Source: China Chemical Information Network

  On April 26, at the 2016 Sulfuric Acid Industry Annual Meeting and the 7th Member Congress of the China Sulfuric Acid Industry Association held in Chongqing, the "13th Five-Year Development Plan for the Sulfuric Acid Industry" (hereinafter referred to as the "Plan") was officially released. The "Plan" proposes that by the end of the "13th Five-Year" period, sulfuric acid production capacity will be controlled at 140 million tons/year, with 10 million tons of outdated capacity to be eliminated. The self-sufficiency rate of sulfur resources should reach 60%, the promotion rate of low-temperature heat recovery technology in sulfur-based acid production should reach 80%, in pyrite-based acid production 30%, and in smelting flue gas-based acid production 10%.

  "Under the combined effects of overcapacity, slowing downstream demand, and severe sulfur resource shortages, the sulfuric acid industry is entering a difficult adjustment period during the '13th Five-Year' period. However, with the continuous deepening of China's comprehensive reforms, the sulfuric acid industry still faces new opportunities," said Li Chong, Secretary-General of the China Sulfuric Acid Industry Association.

  The "Plan" analyzes the challenges faced by the sulfuric acid industry during the "13th Five-Year" period: First, how to eliminate excess capacity, restore market vitality, and improve industry profitability; Second, in the context of slowing economic growth, how to develop new sulfuric acid products to meet industrial demands under new circumstances, promote sulfuric acid consumption, and further expand the sulfuric acid market; Third, in the face of severe sulfur resource shortages in China, how to develop and apply new technologies to expand domestic sulfur resource supply and enhance the security level of China's sulfur resources; Fourth, under increasingly stringent national environmental requirements, how to reduce the "three wastes" emissions in the sulfuric acid industry, further improve waste heat utilization, and promote the level of clean production in the sulfuric acid industry; Fifth, in the context of a global sulfuric acid market where supply exceeds demand, how to coordinate the impact of imported sulfuric acid on the domestic market and make good use of imported sulfuric acid as a resource.

  "With the completion and operation of a number of natural gas fields and refineries in China, the recovery of sulfur will significantly increase. Additionally, the international sulfur market is transitioning from tight balance to oversupply, leading to a downward trend in international sulfur prices, which will gradually reduce the costs of China's sulfuric acid industry. At the same time, with the reform of government functions and the increase in decentralization, the marketization process of downstream industries of sulfuric acid will further accelerate, which will to some extent promote the growth of sulfuric acid demand. Furthermore, with the introduction of national major development strategies such as the 'Belt and Road' and 'Made in China 2025', conditions are created for sulfuric acid to 'go global' and utilize two resources to develop two markets. The steam and electricity recovered by sulfuric acid as an 'energy factory' will also bring increasingly substantial returns to enterprises," said Li Chong.