Hebei Messi Biology Co., Ltd. said that the previous years were the period when the high-end magnesium carbonate market demand was the strongest. The relatively high magnesium carbonate market is mainly caused by two reasons. On the one hand, after experiencing the lack of quality assurance of low-end magnesium carbonate in the early stage, manufacturers have paid more and more attention to the high-end market. On the other hand, although high-end magnesium carbonate has been produced, it is affected by the production process. So far, the overall proportion of high-end magnesium carbonate is relatively small and there are few manufacturers. At the same time, due to the overcapacity in the early stage, the sales of high-end products have been delayed. Limited production and delayed sales have caused the sales “front” to be elongated, and the peak period is not obvious, which gives people the illusion of “silence” in the market.
The magnesium carbonate market has been relatively chaotic recently. Some companies have tampered with raw materials and produced magnesium carbonate with cheap raw materials. Although these magnesium carbonates have a low price, some customers think that using this kind of magnesium carbonate can reduce costs, so there is a certain market. Using this product has a bad impact on end customers. First, it is easy to lose the original end customers, and second, it affects the product quality.
For magnesium carbonate manufacturers and distributors, the market pressure comes not only from the challenge of inferior magnesium carbonate, but also from more profound factors. The price of magnesium carbonate is too low, and it is obvious that some raw material suppliers are not very motivated. The low price of raw materials also exposes the capital flow problems of grassroots distributors and some middlemen. In recent years, credit sales have been serious, and downstream customers often pay after use. However, this year, some magnesium carbonate manufacturers did not sell magnesium carbonate, and the manufacturers had difficulty collecting payments, and there were problems with capital circulation. They were also unable to pay the middlemen for goods, which also affected the normal supply of magnesium carbonate in the market.