Encountered the cold market melamine someone was happy

Domestic melamine producers have not felt the warmth of spring but instead are entering the coldest “winter” in history. The cruel reality is also forcing melamine manufacturers to adopt a series of measures to save energy, reduce consumption, and reduce costs, so as to realize the healthy development of the company.

“At present, the ex-factory price of atmospheric melamine is only 7,600 yuan (ton price, the same below), and the ex-factory price of urea is as high as 2,200 yuan. For every 1 ton of melamine produced and sold, the company will have to lose at least 600 yuan.” March 9, Shanxi Feng The director of sales office of Dutch Melamine Co., Ltd. told reporters in a depressed mood. He said that since the beginning of this year, the cost of melamine companies has been significantly reversed. According to the current market conditions, only those melamine enterprises that produce soda ash can still benefit from the benefits of joint production to achieve a meagre profit. The remaining companies are all losing money, and the industry operating rate is only 50%.

"Our melamine plant stopped before the Spring Festival. When it was launched, it was still difficult to determine." Guo Quanpu, general manager of Zhongyuan Dahua Group Sales Co., Ltd., confirmed the arguments of Zhai Ligong.

According to Guo Quanpu, there are two main processes for producing melamine in China, one is the European technology (the so-called high-pressure method), and the other is the gas quenching technology of Beijing Hanjing Technology (also called atmospheric pressure). law). Although high-pressure process products are of good quality, the safety, stability, and environmental protection of the operation of the devices are also superior to those of the atmospheric pressure method. However, due to its large investment (equal investment of equipment of the same scale is more than twice the normal pressure method), the power consumption of the unit product is high (more than 6 tons of steam is consumed compared to the atmospheric pressure method), resulting in a higher comprehensive cost of the high pressure method than the normal pressure method by 1,000 yuan. about. In the general loss of normal-pressure companies, high-pressure companies have suffered more losses.

“The dilemma of melamine companies is caused by disorderly expansion, slowdown of downstream demand and deterioration of the international economic environment.” Chen Duanyang, sales director of Sichuan Jinsheng Cerui Chemical Co., Ltd., told reporters with pain.

He said that from 2007 to 2010, due to the sustained and rapid development of the downstream real estate industry, the domestic melamine market has come out of bull market prices and prices. At the same time, the domestic urea price was not rising due to overcapacity, which made the melamine company profitable and stimulated the continuous increase of new, reform, and expansion projects. According to incomplete statistics, from 2011 to 2012, there will be 13 new melamine enterprises nationwide with a capacity of 450,000 tons; another 280,000 tons of new capacity will be released in 2013. In other words, during the three years from 2011 to 2013, China's average annual production capacity of melamine increased by 243,000 tons, an increase of 23.3%.

However, domestic demand for melamine has decreased in 2010. In 2011, affected by the slowdown in the growth of the domestic real estate market, the anti-dumping sanctions imposed by the EU on China's export of melamine, and the sluggish global economic recovery, China’s melamine exports have decreased, and domestic demand has grown weak. The total melamine output in the year was only higher than the previous year. Increase by 5%. This year, due to the fact that the sovereign debt crisis in European countries has not been eliminated, the economies of other countries are expected to be difficult to increase substantially. Therefore, it is expected that the domestic demand for melamine will increase by 2% to 3% this year, reaching a historic freezing point. Not only that, due to Russia's 50,000-ton/year natural gas urea co-production melamine project, the production capacity of the 60,000-ton/year natural gas urea melamine project in Qatar, Trinidad, and Cobbado will be fully released this year. The cost may not only replace the European melamine enterprise, but also may grab the Chinese company's international market share, curb the domestic melamine export, and make domestic enterprises more competitive. Those small-scale enterprises or those with high energy consumption below the million tons will also face the danger of being eliminated.

"This cruel reality has forced us to take all measures to save energy and reduce consumption, and to reduce costs." Zhai Ligong and Guo Quanpu expressed their solutions to reporters. According to Zhai Ligong, Fenghe Company will further reduce the overall energy consumption of the unit product through measures such as optimizing the process and improving the operation quality of the device. At the same time, efforts are made to learn the management experience of other advanced companies, standardize internal management, and reduce management and operating costs.

In response to the drawbacks of high-pressure steam consumption, Zhongyuan Dahua Group is organizing scientific and technological breakthroughs and has formed a preliminary and feasible plan. Once it is implemented, it will reduce steam consumption, and through high-end and differentiated competition, it will be able to Make the company invincible.

In the face of the overall recession, some well-funded companies have turned their backs on the contrary. In Chen Duanyang’s view, the more difficult it is, the more opportunities for companies to implement low-cost expansion. He said that Sichuan Golden Elephant Group (King's parent company) originally had 180,000 tons/year of melamine production capacity. After the new plant is put into operation this year, the total annual production capacity of melamine will reach 340,000 tons. And all use the province's investment, low energy consumption, advanced technology, atmospheric pressure process technology. Due to the cost advantage of the Xinjiang project, the Sichuan and Hongze projects are located in the melamine consumer market. Therefore, after all of these projects are put into operation and the operation is stable and long, the Jinxiang Group will optimize the industrial layout, reduce operating costs, and enhance the competitiveness of enterprises, so that enterprises can not only successfully withstand the “cold wave” of the market, but also seize market share and achieve health. Continuous development.

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