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Yuanxing Energy leads the great changes in soda industry and remolds the future of soda industry with trona.
The pattern of soda ash industry in China is undergoing drastic changes, and a new pattern of trona leading industry development is taking shape. With the development advantages of technology, cost and resources, Yuanxing Energy is becoming the future leader of soda industry in China.

On May 15, Yuanxing Energy announced that its subsidiary Yingen Mining Company had made great progress in the exploration of trona, and found a large trona deposit again, which directly benefited Yuanxing Energy. Its controlling shareholder, Yuan Bo Group, promised to inject Yingen Mining into listed companies or transfer it to other countries within five years to solve the potential competition with the company.

This means that the soda industry in China is about to enter a new era of the development of trona-dominated industries. With its competitive advantage in the field of trona, Yuanxing Energy will fully grasp this historical opportunity and lead the reshaping and reconstruction of the development pattern of this industry.

It is understood that soda ash is one of the important industrial raw materials, which is widely used in glass, daily chemical, chemical, enamel, paper-making, medicine, textile, tanning and other industrial sectors and people's daily lives. It occupies a very important position in the national economy and is called the mother of industry by people in the industry. At present, the production methods of soda ash can be divided into natural alkali method and chemical synthesis method, and chemical synthesis method can be divided into combined alkali method and ammonia-alkali method. Limited by resources, chemical synthesis is mainly used to produce soda ash in China at present. The annual output of soda ash in China is 26 million tons, of which the natural soda process only accounts for 10%.

However, from the perspective of the world, the production of soda ash by trona has become the mainstream soda ash production process with its unique advantages. The investment and manufacturing cost of soda ash produced by natural alkali method is less than half of that of chemical synthesis method, and it has the advantage of environmental protection without waste residue and waste liquid discharge, which has formed an incomparable advantage in other soda production methods in the market competition. Since 1953, the United States established the world's first factory to produce soda ash with natural soda ash, which showed a powerful force to subvert the development pattern and change the production mode of soda ash. At present, all soda ash in the United States comes from natural soda. In Europe, with the rapid development of Turkish trona, the proportion of trona in the European soda ash market is also increasing rapidly. It has become an irresistible trend for natural soda process to lead the development of soda industry.

In China, Yuanxing Energy holds almost all the natural alkali resources that have been proved in China at present, and has developed into the largest soda ash and baking soda enterprise in China. Relying on the natural alkali resources in Tongbai, Henan Province, market-oriented and driven by technological innovation, it has promoted the continuous breakthrough of natural alkali mining and production methods in China, becoming the enterprise with the strongest profitability and the greatest development potential in soda industry, and Tongbai has won the reputation of "Natural Alkali Capital of China".

Under the background of environmental protection storm in China, China soda industry is experiencing unprecedented integration and reshuffle. From a global perspective, the pattern of soda industry is being subverted and reconstructed by trona.

According to the international trends, domestic policies and resource conditions, natural soda production will occupy a larger market share in China soda industry in the next 3-5 years, which is expected to form a "three-thirds world" soda production pattern.

(Editor Shangguan Menglu plans Li Chunlian)

This article is from Securities Daily.

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