China is one of the main countries in the world that produce magnesium compounds, but at present, the production of magnesium compounds in China is still in the stage of crude primary products, which is far from meeting the needs of national economic development. Magnesium oxide occupies a very important position in many inorganic salt products. As one of the main varieties of magnesium in the series of products, it belongs to basic inorganic salt products because of its good performance and wide range of uses. Industrial magnesium oxide, in China has decades of production history, the production process of products has been basically mature and reliable. Due to the continuous development of industrial magnesium oxide uses in recent years, its application field has been expanding, making the demand for industrial magnesium oxide rising, stimulating the rapid development of magnesium oxide production in China, and the manufacturers and production scale are gradually expanding. China has the world's first reserves of magnesite, magnesite and serpentine and high-quality dolomite, in addition to salt pans, bitter brine, so that the production of industrial magnesium oxide has unique conditions, the traditional industrial magnesium oxide method is very much, due to the use of different resources, the production process and method are also different.
China is a big producer of magnesium, but not a strong country. In China's economic construction demand for as many as hundreds of magnesium compound products, of which the largest demand, the largest variety is magnesium oxide series products: metallurgy, refractory materials and building materials industry needs a large number of light burning powder, heavy burning powder, electrofusion magnesium oxide; Rubber, ceramics and other industries need industrial magnesium oxide, the above belongs to the bulk of traditional products: neoprene rubber, fluorine rubber and adhesives and sealing materials need a variety of active magnesium oxide, electric heaters need electrical grade magnesium oxide, smelting steel plate needs silicon steel grade magnesium oxide, electronics industry, defense industry and aviation industry need high-purity magnesium oxide, pharmaceutical need pharmaceutical grade magnesium oxide, analysis requires reagent grade magnesium oxide, special industries such as film materials, composite conductive materials, high-temperature catalysts, etc. need special magnesium oxide, such as magnesium oxide whiskers , magnesium peroxide, nano-scale magnesium oxide, etc. China is a major producer of magnesium compounds, with a large number of exports every year, but still needs to import magnesium compounds.
Magnesium oxide, is a representative product of the magnesium compound industry, from scratch, from small to large, China's magnesium oxide products in medicine, food, silicon steel, thermal plastics, rubber, tires, catalysts, adhesives, glass and other fields have been widely used. In 2019, China's main high-end magnesium oxide production capacity was 319,000 tons, and the output reached 218,000 tons, with a compound annual growth rate of 4%. At present, magnesium oxide has become an indispensable or irreplaceable bulk basic chemical raw material in the market.
Chart Analysis of china's high-end magnesium oxide production and capacity
China's magnesium oxide market has great potential, involving many products, including light magnesium oxide, active magnesium oxide and high-purity magnesium oxide. But the market is not mature enough. Although it is a big country of magnesium oxide, it is not a strong country of magnesium oxide. Although the concentration of magnesium oxide industry has increased in recent years, the fundamental problems of enterprises that are generally too small and overcapacity have not been greatly transformed. Product advantages and enterprise profitability can not be significantly improved. Coupled with the downturn in the downstream industry, it is difficult to break through the demand for rubber and other industries, which in turn leads to slow growth in the demand for magnesium oxide market and fierce competition in the product market. In the future, the high-end development of magnesium oxide in China is the only way to go.
China is one of the world's leading producers of magnesium compounds and a major exporter of magnesium salts, but the market for magnesium oxide products is chaotic, and low-end magnesium oxide products occupy the main market share. Therefore, the development of the high-end magnesium oxide industry cannot meet the needs of the Chinese market, and most of them still rely on imports from Japan, Israel, Russia and other countries. In recent years, China's high-purity magnesium oxide industry planning and technology has been gradually upgraded and improved. Profit margins have also increased significantly, and the market share has shown an upward trend year by year.
Note: Domestic silicon steel grade magnesium oxide is quantitatively produced according to customer index demand, so the value of production and sales is basically no source.
At present, there are more and more types of magnesium oxide products in China, and the traditional magnesium oxide can no longer meet the market demand. In recent years, the electronic grade magnesium oxide market has stood out, and the market development has gradually entered the perspective of customers. However, for many customers, the electronic grade magnesium oxide is still relatively unfamiliar. Promotion also has certain difficulties. At present, electronic grade magnesium oxide involves fewer production enterprises.
At present, the industrial magnesium oxide content of more than 95 is the superior grade of magnesium oxide, the content of 98, 98 including 99.99 can be included in the high purity magnesium oxide level, high purity magnesium oxide high efficiency performance, has been applied to many high-end industries, such as silicon steel, medical, food, electronics, ceramics and other fields. In addition, there are some higher-level purified magnesium oxides, mainly used in scientific research, high-end chemicals and other fields, but the market consumption is small. At present, the sales profit of high-purity magnesium oxide in magnesium salt chemical products is relatively considerable.
Chart Structural analysis of the main application areas of high purity magnesium oxide
China's high-purity magnesium oxide is affected by the relevant raw materials and policies in the market, and the price has increased slightly from the second half of 2016. However, the float is not very large, and the development trend is basically stable. The average selling price of domestic silicon steel grade magnesium oxide is between 20,000-30,000 tons, and the import price is about 55,000-60,000 tons. Food and pharmaceutical magnesium oxide market because many production enterprises do not have relevant documents for food business, but the product indicators meet the requirements of food addition indicators. Through research, some demand merchants will purchase such products through relevant channels as additives in order to save costs, so the price difference in product market applications occurs. At present, there are not many enterprises in the country that have food and medical magnesium oxide certificates related to food business. The unlicensed price of the product channels leading to the same indicators is between 10,000-13,000, and the price of enterprises with complete relevant documents is 30,000-35,000 tons.
Figure 4 Analysis of the price trend of Silicon Steel grade in China in 312017
China's high-purity magnesium oxide market application gradually improved, magnesium oxide industry products gradually into the high-end, in recent years, the development speed of high-purity magnesium oxide industry is relatively stable, silicon steel, food, medical, electronics and other fields have gradually been recognized and applied. However, due to the problem of vicious competition in the low-end product market, it will take a certain amount of time for the industry to enter the high-end development. Under the control and guidance of national environmental protection policies, the future market development order of the industry will be effectively governed and changed, and the overall investment environment of the market will be improved.