Currently, China’s chemical mining industry is undergoing a significant shift in its supply-demand structure: demand growth is transitioning from high-speed to low-speed, easing the supply-demand imbalance. Resource and environmental constraints have reached their limits, and economic development is shifting from being primarily constrained by resource shortages to being hampered by overcapacity in processing. This was the key message conveyed at the recently concluded 6th Session of the 2nd Council and the 6th Session of the 2nd Members’ Congress of the China Chemical Mining Association.

　　 1~7 Month, the cumulative inventory of China's chemical mining and beneficiation industry 67.2 100 million yuan, an increase year-on-year. 16.1% In the first half of the year, demand in the chemical mining industry remained weak, investment declined, the industry faced an excessively heavy tax burden, downstream enterprises experienced a significant drop in profitability, and the proportion of loss-making companies in the major chemical mining sectors expanded. In China, fixed-asset investment in the chemical mining extraction and beneficiation sector has slowed down, with actual completed investments... 86.9 100 million yuan, down year-on-year 3.4% ; Construction Project 145 One, newly started projects 79 One, completed project 57 Inventory of potash fertilizer manufacturing. 75.8 100 million yuan, an increase year-on-year. 14.7% , large inventory quantities; actual completed investment 54.7 100 million yuan, up year-on-year 27.9% ; Construction Project 66 One, newly started projects 40 One, completion 25 One.

　　According to the analysis, in the future 5~10 In the coming year, China will face dual pressures: meeting the peak in resource demand and undergoing industrial transformation. As the pace of demand growth slows and supply conditions change, China’s dependence on foreign sources for key chemical mineral resources will evolve as follows: phosphate rock will be able to meet domestic demand for a considerable period; sulfur resources will continue to rely heavily on imports to fill the domestic gap over the long term; and domestic potash production will increase year by year, gradually reducing China’s reliance on foreign imports.

　　2013 Since the beginning of this year, prices of China’s major chemical mineral products—phosphate rock, pyrite, and potash—have plummeted sharply, leading to market hesitation and a buildup of inventories. Currently, the profitability of the potash fertilizer manufacturing industry is starting to rebound, but the operating performance of other chemical mining and beneficiation enterprises is declining.

　　The meeting’s assessment of the overall trend in the current chemical, mining, and geological exploration industries is: a low start followed by stabilization. While the industry has seen some fairly noticeable positive changes, the trend toward stabilization and improvement remains fragile. The economic outlook for the industry in the second half of the year continues to be complex and multifaceted. As the effects of a series of national macroeconomic policies continue to unfold, favorable factors for the chemical and mining sectors will outweigh unfavorable ones—particularly given that fertilizer market prices are expected to remain stable, which will also benefit upstream chemical and mining enterprises.