source:silicone plate manufacturers release time:2022-07-11
There are too many, so I won’t list them one by one. In short, the prices of chemical raw materials are rising almost across the board! In the face of unattainable raw material prices, a large number of chemical companies, especially downstream companies, are mourning, their performance is dismal, and they are even in a state of loss! Some companies even more It is difficult to maintain the business and is on the verge of bankruptcy!
The environmental storm blew away the toxic gas and wastewater, and also blew away the bread and rice bowls
Environmental protection is for the benefit of the country and the people. Without environmental protection, we will not have a comfortable and healthy living environment. Without environmental protection, we breathe poisonous gas, drink poisonous water, and eat drugs! Environmental protection is our umbrella! At the same time, For chemical companies, especially small and medium-sized chemical companies, environmental protection is also a sword on the head! In the past two years, environmental protection inspectors have become increasingly strict, from central to local, inspectors at all levels continue to carry out, one after another!
17 inspection teams in Shandong have identified 99 major safety hazards, 17 companies have stopped production, and 229 have been punished! It is required that by 2025, all hazardous chemical production enterprises in densely populated urban areas will complete the relocation and transformation.
More than 130 chemical production facilities in Hubei have all been "closed, stopped, merged, transferred and moved"!
At the same time, the country's supply-side reform has been continuously promoted, and the transformation of new and old kinetic energy has been transformed from regional pilot to comprehensive promotion. "De-capacity" has become a key word in my country's future chemical industry. The so-called "de-capacity" refers to shutting down outdated production capacity that pollutes the environment. Many chemical companies, especially small and medium-sized chemical companies, have limited funds, relatively backward equipment, and inadequate environmental protection, thus becoming the target of the "shutdown" policy. . With the deepening of environmental protection efforts, from the downstream point of view, the survival cost of silicone rubber products and many related industries will be higher and higher.
Environmental protection tax has become a sharp sword to force the transformation and upgrading of chemical enterprises
For chemical companies, one of the major events in 2018 undoubtedly included the implementation of the environmental tax. From January 1, 2018, the "Environmental Protection Tax Law of the People's Republic of China" came into effect, marking China's first tax targeting environmental protection. On April 1, 2018, it entered the first collection period of environmental protection tax.
A total of 14 industries are listed as key monitoring (discharge) objects, and the chemical industry is on the list. The collection of environmental protection tax is a re-segmentation of the interests of enterprises, especially enterprises in high-emission and high-pollution industries will face heavier cost pressures. Therefore, the environmental protection tax does not increase the overall burden of the chemical industry as hyped, but is treated in stages. The more pollutants are discharged, the higher the tax rate is. For enterprises with more effective environmental protection work, it is a good news. Companies that are relatively insufficient are bad news and will face huge environmental tax pressures. As far as China's chemical industry is concerned, except for a few giant chemical companies at the top, most small and medium-sized enterprises generally have problems such as backward environmental protection concepts, backward production equipment, incomplete environmental protection facilities, and large sewage discharge. And such enterprises account for the vast majority of the total number of chemical enterprises in China. Therefore, overall, the implementation of environmental tax is a catalyst for the painful transformation of the chemical industry!
Industry concentration continues to increase, more companies are eliminated
Looking at various industries today, "big fish eat small fish, and whales dominate the world" is a common phenomenon, and the same is true for the chemical industry. According to Deloitte Global’s 2018 Chemical Industry M&A Outlook Report, global chemical M&A activity is expected to remain high in 2018, driven by the recovery of the global economy, continued low financing costs, and still high interest in business growth and transformation through M&A transactions. will remain strong. According to a Deloitte report, in 2017, the global chemical industry M&A transaction value was US$46.4 billion, and the number of M&A transactions reached 637.
Especially in China, a large number of small and medium-sized enterprises have been annexed, and the increasingly large industrial groups have more and more market influence and pricing power, which in turn makes the survival of small and medium-sized enterprises more difficult. In the future, the total number of chemical enterprises in China will be greatly reduced. Small-scale enterprises with sales of less than 100 million yuan in upstream basic chemical raw materials are very rare. The speed of industrial concentration is soaring. position to strive for what they consider "reasonable" profits. The future prospects of the chemical industry are still unknown, but the upstream basic chemical industry is no longer a water that can be easily waded.
The trade war makes the chemical industry even worse!
The recent Sino-US trade war has sounded the horn of an economic war between China and the US, two world-class powers! On April 4, the US government announced that it would impose a 25% tariff on 1,333 items worth $50 billion worth of goods exported to the US. Immediately, China's Ministry of Commerce also announced that it would impose additional 25% tariffs on 14 categories of 106 commodities originating in the United States, including chemicals, agricultural products, and automobiles. On the 5th, Trump issued a statement saying that he had instructed the Office of the US Trade Representative to consider whether it would be appropriate to impose additional tariffs on an additional $100 billion in imports from China based on the "Section 301 investigation."
Chemical products are an important part of Sino-US trade. DowDuPont and Hemmers are well-known chemical companies. They have a huge business scale in China, and China's chemical exports are also increasing! In today's global economic integration, many products are As a result of global industrial chain cooperation, a trade war will lead to damage to all stakeholders in the entire industrial chain! A trade war is a lose-lose struggle, especially for the chemical industry. The increase in import costs and the increase in export tariffs, It will have a significant negative impact on the production and operation of chemical enterprises!
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