There is an old saying in China: The skin does not exist, Mao will be attached. Upstream and downstream chemical production is very strong, if the upstream companies blindly care about their own interests, regardless of the affordability of the downstream, resulting in downstream damage, the ultimate victim is their own, can be described as 'little dead.'
At present, there are only two companies that produce chloroprene rubber in China: Shanxi Synthetic Rubber Group Co., Ltd. and Chongqing Changshou Chemical Co., Ltd. The two companies have combined production capacity of more than 40,000 tons per year. Since 2000, the apparent consumption of chloroprene rubber in China has been more than 60,000 tons per year. In other words, the domestic market is necessitated by the lack of production of neoprene. Every year, there are more than 20,000 tons of market gaps that need to be resolved through imports. .
On September 8, 2003, Chongqing Changshou Chemical Industry Co., Ltd. and Shanxi Synthetic Rubber Group Co., Ltd. jointly submitted an application for anti-dumping investigation of chloroprene rubber to the Ministry of Commerce. The Ministry of Commerce initiated an anti-dumping investigation against the product on November 10, 2003. survey. On December 1, 2004, the Ministry of Commerce issued a preliminary announcement of this case and decided to take temporary anti-dumping measures against the product under investigation. On May 10 this year, the Ministry of Commerce made another final ruling, which was imported from Japan, the United States, and the European Union. Neoprene rubber imposes anti-dumping duties ranging from 2% to 151% for a period of 5 years.
It is understood that due to the short supply in the market, since the second half of 2003, the domestic market price of neoprene has generally risen. From the first half of 2000 to the first half of 2003, the market prices of China's neoprene CR322 and CR244 basically fluctuate around 19,000 yuan/ton, and by 2004 the average market price reached 23,000 to 24,000 yuan/ton, and the average market price this year was also 23,500 yuan/ton. About tons.
Anti-dumping is a 'double-edged sword'. The industry believes that although anti-dumping of neoprene blocked the imported low-priced products and protected the interests of domestic manufacturers of neoprene, it also caused the market price to rise. Downstream companies have to bear huge cost pressures and complain. . It is reported that many adhesive companies using neoprene rubber as their raw materials, due to the rising raw material prices and rising production costs, the increased costs are difficult to shift downstream, and production is difficult to maintain.
Not long ago, the Shanxi Datong municipal government made a decision to relocate Shanxi Synthetic Rubber Group Co., Ltd., which is seriously polluting. Although the specific relocation date has not yet been determined, it will be no later than 25,000 tons/year. The implementation of the relocation of Shan Rubber will inevitably increase the supply of neoprene in the domestic market. If no other measures are taken, the price of domestic neoprene will be unavoidable.
Of course, the price of neoprene continues to rise and directly damaged is the downstream company of neoprene. However, if the production of these downstream companies is unsustainable and they have to stop production, what are the outlets for the products produced by the neoprene enterprises?
At present, there are only two companies that produce chloroprene rubber in China: Shanxi Synthetic Rubber Group Co., Ltd. and Chongqing Changshou Chemical Co., Ltd. The two companies have combined production capacity of more than 40,000 tons per year. Since 2000, the apparent consumption of chloroprene rubber in China has been more than 60,000 tons per year. In other words, the domestic market is necessitated by the lack of production of neoprene. Every year, there are more than 20,000 tons of market gaps that need to be resolved through imports. .
On September 8, 2003, Chongqing Changshou Chemical Industry Co., Ltd. and Shanxi Synthetic Rubber Group Co., Ltd. jointly submitted an application for anti-dumping investigation of chloroprene rubber to the Ministry of Commerce. The Ministry of Commerce initiated an anti-dumping investigation against the product on November 10, 2003. survey. On December 1, 2004, the Ministry of Commerce issued a preliminary announcement of this case and decided to take temporary anti-dumping measures against the product under investigation. On May 10 this year, the Ministry of Commerce made another final ruling, which was imported from Japan, the United States, and the European Union. Neoprene rubber imposes anti-dumping duties ranging from 2% to 151% for a period of 5 years.
It is understood that due to the short supply in the market, since the second half of 2003, the domestic market price of neoprene has generally risen. From the first half of 2000 to the first half of 2003, the market prices of China's neoprene CR322 and CR244 basically fluctuate around 19,000 yuan/ton, and by 2004 the average market price reached 23,000 to 24,000 yuan/ton, and the average market price this year was also 23,500 yuan/ton. About tons.
Anti-dumping is a 'double-edged sword'. The industry believes that although anti-dumping of neoprene blocked the imported low-priced products and protected the interests of domestic manufacturers of neoprene, it also caused the market price to rise. Downstream companies have to bear huge cost pressures and complain. . It is reported that many adhesive companies using neoprene rubber as their raw materials, due to the rising raw material prices and rising production costs, the increased costs are difficult to shift downstream, and production is difficult to maintain.
Not long ago, the Shanxi Datong municipal government made a decision to relocate Shanxi Synthetic Rubber Group Co., Ltd., which is seriously polluting. Although the specific relocation date has not yet been determined, it will be no later than 25,000 tons/year. The implementation of the relocation of Shan Rubber will inevitably increase the supply of neoprene in the domestic market. If no other measures are taken, the price of domestic neoprene will be unavoidable.
Of course, the price of neoprene continues to rise and directly damaged is the downstream company of neoprene. However, if the production of these downstream companies is unsustainable and they have to stop production, what are the outlets for the products produced by the neoprene enterprises?