1. Market competition pressure: The market competition in petrochemical industry is fierce, especially in raw material prices, product demand and technological innovation. Yangzi Petrochemical faced the pressure from other competitors, which led to a decline in profits.
2. Rising cost of raw materials: petrochemical enterprises need a lot of raw materials. The rising price of raw materials will increase the cost of enterprises and adversely affect the benefits.
3. Decline in sales market demand: fluctuations in economic cycle, decline in market demand or other factors lead to a decrease in sales volume, which in turn affects the efficiency of enterprises.
4. Poor management: there are problems in enterprise management, which leads to a decline in efficiency. Yangzi Petrochemical Co., Ltd. was established in 2000, and its headquarters is located in Nanjing, Jiangsu Province, China. As one of the subsidiaries of China Petrochemical Group, Yangzi Petrochemical has a wide range of business in the petrochemical field.