Transformation Path of Magnesium Oxide Suppliers

It is imperative to transformation and upgrading for magnesium oxide suppliers. Because only innovation can survive, make progress and development, and have the future. Hebei Meishen Technology Co.,LTD is exploring the path of the transformation and upgrading when assist colleagues to accelerate the transformation. In such a long time exploration, we summarized the following a few practical path of transformation and upgrading, for your reference.

1.The transition of the Concept
Transformation and upgrading have become the new normal of magnesium oxide industry in the future. Enterprises cannot be negative, avoidance, wait and see, must comply. We must to know, enterprises will come true transition finally, even if not in your hand but in the nest generation.

2.The improvement of Business Model
Transition from the past traditional mode, then change orientation, to a higher vision. For example, a traditional magnesium oxide manufacture, is likely to shift to a enterprise providing multifunctional chemical supporting service. Upgrade, that is to say from primary raw materials processing, upgraded to a high value-added end products or extension product development. E-business, magnesium oxide industry is B2C business for most suppliers, but the impact of the Internet has been unable to ignore, the target customers are on the Internet in the future, whether terminal consumers, or purchasing decision makers. Therefore, we must make close to magnesium oxide E-business supplier, and make it as the marketing tool.

3.The improvement of Science and Technology
We had better use the advanced production technology and process which meet the requirements of the Times. Change the extensive system of production process, to achieve environmental protection, energy saving and low carbon. For example, introduction of foreign technology, vigorously improve the existing magnesium oxide production process of enterprises.

2016 Magnesium Oxide Industry Meet the Challenges and Seize the Opportunities

2015 has been in the past, looking forward to 2016, magnesium oxide industry is full of challenges and opportunities. As an industry leader, Hebei Meishen Technology Co.,LTD is willing to work with other peer manufacturers together to seize the opportunity, actively meet the challenge. Review of recent six years, the price of magnesium oxide is gradually falling as a whole, and particularly in 2015, which is closely related with the external environment, market supply and demand.

First of all, the economic situation at home and abroad are poorly run. In the country side, not just the chemical market, but many industries have excess capacity, economic growth is slowing. With the addition of federal reserve raising interest rates and RMB devaluation and other policy factors, it has a limit of domestic market. Most of the chemical industries have been affected, and the same with magnesium oxide industry.

Secondly, magnesium oxide itself is not optimistic. Domestic production also soared, although domestic factories in the loss of status, in a timely manner to reduce capacity utilization, the output still reached 80 million tons. But in the case of long-term dependence on imported supplies, import quantity also rose, annual imports 534000 tons, up 7.6% from a year earlier.
After the Spring Festival, although demand has not yet fully recovered, but in the rise in raw material, manufacturer under the action of comprehensive factors such as limit production and demand expected rebound, magnesium oxide market have got better. Meishen Chemical thought that 2016 year will be better than 2015, both factories and dealers need to be well prepared to meet challenges and opportunities.

End Demand of Magnesium Oxide is Difficult to Improve in Short Period

At present, many domestic industries are weakening in demand, and the price war is fierce, production capacity is excess and export is blocked. Industry development is depression, the rate of operation is less than 60%. As the same, it is influence the magnesium oxide industry, and the end demand is difficult to improve in short period.

As for magnesium oxide market, since 2016 year, the price is present down constantly. In short, end demands are difficult to improve in short period. In future, the car industry and manufacturing industry are facing with the pressure of reducing inventory, together with the time of China’s macro economic recovery and the transformation of economic structure, so the future development trend of magnesium oxide industry, is affected by end demand particularly critical.

Recently domestic magnesium oxide enterprises starts work at about 50% on average, present off-season. It is reported that magnesium oxide factory monthly output is in the range of 100 ~ 700 tons. Because the market is depression and less downstream demand, some enterprises opened only half of the production line, and the production changed little. Market instability and rising price of raw material are resulting in the reduction of profits. Magnesium oxide as the main products of Hebei Meishen Technology Co.,LTD in China, we are transforming and upgrading of high-end magnesium oxide. Details you can contact with our online service and there are someone waiting for you reply.

