Analysis of the basic situation of China’s light magnesium oxide industry
Magnesium oxide was born as a new material in the 1930s. In the early days of the founding of the People’s Republic of China, due to the increasing demand for magnesium oxide in rubber products, several small workshop-style factories first emerged in Shanghai, but the production varieties were relatively single. It was not until 1956 that two specifications of light magnesium oxide and heavy magnesium oxide were developed successively. Since then, China’s light magnesium oxide industry has experienced a long-term upward development, and light magnesium oxide products have successively entered important markets such as refractory materials, sealing materials, chemical building materials, and pharmaceutical foods. After the reform and opening up, the upstream and downstream of my country’s light magnesium oxide industry chain has been continuously improved, and the industry has developed rapidly, especially private light magnesium oxide production enterprises have grown rapidly like mushrooms after rain.
In the future, China’s light magnesium oxide production will exceed 100,000 tons
my country attaches great importance to the development of magnesium oxide, and regards magnesium oxide, especially new field magnesium oxide, as one of the strategic priorities for the development of the chemical industry and an important part of new materials. It has been included in many national plans and given key support in terms of policies and funds. At present, magnesium oxide has become an important independent branch and a new economic growth point in my country’s chemical industry. China’s current total demand for magnesium oxide: high, medium and low-end products add up to more than 200,000 tons, of which low-end products are more than 100,000-120,000 tons, and high-end and special products are more than 80,000-100,000 tons, but most of them are in the hands of 4 Japanese companies, 3 American companies, Russia, Israel, France, Germany, Greece and Taiwan.
It is predicted that the total profit of China’s light magnesium oxide industry will exceed 800 million
In recent years, due to the problems of scattered production capacity and homogeneous competition in the light magnesium oxide industry itself, the profit space of the industry has been squeezed, and the growth rate of the overall profit level of the industry has lagged far behind the growth rate of the main business income. Hebei Messi Biology Co., Ltd. predicts that due to the rapid growth of market demand and the mandatory implementation of environmental protection and energy-saving regulations, some high-tech products such as medical grade, food grade, and nano grade will have a large growth space in the future, and the annual growth rate of demand is expected to reach, which is 2 to 3 percentage points higher than that of general magnesium oxide products.
Analysis of problems in China’s light magnesium oxide industry
1. Serious contradiction between product supply and demand
In recent years, the domestic magnesium oxide market has experienced some fluctuations. Due to the increasing pressure of domestic environmental protection, it is not only magnesium oxide that is difficult to start and reduce production. Downstream coatings, papermaking, plastics, inks and other industries have been hit harder, resulting in continued weak demand. Many enterprises that cannot enter the industrial park are facing closure; enterprises that can enter the industrial park also need time to relocate. Under the high pressure of environmental protection policies and regulations, group warming and resource integration seem to be the general trend of the magnesium oxide industry.
The change in magnesium oxide prices has always been unable to escape the contradiction between product supply and demand. In order to solve this problem, we must first solve the problem of magnesium oxide supply and demand balance. At present, the main entrance to the development of my country’s magnesium oxide market is to increase investment in scientific research, promote the transformation and upgrading of industrial structure, and promote the development of low-pollution and low-emission industrial chains.
2. The industry faces transformation and upgrading
my country’s light magnesium oxide business started not late. After more than 70 years of development, although we have achieved certain results, there is still a big gap compared with developed countries. In terms of scale and level, design methods and concepts, material foundation and supporting, manufacturing process and equipment, etc., we are relatively backward to the world’s advanced level. At present, the light magnesium oxide industry is still facing the problems of backward key technology, insufficient innovation, low product quality and inadequately advanced equipment, and it is urgent to find a breakthrough for transformation and upgrading. It is mainly manifested in the following aspects: environmentally friendly technology and process products have been delayed in implementation. Although the production process and equipment are initially mature, the current output and application speed have not formed a large-scale development level; many magnesium oxide enterprises have small production scales, inadequately advanced equipment and low preparation technology; there are many low-end and medium-end products in China, and there is a lack of high-end products. The product technology content is low and the added value is not high. Generally speaking, the transformation and upgrading of the light magnesium oxide industry still needs to start from the process, technology, equipment, and enterprise scale of the product.
