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China is the world's largest producer, consumer and exporter of light burnt magnesia balls. China's light burnt magnesia ball industry has supported the rapid development of iron and steel. However, in recent years, due to the shrinkage of market demand and the sharp rise in cost, the efficiency of refractory enterprises has declined, and the prospects are not optimistic.
Light burnt magnesia spheres are mainly used in iron and steel, non-ferrous metal smelting and other fields. Among them, the steel industry is the largest user of light burnt magnesia balls, and its consumption accounts for 60% - 65% of the total refractory consumption.
In recent years, with the downstream industry enterprises standardizing the procurement order, the refractory market has shifted to the dominant enterprises. At present, it is a game between large refractory enterprises.
Light burned magnesia ball
Influenced by the downturn of domestic steel and other downstream industries, especially the decline in demand for refractories for infrastructure, the output of refractories in China was 27.9715 million tons, a decrease of 4.48% compared with the same period last year.
The main downstream industries are affected by overcapacity, and the contradiction between supply and demand is prominent. The situation of low price and low benefit is difficult to change in the short term, and the market demand of their products has entered the peak arc.
With the progress of refractory technology and the improvement of performance, the consumption of refractory per unit product will gradually decrease. The research results of the Refractories Association show that the consumption of refractories per ton of steel has dropped to 15 kg under the overall contracted procurement mode in China's iron and steel industry, but there is still a big gap between the consumption of refractories per ton of steel in China and the advanced international level.
Therefore, the domestic demand for refractories will show a fluctuating trend of overall decline under the multiple effects of overcapacity in the domestic downstream industry and technological progress to reduce the consumption of refractories per unit.