Magnesium Oxide Industry Should Vigorously Develop Those Market

First of all, vigorously develop magnesium oxide high-end materials market. In the trade deficit of magnesium oxide industry, high-end materials is one of the largest number of imports, and it is the most competitive market among multinational companies. We should try to break through the bottleneck of technology restriction, get big breakthrough in supply ability of food packaging materials, chemical building materials, automobile lightweight materials, electronic chemicals material, making efforts to narrow the gap with the developed countries.

Secondly to vigorously develop magnesium oxide specialty chemicals market. China is a consumption super-country, and there is a huge market demand of food additives, textile after treatment agent, printing and dyeing auxiliaries, new paint, pharmaceutical raw materials, daily chemical and other specialty chemicals. For such a huge, technology and high value of the terminal consumer market, our magnesium oxide enterprises should make great efforts to enhance the capacity of innovation, expanding rate and share.

Finally vigorously develop the overseas market. Especially strengthen the exchanges and cooperation of countries along the “area”, according to the characteristics and requirements of different countries, a targeted by a number of ways in order to promote magnesium oxide products “go out”. Conducting magnesium oxide fine processing of upstream and downstream, extend the industrial chain, formed a batch of headed by Hebei Meishen Technology Co.,LTD, backbone enterprises with international competitiveness and market development ability.

Magnesium Oxide Industry in 2016 Promising for Inflection Point

As currently envisaged, magnesium oxide industry in 2016 is expected to result a turning point.

One of the factors is that RMB exchange rate fluctuations in favor of magnesium oxide industry sales rebound. China is magnesium oxide production base in the world, especially in terms of light, food & pharmaceutical grade, silicon steel grade magnesium oxide products, have a strong competitive advantage. The fluctuations of the exchange rate make renminbi-denominated products increase competitiveness in global. Therefore, magnesium oxide exports have strong momentum, is expected to boost revenue related company sustained, rapid recovery.

The second factor is that lower interest rates will significantly reduce the financial costs. In 2015, China continued to cut interest rates five times, more than 5-year benchmark lending rate from 6.15% to 4.9%, which is no doubt that it is big benefits for magnesium oxide industry. Because the magnesium oxide industry is larger investment industry, with high capital investment, long payback period features. Naturally, this will greatly enhance the profitability of large companies.

The third factor is that raw material cost reduction. In 2015, due to the global economic slowdown and other factors, a sharp fall in global commodity markets, this provides an excellent opportunity for the development of magnesium oxide industry. Because magnesium oxide industry chain source mainly include magnesite, magnesium hydroxide and coal, and their price are falling in 2015 with the typical channel. Magnesium industry of raw materials procurement spending will be greatly decreased, which benefits the industry profitability.

Meishen Technology Established E-Commerce Platform

Hebei Meishen Technology Co.,LTD established the first Internet sales department of production-oriented enterprises. Use E-commerce platform, make order of magnesium oxide and other related chemical products online, then through the MEISHEN factory and its surrounding mainstream storage companies, trading and transporting chemical products offline.

Establishing E-Commerce Platform is conducive to local economic development. Our internet sales department is located in Xingtai city, which can pull the warehousing, logistics and related industries to develop together, and bring the tax. It is said by Sun Wen, the CEO of Meishen Technology, “hope that through this platform for the development of Xingtai contribute our little strength.”

Meishen Technology actively attempt innovative, “do the first person to eat crab”. With other E-Commerce platform complementary rather than competitive relationship, mutual achievement in development. Practice has proved, this innovation of heterogeneous platform, not only has a more competitive, but also effectively avoid systemic risk caused by a trader defaults, making platform develop more secure and robust.

The MEISHEN Concept of Environmentally Friendly Production

The increased haze and production accidents are the important problems faced by domestic chemical market. Magnesium oxide is a kind of the important chemical raw materials, so its production is getting more and more attention.

