Analyzing China's Ferric Oxide Development
It should also be noted that problems co-exist with the rapid development of China's ferric oxide industry. On one hand, low threshold to ferric oxide industry caused mass production and long-term repeated construction, regardless of market demand; on the other hand, the primary products of China's ferric oxide accounts for a big market share, which means the quality of ferric oxide products is still at middle-low level in international market; moreover, the value added to products is low. Restricted by the requirements of energy, resources and environment, the production of ferric oxide is under higher pressure. Export is also hindered by Euramerican economic fluctuation and trade bulwark.
In general, China's ferric oxide industry has a good prospect. The construction of rural-urban infrastructure will stimulate the demand of ferric oxide as construction paint. Particularly, the start-up of Beijing 2008 Olympics project and Shanghai 2010 World Expo project will drive the development of ferric oxide industry. What's more, the demand of China's ferric oxide products in oversea market is also large. As long as China's ferric oxide manufacturers seize this opportunity, speed up saving energy and reducing energy consumption, develop new products and improve the value added to products, more market shares can be occupied.
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