for comparison, and manufacturers have slowed investments, hiring and production as they watch to see what comes. Chinese manufacturers also have ramped up shipments to Southeast Asia, Africa and other regions to help offset lost business in the US.

Still, annual growth in industrial output fell to 5.7% in July from 6.8% in June, the National Bureau of Statistics said.

Investments in factory equipment and other fixed assets rose a meager 1.6% in January-July, compared with 2.8% growth in the first half of the year.

Property investments plunged 12% in the first seven months of the year, with residential housing investment dropping nearly 11%.

Prices for newly built housing in major cities fell 1.1%, as a prolonged downturn in the property industry lingered.

The meltdown in the housing market hit just as the COVID -19 pandemic began, sapping one of the economy's main drivers of growth and causing dozens of developers to default on their debts.

The crisis rippled throughout the economy, destroying jobs for millions of people.

The government has sought to ensure that most housing that was paid for gets built, but sales remain weak despite a series of moves meant to entice families into back into the market.

Since most Chinese families have their wealth tied up in property, the anemic housing market has been a major factor crimping consumer spending. In July, retail sales rose 3.7%, the slowest rate in seven months and down from a 4.8% increase in June.

The unemployment rate rose to 5.2% from 5% as university graduates began looking for work.

While consumer prices rose 0.4% in July from the month before, prices at the wholesale level slipped 3.6% from a year earlier in another indicator of relatively weak demand.