Strong demand for refractory transition

Orders declined, overcapacity is forcing the industry to accelerate the transformation of refractories, overweight and develop more environmentally friendly products, as well as infrastructure investment since last year makes the industry is ushering in a new turn.

Entering the new century since the

refractory industry has been developing rapidly. National refractory materials production from 10 million tons in 2000 to grow to 60 million tons a year now. 2012 production of 28.18 million tons of refractories, refractory accounting for over 65% of the world production, export volume of 2,039,700 tons.

However, fixed investment by weakening downstream industries, infrastructure to reduce the demand for refractories and other factors, in 2012 to reduce the number of refractories business orders, sales decline, coupled with funding constraints, companies have to shut down the furnace consumes the original inventory.

Recent research Refractory Industry Association of China Refractories 52 manufacturing enterprises showed that in 2012 representing a decrease of Refractories sales revenue of 4.29%, representing a decrease of 21.40% profit; since 2012, accounts receivable increased by 15.34 percent year on year.

To this end, the Ministry released yesterday "Several Opinions on Promoting the healthy and sustainable development of the refractories industry," comments pointed to 2015, the high-end refractory self-sufficiency, magnesite ore resources comprehensive utilization of not less than 90%,

refractory clay mineral resources comprehensive utilization rate of not less than 80%. By 2020, two kinds of mineral resources comprehensive utilization rate of more than 95% and 90%. And to promote the consolidation and reorganization, optimize the industrial layout, enhanced energy saving, eliminate backward production capacity.

It is in the policy guidelines "to promote joint restructuring" of some of the leading companies are constantly extend the industrial chain, to develop non-resistant products, and some companies to develop new building materials industry, and some seek in the field of mineralresources of iron ore, gold, etc. the new space for development, in order to enhance their own resilience. In addition, the policy of steady growth, driven by investment in infrastructure has increased since last year, refractories demand began to improve.

Analysts said that although overcapacity refractory low-end products, but in the context of energy saving, industry restructuring strong demand. In particular the construction of the new urbanization process, environmentally friendly Refractories in great demand, leading the company's future growth is no doubt