Glass fiber industry will usher in a golden period of development in 2011

At present, China has become the world's largest producer of glass fiber, but a large part of it is used for export. The downstream applications of domestic glass fiber still need to be further developed. With the rebound of the global fiberglass industry, the supply of products has gradually tightened, and the price increase of global fiberglass products has also become the consensus of the industry. In 2011, the glass fiber industry is expected to enter a golden period of development.

The downstream demand of glass fiber industry is extensive. Glass fiber is an important inorganic non-metal composite new material. It has many superior properties such as high temperature resistance, corrosion resistance, high strength, light weight, etc. It is widely used in construction, transportation, electrical and electronic, industrial equipment, High-tech industries such as shipbuilding, medical care, marine development, aerospace, and wind power have become increasingly effective in replacing traditional materials such as steel, wood, and cement. Substituting high-performance composite materials for natural minerals and plant-processed materials is the trend of future industrial technology development. With the intensification of global economic competition and the rapid development of science and technology, glass fiber has become one of the most promising new materials. .

At present, the transportation and construction sectors are the major consumer markets of glass fiber products, both accounting for nearly 70% of the downstream market for glass fiber; while the downstream market for glass fiber products in China is more extensive, including construction, electrical and electronic, transportation, and management. Cans (corrosion), industrial applications, etc., which accounted for a large proportion of construction and electrical and electronic fields, together accounted for about 55% of China's downstream market of glass fiber products.

China has become the world's largest glass fiber producer Before 2007, global fiberglass production is mainly concentrated in Europe and the United States. With the global industrial transfer, China's glass fiber production capacity continues to increase. In 2007, China's glass fiber production capacity exceeded the United States for the first time, becoming the world's largest producer of fiberglass. At present, the global annual production capacity of glass fiber is approximately 420-4.5 million tons, and the annual fiberglass production capacity in China is approximately 260-2.7 million tons, accounting for more than 50% of the global glass fiber production capacity, and the export volume of glass fiber accounts for 25% of the global glass fiber output. %the above.

Glass fiber production kiln pool construction investment, the industry is capital-intensive, technology-intensive, labor-intensive, with high industry barriers. In order to curb the trend of low-level redundant construction and blind expansion of the glass fiber industry and promote the upgrading of industrial structure, the “Glass Fibre Industry Access Requirements” implemented by the state on February 1, 2007, the layout, processes and equipment, and energy for glass fiber manufacturers Consumption, environmental protection and other aspects put forward clear requirements to improve the entry barrier of the glass fiber industry. In the future, with the acquisition and merger of domestic glass fiber manufacturers, the industry concentration will further increase.

The policy is favorable for the domestic glass fiber industry to provide a huge space for the development of glass fiber products as a new type of superior performance, strong alternative materials, applicable to many areas of the national economy. Although China is the largest country in fiberglass production, most of it is used for export. The downstream applications of domestic glass fiber still need to be further developed. Statistics show that the average annual consumption of glass fiber in developed countries such as the United States and Japan reaches 4.5 kg, while the annual consumption of fiberglass per capita in China is only 0.6 kg. The potential for domestic market growth in the future is huge.

In September 2010, the State Council reviewed and approved in principle the "Decision of the State Council on Accelerating the Cultivation and Development of Strategic Emerging Industries," and determined the development directions of the seven strategic emerging industries. As a widely used new material product, glass fiber will also become a key industry support for the national industrial policy.

With the promulgation and implementation of relevant national industrial development plans, the transportation industry including aircrafts, trains, automobiles, and ships will become a fast-growing area for China's demand for glass fiber, among which rail transit and high-speed rail sleepers will be the most demanding; Glass fiber demand in the construction and other fields will maintain a steady growth trend; while the application of glass fiber products in the field of energy conservation and environmental protection will mainly include water treatment engineering equipment, de-NOx treatment equipment, etc., and will also become a new bright spot for future industry development.

The glass fiber industry is in a period of booming growth, affected by the global financial crisis, and the downstream demand for glass fiber has decreased, especially the international fiberglass market has fallen sharply. In the second half of 2008, the development of the domestic glass fiber industry entered a low point, and the related companies faced a backlog of inventory and the difficulties of discontinue production of multiple production lines. In 2009, the export delivery value of China's glass fiber and products manufacturing industry decreased by 28.5% year-on-year, the average factory price of domestic fiberglass yarns decreased by 14.6% year-on-year, and the total profit of the glass fiber and products manufacturing industry decreased by 39.9% year-on-year. On the other hand, with the gradual release of domestic demand for glass fiber, the gap caused by the drop in external demand has been effectively filled, and the apparent consumption of domestic glass fiber still maintains the momentum of growth.

Since 2010, both domestic and international demand have rebounded significantly. Both the domestic production of glass fiber yarn and the production of glass fiber-reinforced plastic products have increased significantly. The overall operating conditions of the industry have entered a period of rapid recovery. As of the fourth quarter of 2010, the main business income of China's glass fiber and product manufacturing industry reached 79.21 billion yuan, an increase of 39.1% year-on-year, and the total profit of the glass fiber and product manufacturing industry reached 5.90 billion yuan, a substantial increase of 143.1% year-on-year.