3. Low level of enterprise development
For a long time, my country’s light magnesium oxide production enterprises have lacked attention to application research, enterprises imitated each other, and product homogeneity was serious, resulting in vicious competition and frequent quality accidents. Since 2017, environmental protection supervision has become stricter, and a number of small and medium-sized enterprises have been forced to implement shutdowns and transfers. Although the industry homogeneity phenomenon and vicious competition have improved slightly, the overall application research awareness and ability of enterprises are insufficient, and the level of enterprise specialization, differentiation, and branding development is poor. As the manufacturing industry develops towards intelligence, green and sustainable development, lightweight magnesium oxide with light weight and high strength is constantly expanding to high-end application fields such as medicine, food, military industry, and aerospace. Faced with such a promising industry, enterprises must vigorously carry out application research and strengthen product and technological innovation to meet the needs of intelligent and green transformation and development of the manufacturing industry and expand the market to seek new long-term development of the enterprise.
Analysis of the development prospects of China’s lightweight magnesium oxide industry
1. Favorable policies guide the healthy and orderly development of the industry
In recent years, the state has compiled the “Guidelines for the Development of New Materials Industry”. The “Guidelines” proposes key tasks from nine aspects, including breaking through new materials urgently needed in key application fields, deploying a batch of cutting-edge new materials, strengthening the construction of a collaborative innovation system for the new materials industry, accelerating the initial market cultivation of key new materials, breaking through the constraints of key processes and special equipment, improving the new materials industry standard system, implementing the “Internet +” new materials action, cultivating advantageous enterprises and talent teams, and promoting the characteristic agglomeration development of the new materials industry. As a special guiding policy for guiding the development of the new materials industry, the “Guidelines” have created a better environment for the development of lightweight magnesium oxide and will guide the healthy and orderly development of the lightweight magnesium oxide industry.
In the next few years, China will continue to refer to international advanced standards, speed up the formulation, revision and improvement of China’s magnesium oxide product quality standards, and at the same time increase the supervision and inspection of product quality, vigorously cultivate and develop brand-name products, encourage and assist some production enterprises with good product quality and high grade to become bigger and stronger, further expand production scale and enhance scientific and technological innovation capabilities, and eliminate some backward enterprises with small production scale, low technical level, poor product quality and substandard environmental protection through market competition, and strive to improve the product quality and grade of China’s magnesium oxide and enhance market competitiveness.
2. Wide application fields and broad application prospects
Light magnesium oxide is a white powder with large apparent specific volume, light and loose weight, and difficult to dissolve in water. It is widely used in many fields such as aerospace, automobile industry, chemical textile, machinery manufacturing, medical equipment, and manufacturing of sports equipment and refractory materials. Light magnesium oxide plays a very important role in the development of modern science and technology.
In the future, the development of magnesium oxide should follow the path of combining independent development with the introduction of foreign advanced technology. Production enterprises and related scientific research units should strengthen basic and applied research, increase the development of new products, actively develop various special products, strengthen foreign technical exchanges and cooperation, and adjust the product variety structure according to market demand in order to meet the needs of domestic and foreign markets. Industry organizations should actively carry out industrial policy-oriented publicity, timely transmit relevant information, and serve enterprises. As one of the main materials of basic chemical raw materials, light magnesium oxide will be an excellent opportunity to enter the international market, and it has great development potential.
3. Mechanical automation promotes the development of magnesium oxide industry
In recent years, in order to solve problems such as increased labor costs, environmental protection supervision and transformation and development, many companies have gradually increased production equipment and auxiliary production equipment to improve the level of mechanized and automated production. Hebei Messi Biology Co., Ltd. is actively seeking the construction of automated and intelligent production lines. Looking to the future, the improvement of the level of mechanized automation in production will not only solve the problems of increased labor costs and standardized management of production sites for enterprises, but also bring new vitality to the industry. With the improvement of the level of mechanized and automated production, the production efficiency of enterprises has been greatly improved, and the stability of product quality is more guaranteed. Therefore, it is helpful for light magnesium oxide product enterprises to actively expand the large-scale mid-to-high-end application market. The development and application of mechanization and automation will bring new vitality to the lightweight magnesium oxide products industry.