The Party's meeting is a significant event held at a critical stage as China moves toward building a well-off society. For the soda ash industry, it is essential to scientifically adjust the industrial structure in the future. This includes alleviating the imbalance between production and sales, continuously improving the overall level and operational quality of the industry, practicing responsible management, and moving closer to the goals set by the leadership.
As a bulk chemical product, domestic over-supply of soda ash has become an undeniable reality. However, with more than one million tons of new production capacity expected to come online this year, total domestic soda ash production capacity will exceed 28 million tons by year-end, further intensifying the oversupply situation. On one hand, there will be over two million tons of new capacity coming into the market; on the other, the National Central Economic Work Conference recently reaffirmed the government's determination to strengthen real estate regulation, which will continue to suppress downstream demand for soda ash. As a result, the domestic soda ash industry faces even greater challenges.
In response, achieving scientific development through industrial restructuring, enhancing the overall industry level, and strictly controlling further production expansion has become the key focus of the industry’s future efforts.
Recently, the Soda Industry Association proposed raising the entry threshold to control new capacity and establish an exit mechanism for outdated, high-energy-consuming equipment. After a transition period, any facilities that do not meet the access standards by 2015 must be phased out or upgraded. Additionally, the association hopes the government will introduce policies to encourage mergers and acquisitions within the industry. Past reorganizations have shown that when foreign companies restructured local soda ash firms, the sector was often deprioritized. Encouraging internal consolidation can help avoid overcapacity, reduce supply-demand imbalances, and improve industry performance.
The ultimate goal of scientific development is to enhance the overall efficiency and quality of the industry. Adopting large-scale, energy-efficient equipment to cut energy consumption and costs has become crucial for sustainable growth.
Looking ahead, the industry will gradually introduce advanced international-standard equipment. One example is the belt vacuum filter alkali machine, which has already demonstrated promising results. The electricity consumption per ton of alkali has dropped significantly—from 70–100 kWh to just 5 kWh—while eliminating dust emissions. The adoption of powder liquid cooling machines has also proven effective.
Additionally, the industry plans to accelerate the use of dry vacuum distillation equipment in ammonia plants to save water. In natural soda and associated alkali companies that own salt plants, heat pumps will be promoted to save steam. These systems use multi-effect evaporation, and heat pumps can pressurize low-pressure steam, enabling it to cycle within the salt or trona system with minimal additional steam required. At the same time, optimizing process control will ensure smooth operations, improve safety, and reduce energy consumption while boosting labor productivity.
Energy-saving and emission reduction are essential for scientific development. For soda ash enterprises, these remain ongoing challenges. Continued efforts and solid execution are necessary to achieve meaningful progress.
Historically, energy-saving technologies were developed internally by companies, but due to technical, financial, and informational constraints, the overall impact on the industry remained limited. To address this, the association has proposed creating a comprehensive service platform that integrates information, technology, equipment, and funding, drawing from both foreign advancements and proven domestic solutions. Although this initiative has not yet been fully realized, it remains a top priority.
In July, Chengdu Heavy Equipment Company submitted a proposal to the association, suggesting leveraging government support for energy saving and emission reduction, along with capital raised through stock market listings. They aim to combine existing effective technologies to establish an energy conservation engineering company. This idea aligns with the association’s vision. After discussions, the association is now working to form an integrated service platform, led by Tianbao Heavy Equipment Co., Ltd., and involving interested parties to provide comprehensive energy-saving and emission-reduction services. With preliminary work completed, the company is now ready to begin operations and continue expanding its services.
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