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The dilemma of rare earth polishing materials industry
Rare earth polishing materials are a class of more important rare earth products. Because of its strong cutting ability, short polishing time, high polishing precision, and clean operating environment, it is widely favored by the market. China's rare earth polishing materials industry is currently in a huge predicament.
First, there is a serious overcapacity
When talking about the dilemma of China's rare earth polishing materials industry, the first thing to say is that there is a serious overcapacity caused by price changes. The price of rare earth polishing powder has soared from 35,000 yuan/ton in 2008 to 260,000 yuan/ton in 2011, and since the beginning of 2012, it has started a sharp big price cut, and its price has returned to seven years ago. Such prices have suddenly changed. In the early stage, many enterprises in China accelerated into the rare earth polishing materials industry. Soon, the number of polishing materials enterprises has grown to more than 40, and the total production capacity has reached more than 60,000 tons per year. At present, the demand for rare earth polishing powder in the actual market does not exceed 20,000 tons/year. This has caused a serious overcapacity in the production of post-polishing materials. In this way, the production capacity under the low price is seriously over-supplied, forcing many rare earth polishing materials enterprises to reduce production and even stop production, and small enterprises will compete in price to survive.
Second, the technology is relatively backward
After decades of development, China's rare earth polishing materials industry has become the world's number one in terms of capacity, output and consumption, but it is still relatively low-end in technology and application. Particularly technically, rare earth polishing materials required for high-end applications such as semiconductor polishing still rely on imports. This makes China's rare earth polishing materials subject to high-end applications.
Third, lack of market confidence
In the short-term, the rare earth polishing material industry experienced the price evolution of “Ice and Fire Two Heavensâ€, which caused a heavy blow to downstream users. Some appetite manufacturers turned to alternatives to polishing powder. Rare-earth polishing powder manufacturers have low confidence in the industry and are reluctant to invest in technology research and development funds. They are only willing to maintain the status quo and even try to leave the industry.
Future development trend of rare earth polishing materials industry
In the next decade or even decades, the prosperity and development of global electronic products will still be inevitable. As a major polishing consumable for electronic products such as liquid crystal glass, mobile phone panels, and optical glass, rare earth polishing materials will continue to receive attention and attention from the market.
First, market demand is determined to exist.
The electronic application market for rare earth polishing powder continues to develop rapidly. In the next 3-5 years, the application market of rare earth polishing powder will grow rapidly by 20-30%. For example, at present, the largest application market for rare earth polishing powders - the touch screen market will develop rapidly in recent years. According to market research firm Displaybank in the touch panel market analysis, in the next few years, touch panels will be gradually applied to larger displays such as AIO (All in one) PCs and notebooks from the fields of smartphones, tablets and digital cameras. In computers and gaming devices, revenue in 2017 has reached $23.9 billion. The growth of the application market capacity will undoubtedly bring huge development space to the rare earth polishing powder market.
Second, the market differentiation creates a pattern
With the development of China's rare earth polishing powder application market and the technological progress of production enterprises, the rare earth polishing powder industry will present a segmentation between industries. Due to the different requirements of different application fields for the performance index of rare earth polishing powder, according to different quality requirements and price tolerance, the rare earth polishing powder industry will be subdivided into glass jewelry, touch glass, liquid crystal display glass and optical glass. Sub-area. In each segment, it will gradually be integrated into one or several manufacturers' products. In the past few years, many manufacturers have fully attacked and competed in various fields and will be improved.
Opportunities in the rare earth polishing material industry
Despite all the difficulties, the rare earth polishing materials industry still has a good future development space. Therefore, these difficult problems are, in the final analysis, still problems in development. There will be problems in development, and problems will promote further development. Only by striving to solve a problem in development, China's rare earth polishing materials industry can become more powerful, and it will be able to continue to gain benefits in the future.
First, development is the last word.
For the above several dilemmas, the trial back-calculation method is analyzed as follows. Overcapacity is an inevitable experience of the development of commodity economy, and the relative backwardness of over-removing is also its ultimate inevitable destination. Insufficient market confidence, the main reasons should be: First, the price fluctuation of raw materials is too large, so that the downstream industry sometimes shrinks the profit margin seriously, or even negative; sometimes the profit space accumulates in the short term. Such changes, any business will be uneasy, and lack of confidence in the market. Second, enterprises are concentrated in relatively backward technology support markets, and they are mutually crowded, but they are reluctant to invest in technology development funds and look at each other. This state will inevitably lead to a great drop in confidence in the industry. Relatively backward technology is the key to the fate of enterprises in the commodity economy. For example, mobile phone giants Nokia and Motorola are behind Samsung and Apple due to technology updates. And suffered a disaster. It seems that these dilemmas, rare earth polishing materials companies can only strengthen their own technical strength, so development is the most important thing at the moment, but also the real last word.
Second, rare low cost
The industry is fluctuating, and it is normal for companies to make a profit. However, when the industry is in a downturn, there are very few companies that are eager to improve their own way and wait for the next industry boom. At present, the rare earth polishing material industry is in a period of development downturn, which should be an excellent opportunity for some long-term enterprises to improve themselves. On the one hand, the current raw material price of rare earth polishing materials is relatively low, which provides a good basis for cheap investment for related companies to invest in research and development. On the other hand, China's current labor costs are relatively low, and with the acceleration of globalization and the construction of a supportive society, the growth of China's labor costs is also accelerating. Taking the last bus before the increase in labor costs, vigorously developing equipment automation and intelligence will enable enterprises to occupy the commanding heights in the future competition.
In short, the dilemma and opportunities of the rare earth polishing materials industry coexist. Only dialectical understanding, hard work progress, and active grasp of development opportunities are the most important things to do now, and they are also what the market demands in the future.
Finally, I hope that China's rare earth polishing materials industry is getting stronger and stronger.
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Abstract The development of things has two sides. The development of rare earth polishing materials industry is no exception. It has its own development dilemma and also has opportunities for development. The dilemma of rare earth polishing materials industry is a class of rare earth polishing materials.
The development of things has two sides. The development of the rare earth polishing materials industry is no exception. It has its own development dilemma and also has opportunities for development.