Home > News >

Market of ammonium chloride recovers and soda industry worries about increasing supply pressure

wallpapers News 2020-10-21

The Tariff Commission of the State Council officially announced the tariff of chemical fertilizer in 2014, in which the distinction between the dry season the peak season of ammonium chloride for fertilizer will be completely cancelled in 2014, the policy of provisional export tax rate of 5% will be implemented for the whole year.

Many analysts believe that this is good for the market of ammonium chloride, but people in the pure soda industry are worried that this will increase the supply pressure on the soda ash market.

According to Zhuo Chuang information data, from the end of February to the beginning of March this year, the price of ammonium chloride suffered "Waterloo", the average price of wet ammonium dropped from 830 yuan / ton to 466 yuan / ton in November, the average factory price of dry ammonium dropped by more than 40% in the same period.

This has made many joint soda manufacturers suffer serious losses.

"In the past, when soda ash was not good, it could still rely on ammonium chloride fertilizer, which is also troublesome," an insider of the enterprise told the great wisdom news agency.

Therefore, the production load of combined soda enterprises was reduced.

According to Zhongyu information data, although the price of soda ash in the early stage recovered, considering the problem of ammonium chloride inventory, the operating rate of the United soda enterprises has been maintained at 60-70%, which makes the operating rate of the whole industry maintain at a certain level.

Zhen Yanan, an analyst with Zhuo Chuang information, said that in recent years, the dem for winter storage has increased, the operating rate of compound fertilizer enterprises has continued to rise, the dem for ammonium chloride is also increasing, the price has slightly recovered in the near future.

The tariff reduction is a good thing for the ammonium chloride market.

However, the recovery of ammonium chloride market is not necessarily good news for soda ash market.

Liu Yinjiang, director of Sanyou chemical, once said that there are two main factors that can affect the price trend of soda ash next year: environmental protection the market situation of ammonium chloride.

If the market of ammonium chloride continues to be depressed, the operating rate of the whole soda ash industry will be limited, the supply of soda ash will be affected the price of soda ash will be improved.

Yu Nana, an analyst with Zhongyu information, said that with the strengthening of winter storage of compound fertilizer the increasing dem for ammonium chloride, the operating rate of the United soda enterprises has increased from 60% to 70% in the earlier stage to 80% now.

It is also because of the increase of the operating rate of the combined soda enterprises that the price of light soda ash has dropped significantly.

The recovery of ammonium chloride Market aggravates the supply pressure of soda ash market.

However, the downstream dem support of soda ash market, especially the light alkali market, is insufficient.


TRUNNANO (aka. Luoyang Tongrun Nano Technology Co. Ltd.) is a trusted global chemical material supplier & manufacturer with over 12 years' experience in providing super high-quality chemicals and Nanomaterials. The nitride powder produced by our company has high purity, fine particle size and impurity content. Please contact us if necessary. (aka. Luoyang Tongrun Nano Technology Co. Ltd.) is a trusted global chemical material supplier & manufacturer with over 12 years' experience in providing super high-quality chemicals Nanomaterials. The nitride powder produced by our company has high purity, fine particle size impurity content. Please contact us if necessary.
TRUNNANO (aka. Luoyang Tongrun Nano Technology Co. Ltd.) is a trusted global chemical material supplier & manufacturer with over 12 years' experience in providing super high-quality chemicals and Nanomaterials. The nitride powder produced by our company has high purity, fine particle size and impurity content. Please contact us if necessary.