Surface Ignitor
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Carbon Black Industry
Carbon black industry, the financial crisis has brought a great impact. Since late last year, carbon black business once cut up to 60% profit decline in the level of surface reached 50%. Although driven by domestic demand, the country started, carbon black sales market gradually return to warm, carbon black production and sales return to normal, year on year growth, but the level of overall profitability of the industry is still way lower. According to statistics, in 2009 1 May, the total amount of carbon black industry profits fell last year compared with 120.4 percent, while the 1 April Gengshi Bi fell 144.9 percent last year, becoming the only statistical loss of rubber industry sectors.
Excess capacity caused by lower prices
Beginning in 2002, China's average utilization rate of carbon black equipment has been maintained at about 70%, far below the more than 90% of foreign equipment utilization. According to statistics, in 2008 China's carbon black production capacity of 3.59 million tons, wet granulating carbon black production accounts for 90%, with an average capacity utilization is only 68%, focusing on business equipment utilization rate of about 80%. Carbon black in 2009 due to several large enterprises have put into production devices, with an average capacity utilization will continue to decrease.
In recent years, enterprises have expansion of carbon black in order to achieve economies of scale. As the carbon black technology is relatively mature, and infrastructure investment cycle is short, relatively quick, resulting in carbon black industry, investment in infrastructure is too large, serious excess capacity. In such a case of overcapacity, price competition has become the primary means of joint ventures, especially in some cases the price way down, carbon black product price war intensified, leading to weaker corporate profitability step by step, low-profit or loss a foregone conclusion.
Increase the risk of price fluctuations of raw materials
Cost of production of carbon black, up to 85% of the feedstock costs, but in recent years, oil price fluctuations of raw materials relatively large enterprises current products sold, not with the current oil prices of raw materials to match, while the enterprise is unable to accurately predict fuel oil prices, a reasonable supply of raw materials depot stock. And the purchase of raw materials market in terms of sales or market price of carbon black businesses do not have the right to decide two pressure risk factor leading to loss of increased business.
Increased competition in the market of export disruption
In 2000 to 2003, foreign dumping large quantities of carbon black to our country, when carbon black by the China Rubber Industry Association, an anti-dumping companies affiliated organizations in order to maintain domestic carbon black business interests, and from 2005 the same amount of carbon black import and export, after coal Black exports showed an upward trend year after year, China became a net exporter of carbon black. In June 2007 the state canceled the 13% of carbon black export tax rebate rate this end, China Rubber Industry Association, the national authorities many times to reflect the request to resume the export tax rebate rate of carbon black, has not yet received any reply.
In addition, using the FCC is basically foreign oil (FCC decant oil) to produce carbon black, as foreign oil prices fall, FCC is basically oil prices and domestic price gap between coal tar is not, the cost advantage of China's export of carbon black shaken No deposit, in overseas markets at a competitive disadvantage. Carbon black exports, which account for about 40% of the total tire to 50% of the tire is not optimistic about export prospects. Currently exported to the U.S. case of the tire face special safeguard investigations, if the tire exports to the U.S. case of special protection, once established, China's tire industry will be a heavy blow for us in the carbon black industry is undoubtedly worse.
To change this level of profitability all the way down the situation, industry experts pointed out the need for increased technical input, adjusting the industrial structure.
On the one hand to increase the technical input to some of China's serious shortage of technical inputs of carbon black industry, the majority of enterprise funds have been spent on the expansion of reproduction, causing the development of China's carbon black varieties of tires has always lagged behind the development of varieties with the quality of well-known international brand presence the gap, the proposed conditional technology research and development of enterprises should increase investment in research and development should take the initiative to further enhance product quality, high-performance tires and carbon black, low-rolling resistance rubber, carbon black and automotive-specific carbon black of new varieties, development of better performance of the carbon black and conductive carbon black pigment new varieties.
On the other hand, carbon black industry should adjust the industrial structure, set the access threshold, out of the small-scale enterprises and the production of carbon black plant, is no longer a new scale of 5 million tons for the carbon black plant, not the building of capacity in the 20000 tons (including dry granulation and wet granulation) of carbon black production plant, cultivate 2 to 3 domestic carbon black enterprises as the mainstay, the scale of 30 million tons, the company can compete with multinational carbon black carbon black group.
In addition, we have to solve the domestic oil supply shortage of raw materials, seeking FCC foreign oil, to make up for deficiencies in the domestic carbon black feedstock.
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