Cost of HDPE Pipe Per Meter

Main characteristics of HDPE

HDPE is a highly crystalline, non-polar thermoplastic resin. The appearance of raw HDPE is milky white, and it is translucent to a certain extent in thin sections. PE has excellent resistance to most domestic and industrial chemicals. Certain types of chemicals can cause chemical corrosion, such as corrosive oxidizers (concentrated nitric acid), aromatic hydrocarbons (xylene) and halogenated hydrocarbons (carbon tetrachloride). The polymer is non-hygroscopic and has good water vapor resistance and can be used for packaging purposes. HDPE has good electrical properties, especially high insulation dielectric strength, making it very suitable for wires and cables. Medium to high molecular weight grades have excellent impact resistance, which is the case at room temperature or even at low temperatures of -40F. The unique characteristics of various grades of HDPE are the appropriate combination of four basic variables: density, molecular weight, molecular weight distribution and additives. Different catalysts are used to produce customized special performance polymers. These variables are combined to produce HDPE grades for different uses; achieving the best balance in performance.

Material Cost-Cost of HDPE Pipe Per Meter

The raw material price of HDPE pipe mainly consists of the following parts, each of which will have an impact on the overall cost

1. High-density polyethylene raw material

HDPE resin

Market price fluctuation: HDPE resin prices are usually affected by international oil prices, supply chain conditions (such as manufacturer shutdowns or expansions), seasonal demand fluctuations and other factors.

Manufacturer brand: The prices of different brands of HDPE resin will vary, such as international brands such as SABIC, LG Chem, ExxonMobil, and price differences among local manufacturers.

Quality grade: Pipe-specific resins such as PE100 and PE80 are more expensive than ordinary HDPE resins.

2. Additives

Antioxidants

Prevent resin degradation due to thermal oxidation during processing. The price depends on the type of additive and the amount used.

Common antioxidants such as antioxidants 1010 and 168 are usually priced by kilogram.

UV stabilizer

Improve the UV resistance of the high density polyethylene water pipe to avoid aging caused by long-term exposure to sunlight.

Common stabilizers such as HALS (hindered amine light stabilizer) are suitable for outdoor pipes.

Masterbatch

Adjust the color (such as black, blue) and enhance the UV resistance. Carbon black is often added to black masterbatch, which can effectively improve weather resistance.

The price of masterbatch is related to the carbon black content, dispersion and purity.

3. Use of recycled materials

New materials vs. recycled materials

The price of new materials is much higher than that of products mixed with recycled materials, but the quality and performance are more stable, suitable for high-demand pipes.

Different mixing ratios of recycled materials will significantly affect the cost, but it is necessary to pay attention to the potential impact on the performance of the pipe.

4. Purchase volume and supplier

Bulk purchase: Bulk purchase of raw materials can reduce the unit price, and suppliers usually give a certain discount.

Long-term cooperation price lock: Signing a long-term purchase agreement with suppliers can lock in the price of raw materials and avoid market fluctuations.

International procurement and transportation: When importing raw materials, it is necessary to consider the additional costs caused by transportation, tariffs and exchange rate changes.

5. Environmental protection and regulatory requirements

Environmental protection requirements: Some regions have environmental protection standards for the raw materials used in HDPE pipes, and it may be necessary to purchase special additives that meet the regulations, increasing costs.

Certification costs: In order to meet ISO, NSF, CE and other standards, certified raw materials may be required, which will increase the unit price of raw materials.

Case estimation (taking the market reference price as an example)

1. HDPE resin (new material): About 10,000-15,000 yuan/ton (depending on the region and brand).

2. Antioxidants and UV stabilizers: The total cost of additives accounts for about 1%-3% of the raw material cost.

3. Masterbatch: Ordinary black masterbatch is about 6,000-10,000 yuan/ton; high-content carbon black masterbatch is about 12,000-20,000 yuan/ton.

