Home > News > Soda industry out of difficulty: survival of the fittest is the key

Soda industry out of difficulty: survival of the fittest is the key

wallpapers News 2020-06-19

At present, soda ash industry is facing the dilemma of internal external troubles.

In view of the industry dilemma, Wang Xiling, President of the China Soda Ash Industry Association, said in public a few days ago that the association had proposed to the China Petroleum Chemical Industry Federation the relevant policies of limiting production ensuring price.

On the one h, the association proposed to realize 20% production restriction of the whole industry this year by building in turn.

on the other h, it would propose to the Federation of petrochemical industry to strictly control new projects investigate existing projects In order to control the capacity of new construction expansion.

At present, the total inventory of domestic soda enterprises has reached more than 1 million tons.

Whether it is to stop production or reduce production, the inventory still depends on market digestion.

Song Ping, an analyst in the soda ash industry of the business agency interviewed by China national economic news, said that a year ago, the soda ash industry association called on the whole industry to limit production.

However, the output of soda ash in 2012 did not drop but rose.

From January to February 2013, the domestic output of soda ash was 3.

873 million tons, an increase of 2.

2% over the same period last year.

The result of production restriction is obvious.

The price among enterprises is obviously white hot.

After the strategy of limiting production reducing price for a period of time, the inventory of enterprises is still high.

Song Ping said that at present, the market dem is shrinking, after the urbanization process is over, the dem for soda ash will drop significantly, the capacity will be more surplus.

Driven by interests, the capacity of soda ash enterprises can not be idle for a long time.

Once the market warms up, soda ash enterprises will release all their energy, the consequence of all capacity release is to further worsen the relationship between supply dem in the market.

The domestic soda industry is facing not only "internal worries", but also the continuous increase of us natural soda imports.

Media reports said: "in 2012, the export volume of natural soda from the United States to China was about 30000 tons.

For the first half of this year, the industry estimated that the export of soda ash from the United States would reach 150000 tons, which is expected to reach 200000-300000 tons in the whole year.

" If the U.S. export tonnage continues to increase, coupled with the continuous release of domestic production capacity, then how to de inventory from the sales market de capacity from production is particularly important.

Looking at the whole soda ash industry, at present, more than 60% of soda ash enterprises have lost money for about a year.

In the fierce competition of market production over sales, how can we change the predicament of soda ash industry? It has also become an urgent problem to be solved in the current industry.

Song Ping told reporters that speeding up the adjustment of industrial structure, merger reorganization of the industry is an urgent problem to be considered.

On the one h, the structural adjustment of soda ash industry can reduce eliminate backward production capacity adjust capacity stock.

on the other h, merger reorganization can absorb eliminate a batch of backward capacity, digest a batch through capacity transfer quality improvement, which can alleviate the supply of soda ash market.

In terms of dem, Song Ping said that a variety of policy measures can be adopted to carry out macro-control, start the final consumption dem, digest the excess capacity, increase the dem for soda ash, so as to improve the utilization rate of production capacity.

As far as the enterprises themselves are concerned, at present, some non soda enterprises intend to give up soda ash, which, to a certain extent, is also ringing the alarm bell for soda ash enterprises.

There is serious overcapacity enterprise transformation is imminent.

The survival of the fittest is a natural law.

The supply-dem relationship reacts on the structure of the enterprise.

Under the influence of the market, the enterprise should find a new way out.

Yang Min, a researcher in the chemical industry of China business intelligence network, who was interviewed by the reporter of China national economic news, believes that first of all, the government should strengthen market supervision, strictly control the approval power of soda ash projects, avoid the confusion of market competition caused by the decentralization of approval power, curb the disordered investment of new exped projects from the source.

secondly, from the perspective of the industry, the industry should pay attention to it In addition, from the perspective of enterprises, enterprises should fully underst the regulatory role of the market, blindly invest to exp production capacity, only increase costs.

Enterprises should adopt new technology new equipment to reduce costs to promote enterprises Sustainable development.

So, if the output is controlled, can the soda ash industry continue to develop healthily? Yang Min believes that even if the output is controlled, the inventory can not be completely digested in the short term, high inventory is the evil result of years of blind investment in the industry.

At the same time, the recovery of soda ash market also needs the acceleration of downstream industries.

Generally speaking, with the continuous promotion of urbanization construction, it will drive the rapid development of downstream industry of soda ash, which will help to alleviate the overcapacity of domestic soda ash.

Song Ping believes that in terms of long-term healthy development, the government should strengthen the information disclosure service of soda ash industry, improve the admittance stard of soda ash industry, strengthen investment management, establish the coordination system of industry production marketing management.

The government should guide the market accurately, so that investors can make the correct market policies under the correct constraints, which will guide the long-term healthy development of the soda ash market .


TRUNNANO (aka. Luoyang Tongrun Nano Technology Co. Ltd.) is a trusted global chemical material supplier & manufacturer with over 12 years' experience in providing super high-quality chemicals and Nanomaterials. The nitride powder produced by our company has high purity, fine particle size and impurity content. Please contact us if necessary. (aka. Luoyang Tongrun Nano Technology Co. Ltd.) is a trusted global chemical material supplier & manufacturer with over 12 years' experience in providing super high-quality chemicals Nanomaterials. The nitride powder produced by our company has high purity, fine particle size impurity content. Please contact us if necessary.
TRUNNANO (aka. Luoyang Tongrun Nano Technology Co. Ltd.) is a trusted global chemical material supplier & manufacturer with over 12 years' experience in providing super high-quality chemicals and Nanomaterials. The nitride powder produced by our company has high purity, fine particle size and impurity content. Please contact us if necessary.
Say something
  • All comments(0)
    No comment yet. Please say something!