Soda ash production and sales growth is expected to slow
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It is estimated that GDP will increase by about 10.5% in 2008. According to the relationship between domestic soda consumption growth and GDP growth in recent years, domestic soda ash consumption will also increase by about 10%. Among them, the first main force driving soda ash consumption in recent years is flat glass. It is expected that real estate will maintain a certain rate of development in 2008, promote double-glazed windows, increase glass exports, etc. It is expected that the growth rate of flat glass production will be approximately 12%. To 15%; daily glass, beer and wine bottle change vials, using special bottles, daily glass will maintain about 15% growth rate. Affected by the appreciation of the renminbi, there will not be a large increase in exports.
In the first three quarters of 2008, it is expected that there will be a slight tightening in the domestic market. Three and four companies will be completed and put into production in the third and fourth quarters. The supply and demand situation in the fourth quarter may be balanced. It is expected that the supply and demand of the domestic soda ash market will be largely balanced throughout the year. As the supply of raw materials, energy, transportation and Other supplies are in short supply and prices are rising, the production cost of soda ash manufacturers will increase. In the dual role of cost-driven and market-driven, the annual average price of soda ash may be higher than in 2007.