In recent years, the two major alkali industries have experienced a surge in capacity expansion, which has driven a rapid increase in domestic crude salt production. By 2007, the raw salt market saw a reduction in shortages, and overcapacity emerged in certain regions. This led to an effective restructuring of the industry. New production capacity was primarily focused on saline-alkali joint projects, with the construction of integrated salt and chlor-alkali facilities accelerating significantly. The industry layout also evolved, resulting in a growing share of mineral and lake salt. Crude salt production in 2008 continued the upward trend from the previous year, but by the latter half of the year, oversupply was expected, leading to further price declines.
In 2007, China’s raw salt production capacity and output continued to grow rapidly. Due to favorable weather conditions, sea salt production in northern regions remained high, while well and mineral salt production maintained growth rates above 10%. Additionally, the two alkali industries invested in building their own salt fields, which accelerated industry capacity expansion. According to domestic production and trade data, raw salt consumption in 2007 reached approximately 61.2 million tons, up 8.3% compared to the same period in 2006. However, the rapid increase in supply caused prices to fall throughout the year.
Domestic chlor-alkali and soda ash production capacity and output also grew quickly in 2007. In 2008, the government increased its oversight of "high pollution, high energy consumption, and resource-intensive" projects. Both chlor-alkali and soda ash are energy-intensive, and chlor-alkali supporting PVC is also resource-heavy. As a result, many large-scale projects were delayed or canceled, especially in regions like Jiangsu, Shandong, and Inner Mongolia, where new chlor-alkali projects often included self-sufficient salt sources, reducing demand for raw salt.
With the commissioning of several large chlor-alkali plants and the expansion of some soda ash facilities, crude salt prices rebounded in the first quarter of 2008. However, by the second half of the year, as crude salt production outpaced demand from downstream industries, prices began to decline again, creating an oversupply situation. Despite this, the low profit margins in crude salt production limited the extent of the price drop, and the impact of macroeconomic controls by the alkali industries remained evident.
Looking ahead, the raw salt market is expected to face oversupply, and the imbalance between salt and alkali industries will become more pronounced. Raw salt prices are likely to remain at a low level. Domestic raw salt companies should focus on the following strategies:
First, delay or cancel unnecessary projects. Many regions still plan to expand or build new salt and chlor-alkali or soda ash facilities. With increasing government control, the alkali industry remains a priority for regulation. Companies should align with national policies, delay or cancel uncompetitive projects, save resources, and reduce market risks.
Second, diversify product offerings. Most domestic salt is produced in solid form, but liquid salt can save energy, and pipeline transport reduces logistics costs. Therefore, companies should increase the proportion of liquid salt production. They should also develop various types of edible and industrial salt with health benefits to improve quality and add value.
Third, extend the industrial chain. Raw salt relies on resource availability and scale for profitability. To achieve sustainable development and higher value, companies should accelerate integration with salt chemical industries, developing downstream products such as chlorine, caustic soda, and fine chemicals. This will create a comprehensive industrial chain that spans upstream, midstream, and downstream sectors.
EVA Resin
EVA resin is an ethylene-vinyl acetate copolymer, and the general vinyl acetate (VA) content is 5% to 40%. Compared with polyethylene, EVA is widely used in foam shoes due to the introduction of vinyl acetate monomer into the molecular chain, which reduces high crystallinity and improves flexibility, impact resistance, filler compatibility and heat sealing performance. Materials, functional shed film, packaging film, hot melt adhesive, wire and cable and toys and other fields. Generally speaking, the performance of EVA resin mainly depends on the content of vinyl acetate on the molecular chain.
Main purpose:
1. It is widely used in the fields of foamed shoe materials, functional shed films, packaging molds, hot melt adhesives, wires and cables and toys.
2. EVA products with vinyl acetate content of 5% ~ 10% are elastic films;
3. EVA with vinyl acetate content of 20-28% is mainly used for hot melt adhesive and coating products;
4. The content of vinyl acetate is 5% ~ 45%, and the main products are films (including agricultural films) and sheets, injection molding, molding products, foaming products, hot-melt adhesives, etc.
(1) Foamed shoe material. Shoe material is the main application field of EVA resin in China. In the EVA resin used for shoe materials, the content of vinyl acetate is generally 15% ~ 22%. Because EVA resin blended foamed products have soft, good elasticity, chemical corrosion resistance and other properties, they are widely used in the soles and interior materials of middle and high-end travel shoes, mountaineering shoes, slippers and sandals. In addition, this material is also used in the fields of soundproof panels, gymnastic pads and sealing materials.
(2) Film. The main purpose of EVA film is to produce functional greenhouse film. The functional shed film has high weather resistance, anti fogging and thermal insulation performance. Because polyethylene has no polarity, even if a certain amount of anti fogging agent is added, its anti fogging performance can only be maintained for about 2 months; The shed film made by adding a certain amount of EVA resin not only has a high light transmittance, but also has a great improvement in the anti fog drop performance, generally more than 4 months. In addition, EVA can also be used to produce packaging film, medical film, laminated film, casting film, etc.
(3) Wires and cables. With the continuous development of computer and network engineering, halogen-free flame retardant cables and silane crosslinked cables are more and more used for the safety of computer rooms. EVA resin is widely used in halogen-free flame retardant cables, semiconductor shielded cables and two-step silane crosslinked cables due to its good filler inclusion and crosslinkability. In addition, EVA resin is also used to make the sheath of some special cables. The content of EVA resin used in wires and cables is generally 12% ~ 24%.
(4) Toys. EVA resin is also widely used in toys, such as children's wheels and seat cushions.
(5) Hot melt adhesive. The hot melt adhesive with EVA resin as the main component is very suitable for automatic assembly line production because it does not contain solvent, does not pollute the environment and has high safety. Therefore, it is widely used in wireless book binding, furniture edge sealing, automobile and household appliance assembly, shoe making, carpet coating and metal anti-corrosion coating.
(6) Others. EVA resin is also widely used in ink, luggage, wine bottle cushion cover and other fields. It is estimated that the consumption of EVA resin in these areas is not less than 15 kt.
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