At presentchemical industry development has two notable features: The first , chemicalmanufacturers must take environmentalprotection and energy saving route ,High pollution, high energy consumptioncompanies must be closed one after another . The second , chemical plant is atthe top of commodity production chain , because of the improvement of people'sliving standard ,the quality of the chemical production also follows the principle of survival of thefittest , it will be towards thedevelopment of quality chemical industry .
Dye market concentration continued toimprove Profitability will improve for a long time
China has become the world's largest dyeproducer and trading country . In 2015the national total dye production reached 922,000 tons, account for 60%-70% ofthe world's total output .In recent years ,the growth of dye production and consumption is slowing down . The yield of downstreamfirm remained stable for printed and dyed fabrics . All these indicate thatChina's dyestuff industry has entered a mature period .With the gradualdeepening of environmental policy , environmentally dyes are also increasingly recognized, entering into dyeing industry is getting more and more difficult , Industry giant market share is gradually increasing . In the future after the production capacity that the industry giant has been planning has been put gradually , dye industry marketwould be expected to be more concentrated .
Dye costs accounted for the proportion of thedownstream printing and dyeing industry costs about 14% . Dye prices tend to conductto downstream . These characteristics determine the dye products to maintainhigh gross margin will be the inevitable result of the long-term development ofthe market .