MEISHEN CHEMICAL since established, then put forward the slogan”enterprise development, environmental protection first”, put the burden in mind of environmental obligations and social responsibility, start from state and society interests, actively coordinating economic relations between local and global interests, increase investment in environmental protection funds, promote the pollution prevention, ensure the safety of the enterprise environment. The company continued to carry out clean production, adhere to the scientific development concept as guidance, take the concept of environment protection and sustainable development throughout the whole process of production. Strict implementation of national environmental policy, make efforts to come true cleaner production, actively promote the circular economy, to promote mutual coordination between economic benefits, social benefits and environmental benefits.

One hand to grasp the production, the other hand to grasp the environmental protection, hold with two Hands and hold It firmly. Only in this way can achieve production and environmental protection of a win-win situation, to make enterprise impregnable position in the development of long-term, seek welfare for enterprises and society.

Meishen Technology Conduct Safety Production Training

Recently, in order to further enhance the safety awareness of magnesium oxide production personnel and self-protection awareness, improve the management level of enterprise safety in production, Hebei Meishen Technology Co.,LTD conduct the safety production training. Enterprises from the relevant people in charge, to the front-line staff have participated in training.

At the scene of the training, magnesium oxide safety technology experts combine recent typical safety production accident cases around, publicize the importance of good work safety in production, emphasizes that chemical industry overlooked defense work could endanger the lives and health and other hazards. The training mainly includes transformation of consciousness, responsibility, ability to enhance other aspects, and for the safety of the premise, the core and guarantee were classified Interpretation.

Through this training, Hebei Meishen Technology Co.,LTD further improved the safety production consciousness of responsible persons of enterprises, enhanced the employees ability of standardized operation, further ensure the employees’ life, health and safety as well as enterprise safe production situation are stable.

Mr.Sun Wen-the Founder of Meishen Chemical

Sun Wen, one of the China association of magnesium salt permanent members and the drafters of national standard, is the seventh Guanzong Level Standing Committee, the eighth National People’s Congress of Xingtai Qiaodong district, the first session of the top ten young entrepreneurs sun of Xingtai Qiaodong district and the 11th Xingtai CPPCC.

From graduated from college as a seller in chemical materials factory, to act as the SEO of Meishen Chemical, Sun Wen had engaged in magnesium oxide industry for more than 20 years. Today, the magnesium oxide company he founded is one of the best brands in China, with annual sales of several hundred million. Meishen Chemical Co.,LTD have employees more than 300 people, more than half of them are university graduates. At the end of 2010, the company added a new production line with a leading domestic level, such that production and sales in the domestic industry occupies first. Meishen Chemical had become a company which is given priority to with magnesium carbonate production, diversification of integrated companies. Equipped with tianjin office, guangzhou office and chengdu office, office of hangzhou, and other branches, meanwhile have our own logistics company.

While continuous development of enterprises, Mr.Sun did not forget the entrepreneur social responsibility. In recent years, he funded a dozen of poor students, guiding college students tart up business for more than 20 times. Individual donations on Philanthropy more than 50 million yuan.

Magnesium Oxide Industry Development in 2016

In 2016, magnesium oxide industry in China still faces serious structural problems. On the one hand, traditional magnesium oxide products have excess capacity, on the one hand, shortage of high-end products is very outstanding. So magnesium oxide industry needs transformation eagerly.

At present, the total production of magnesium products significantly more than domestic demand in China, resources, environmental constraints have become increasingly prominent. Relying on extensive development mode of high input, high consumption and low labor costs is still ongoing. At the same time, the industry import and export in a state of trade deficit for many years, and there are serious shortage of resource products and high-end magnesium oxide products.

Although magnesium oxide overcapacity serious, import and export of chemical products are still in deficit. Exports mainly low-end magnesium oxide, while the import is high-end products, transformation and upgrading of industry structure is very urgent. Some enterprises, such as MEISHEN CHMEICAL CO.,LTD, had developed a long-term plan to improve the quality and efficiency, accelerate new product development, expand competitive differentiation. In 2016, magnesium oxide industry will try to improve and optimize the supply ability, develop overseas market, accelerate the pace of transformation and upgrading of enterprises.