Operation Status Research and Development Strategy Research Report of China’s Iron Oxide Industry (2022-2029)

I.Basic industry overview

Iron oxide, chemical formula Fe2O3. Also known as burning limonite, burning ochre, iron Dan, iron red, red powder, etc. The appearance is red brown powder, soluble in strong acid, medium strong acid, the red brown powder is a low pigment, industrial called iron oxide red, used in paint, ink, rubber and other industries, can be used as a catalyst, glass, gems, metal polishing agent, can be used as iron making raw materials.

 Iron oxide is widely used in paint, rubber, plastic cosmetics, building fine grinding materials, precision hardware instruments, optical glass, enamel, cultural and educational supplies, leather, magnetic alloy and high-grade alloy steel coloring; Mainly used as magnetic materials, pigments, polishing agents, catalysts, but also used in telecommunications, instrument industry; Mainly used as magnetic material, pigment, polishing agent, catalyst, but also used in telecommunications, instrument industry inorganic red pigment.

Iron oxide is used in paint, rubber, plastics, building coloring, is an inorganic pigment, used in the paint industry as rust pigment.

II、Industry development status

 A. market size

During 2017-2020, under the background of overcapacity reduction, the entire iron oxide industry shrank, and the scale was lower than before. In 2020, the market size of the whole industry was about 2.86 billion yuan, down 8.68% year-on-year. After 2021, due to the large rise of global raw material prices, the market size of iron oxide is expected to stop falling and recover. It was estimated at 3.17 billion yuan.

B. capacity

 In recent years, the capacity growth momentum of Chinese iron oxide enterprises has been suppressed, which is mainly related to the supply-side reform policy. Since 2019, the capacity of Chinese iron oxide enterprises has remained at about 800,000 tons.

C. Output

 From the perspective of production trend, in recent years, the output of China’s iron oxide industry has slowed down. According to the data of iron oxide Industry Branch of China Paint Industry Association, the output of iron oxide in 2020 is about 540,000 tons, down about 20,000 tons compared with the previous year. Overall, the output of iron oxide in recent years has remained relatively stable, and it is expected that the output of iron oxide in 2021 will be 530,000 tons.

Data in this research report are mainly collected from national statistical data, General Administration of Customs, questionnaire data, Ministry of Commerce data and other databases. The macroeconomic data are mainly from the National Bureau of Statistics, the statistical data of some industries are mainly from the National Bureau of Statistics and market research data, the enterprise data are mainly from the statistical database of scale enterprises of the National Bureau of Statistics and the stock exchange, and the price data are mainly from various market monitoring databases.