Transcript of "China formally carries out integration of fluorite resources"
China Formally Carries out Integration of Fluorite ResourcesSummary: China formally starts to integrate fluorite resources, which will improve theefficiency of fluorite utilization and promote the development of high value-added fluorinechemicals.Tags: fluorite, fluorite resource, fluorine chemical, export, fluorite export, integration, exportvolumeChina formally starts to integrate fluorite resources, which will benefit the export control of fluorite,improve the efficiency of fluorite utilization and promote the development of high value-addedfluorine chemicals. However, it will encounter resistance from the enterprises to be eliminatedand the local governments, according to CCM’s July Issue of China Fluoride Materials MonthlyReport.On June 25, 2012, the Ministry of Industry and Information Technology of the Peoples Republicof China promulgated the List of the First Batch of Fluorite Production Lines Which Meet theStandard for Fluorite Industry Admittance. According to this list, ten companies fluorite productionlines have been approved to meet the Standard for Fluorite Industry Admittance. It means thatChina formally carries out integration work of fluorite resources and it will gradually promulgatemore lists, while more and more fluorite producers which do not meet the Standard for FluoriteIndustry Admittance will be eliminated or integrated in the future.The integration of fluorite resource will benefit the export control of fluorite, the efficiency offluorite utilization and the development of high value-added downstream fluorine chemicalproducts.As the main raw material in fluorine chemical industry, fluorite is an important strategic resource.But in the 1990s, the fluorite resource did not arouse adequate attention from the Chinesegovernment and the export volume of fluorite was over 1 million tonnes per year. Moreover,affected by the illegal exploitation, the price of fluorite is extremely low and the environment ispolluted and damaged greatly. Such cases about illegal exploitation have been constantlyrevealed.Although the Chinese government has adopted a series of measures, such as decreasing exportquota, increasing export tariff and setting up exploitation quota, to protect the fluorite resourcessince 1999, there were still huge amounts of fluorite exported oversea. From 1999 to 2011, China
totally exported about 10.5 million tonnes of fluorite. At the same time, China totally exportedabout 1.1 million tonnes of HF, equivalent to 4.4 million tonnes of fluorite, since one tonne of HFconsumes four tonnes of fluorite. It means that China totally exported about 14.9 million tonnes offluorite directly and indirectly from 1999 to 2011, averagely 1.15 million tonnes per year.Simultaneously, Chinese fluorite producers are mostly minor enterprises which lag intechnologies, production equipment and production management currently. In addition, sincethere are numerous minor enterprises, it is not easy for the Chinese government to supervise theexploitation of fluorite, which leads to the emergence of illegal exploitation from time to time.Nowadays, through the integration of fluorite resources, China will eliminate the backwardproduction lines of fluorite and the fluorite resources will be integrated to some preponderantenterprises, which is propitious to control the fluorite export and to improve the utilizationefficiency of fluorite.Apart from this, the integration of the fluorite resources will benefit the preponderant enterprisesto develop high value-added fluorine chemical products, raising the international competitivenessof domestic fluorine chemical enterprises and realizing the transformation and upgrading offluorine chemical industry. Its foreseeable that there will be some leading enterprises withinternational competitiveness in China in the future.However, the integration of fluorite resources will inevitably encounter resistance. The integrationinvolves the deadline problem of fluorite mining right and cross-regional integration, so itsnecessary to balance the interests of enterprises to be eliminated and local governments.In fact, the resistance has emerged. The Standard for Fluorite Industry Admittance has been putinto practice since March 1, 2010. It has regulated that the disposal ability of every single oreselection line must be at least 100t/d and the enterprises with mining capacity of 30,000t/a arerequired to build the corresponding selection plants. Whats more, plants that fail to meet thecriteria must be suspended after July 1, 2011. But after the Standard for Fluorite IndustryAdmittance was promulgated, there had been no action until May 2012 when the evaluation forfluorite industry admittance have just started to be carried out, and the List of the First Batch ofFluorite Production Lines Which Meet the Standard for Fluorite Industry Admittance hasnt beenissued until June 25, 2012.Apparently, along with the progress of integration, more and more resistance from enterprises tobe eliminated and local governments will emerge in the future.
Source: China Fluoride Materials Monthly Report 1207http://www.cnchemicals.com/Newsletter/NewsletterDetail_241.htmlMain content of China Fluoride Materials Monthly Report 1207:China witnesses uptrend of fluorite ore and downtrend of fluorite powder in H1 2012China formally carries out integration of fluorite resourcesDomestic price of HCFC-22 decreases a lot in June 2012Development strategy of AHF enterprises in ChinaTianye Tolian obtains reparations from Yinyi MiningDomestic price of aluminum fluoride maintains a decreasing trendDo-Fluorite purchases 73% share of Baiyin ZhongtianPFA to witness better development in ChinaThe consumption situation of three grades of PTFE resin in ChinaLiPF6 industry in China to grow explosively in 12th Five-year Plan periodDomestic demand of LiPF6 to expand due to a new policy to promote energy-savingand new-energy vehiclesChina Fluoride Materials Monthly Report, a monthly publication issued by CCM Internationalon 20th of every month, covers the sectors on policy & legislation, company dynamic, supply &demand, price update, etc. of China’s fluoride material market. It will help you follow the dynamicthroughout the whole value chain immediately.About CCM InternationalCCM International is dedicated to market research in China, Asia-Pacific Rim and global market.With a staff of more than 150 dedicated highly-educated professionals. CCM International offersMarket Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis allthrough its new proprietary product ValoTracer. For more information, please visithttp://www.cnchemicals.com.CCM International Ltd.Guangzhou CCM Information Science & Technology Co., Ltd.17th Floor, Huihua Commercial & Trade Mansion, No.80 Xianlie Zhong Road, Guangzhou510070, ChinaTel: 86-20-37616606Email: firstname.lastname@example.org