Overall, HDPE resin accounts for about 80%-90% of the cost of raw materials for pipes, and additives and other ingredients account for 10%-20%.

Production Process Cost-Cost of HDPE Pipe Per Meter

Equipment and production line costs

Equipment depreciation: usually calculated based on the equipment life (such as 10 years).

Mold loss: The mold life depends on the frequency of use and the size of the pipe diameter processed.

Automation level: Highly automated equipment has a higher initial investment, but saves labor costs in the long run.

Labor costs

The labor positions required to produce high density polyethylene water pipe include operators, technicians, quality inspectors and managers.

Direct labor: production line operators, responsible for equipment operation and maintenance.

Indirect labor: such as quality inspection, logistics and warehousing personnel.

Cost influencing factors: Enterprises with high automation levels in production lines have lower labor costs, but higher initial equipment investment.

Energy consumption

The production of high density polyethylene water pipe is a high-energy consumption process, and the main energy costs include

Electricity: The operation of equipment such as extruders, cooling systems, and vacuum setting machines requires a lot of electricity.

Electricity consumption estimation: The power consumption of producing 1 ton of high density polyethylene water pipe is about 200-400 kWh, depending on the energy efficiency of the equipment and factory conditions.

Water resources: A large amount of cooling water is required in the cooling process (part of which can be recycled).

Equipment maintenance and repair

Equipment maintenance and parts replacement are continuous cost expenditures.

Regular maintenance: such as lubricating oil, filter, cleaning costs.

Sudden maintenance: loss of production caused by equipment failure.

PE is most commonly produced by slurry or gas phase processing, and a few are produced by solution phase processing. All of these processes involve exothermic reactions involving ethylene monomer, α-olefin monomer, catalyst system (may be more than one compound), and various types of hydrocarbon diluents. Hydrogen and some catalysts are used to control molecular weight. Slurry reactors are generally stirred tanks or a more commonly used large-scale annular reactor in which the slurry can be circulated and stirred. When ethylene and comonomer (as needed) are contacted with the catalyst, polyethylene particles are formed. After removing the diluent, the polyethylene particles or powders are dried and additives are added according to dosage to produce pellets. Modern production lines with large reactors with twin-screw extruders can produce more than 40,000 pounds of PE per hour. The development of new catalysts has contributed to the improvement of the performance of new HDPE grades. 

The two most commonly used catalyst types are Philips' chromium oxide-based catalysts and titanium compound-alkyl aluminum catalysts. Philips-type catalysts produce HDPE with a medium-broad molecular weight distribution; titanium-alkyl aluminum catalysts produce a narrow molecular weight distribution. Catalysts used to produce narrow MDW polymers in a duplex reactor can also be used to produce broad MDW grades. For example, two reactors in a series producing significantly different molecular weight products can produce a bimodal molecular weight polymer with a full range of molecular weight distribution.

Other Cost-Cost of HDPE Pipe Per Meter

Specifications and Design

Pipeline specifications: parameters such as pipe diameter, wall thickness (SDR series), length, etc. directly affect the materials and production costs.

Special requirements: customized requirements such as pressure resistance, corrosion resistance, high temperature/low temperature resistance, etc.

Logistics and packaging costs

Transportation costs: high density polyethylene water pipes are light but large in size, and take up more transportation space.

Packaging costs: such as using wooden boxes, strapping, etc. to increase transportation protection.

Market and regional impacts

Regional raw material supply prices: Raw material and energy prices may vary in different regions.

Market competition: Supply and demand relationships affect sales prices and profit margins.

Import taxes and tariffs: If raw materials or products need to be imported or exported, tariffs and import taxes will increase costs.

Other additional costs

Quality testing: Testing equipment and third-party testing service fees are required during the production process.

Certification costs: Application and maintenance costs for ISO, CE, etc. certifications.

Maintenance and warranty costs: Potential expenses for after-sales service and technical support.

Environmental treatment: Waste recycling or emission treatment costs.