- Apr 09, 2018 -
Basic chemical raw materials, widely used in medicine (medical treatment for hyperacidity), papermaking, metallurgy, glass, textiles, dyes and other industries, used as food industry starter
During the “Eleventh Five-Year Plan” period, China’s soda ash production capacity developed rapidly. With the release of new production capacity and the intensification of competition, the cyclical fluctuations in market prices increased, the economic benefits of soda ash industry fell sharply, and the sudden financial crisis worsened in the second half of 2008. The unfavorable situation in the soda industry caused the price of soda ash to fluctuate. Affected by the financial crisis, downstream demand in 2009 was sluggish. Soda ash prices also fell to the bottom, resulting in losses for the entire industry. In 2010, the domestic economy stabilized and recovered, market demand increased, soda ash production quickly picked up, and domestic companies’ investment enthusiasm began to gradually increase. It is expected that a large amount of new production capacity will be released during the “Twelfth Five-Year Plan” period, and the soda ash industry is likely to be again Enter the down cycle.
Most of them are developed from small and medium-sized nitrogenous fertilizer companies. The overall competitiveness of enterprises in the international market is poor. In recent years, the production capacity of soda ash in China has grown rapidly, and the overcapacity is serious. During the “Twelfth Five-Year Plan” period, more than six million tons of new production capacity will be put into the market, which will further exacerbate China’s soda ash production capacity surplus. The competition of enterprises will also be further intensified, and new progress will be made in the merger and reorganization between the industry and upstream and downstream.