Judging from the import situation, domestic sulphuric acid imports amounted to 298,000 tons in May, which accounted for 7.3% of domestic sulphuric acid production in the same month. Imports increased by 112% compared with the same period of last year, and the growth rate reached the highest level in recent years. From January to May, the cumulative domestic sulfuric acid imports amounted to 1.0548 million tons, an increase of 48.9% year-on-year, and the cumulative imports accounted for 5.4% of the 19.239,000 tons of domestic sulfuric acid production in the same period. This shows that the growth of China's sulfuric acid imports has been accelerating. The substantial increase in the amount of sulphuric acid imports is mainly due to the large number of cheap sulphuric acid in neighboring countries hitting the market in China.
From January to May, China's cumulative import of sulfur was 3.2734 million tons, and 70% was used to produce sulfuric acid. Conversion of sulfuric acid equivalent to the import of nearly 6.8 million tons of sulfuric acid was almost 35.5% of domestic 19.3 million tons of sulfuric acid production in the same period. The total amount of imported sulphuric acid and imported sulphur equals 40% of the total domestic sulphuric acid production.
From the price point of view, the market price of sulfuric acid in China has further declined, and the low price has seriously affected the development of domestic sulfuric acid industry. In May, the average price of imported sulphuric acid in the country was US$19.95 per ton, equivalent to only RMB159.6 per ton, even after considering various tax rates, it was only RMB196/ton, which was a decrease of 4.4% from the previous month, and was US$24.48/year earlier. Compared with tons, the decrease was 18.5%. Although the recent drop in the price of imported sulphuric acid has slowed down, the overall decline has not changed as a result.
Under the influence of the influx of imported sulphuric acid and the relatively low import prices, the sluggish domestic sulphuric acid market has continued to increase, and the market price has continued to decline. In June, the domestic sulfuric acid market price dropped by approximately one-third compared with the same period of last year, and this decline has further development trend.
From a production perspective, the current domestic sulphuric acid producers have increased too much, and the growth rate of production capacity and output is too fast, which is also one of the main reasons for the weakness of the domestic sulphuric acid market. In particular, the production of sulphuric acid from the sulphur process has increased substantially, which has affected the development of the domestic sulphuric acid industry and its market.
At present, China's southwest region is relatively reasonable in terms of resource utilization, production device configuration, and comprehensive market utilization. In the East China and Central and South China regions, due to the excessive development of sulfuric acid production devices in recent years, the growth rate of sulfuric acid production is much higher than the market demand in the region. At the same time, these areas are also relatively concentrated areas of China's sulfuric acid imports.
Therefore, the author believes that the current important task for China's sulfuric acid industry is to allocate sulfuric acid production equipment more reasonably through asset integration in the process of survival and elimination of the inferior in the market; in terms of import and export, the import of sulphuric acid and sulphur should be effectively controlled. It is possible to increase the export of sulphur.
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