As we all know, the chemical trade deficit appears to be a “disease†compared with the trade surplus in which China’s overall import and export trade lasted for many years. What is more serious is that as the chemical industry accounts for a rising proportion of the national economy, the scale of chemical exports has gradually increased, and its negative effect on China’s overall export trade has become more obvious. On the one hand, it affects the overall benefits of international trade, on the other hand, It is because of this that it has turned a blind eye to making chemical companies more numb to the structural adjustment of export products. This will undoubtedly further increase the trade deficit and cause a huge loss of wealth.
Looking at the causes of the chemical trade deficit is nothing more than the following:
First, chemical export products have low technological content and low added value. Although China's chemical export has improved in terms of quality and texture in recent years, it is still a resource-based and primary product type in general, and deep processing is insufficient, resulting in low added value. For example, our nitrogen fertilizer companies have a large amount of compound fertilizers, and the country has to import large quantities of compound fertilizers such as diammonium phosphate each year at a high price. Phosphate companies export a number of primary products, and even if they have exported food grade products, they are more likely to be tripoly. Monomers such as sodium phosphate, sodium pyrophosphate and sodium hexametaphosphate, which are deeply processed abroad and then resold to our food processing industry and aquaculture with food additives, are of course very expensive. Exports are low-cost products. Imported products are expensive. Can a trade deficit not arise?
Second, the price war factor led to the chemical trade deficit. The price war between Chinese enterprises has a long history. The overall cause is that the earning effect has led to the rapid expansion of a certain industry, resulting in a serious surplus of production capacity. Supply exceeds demand, and products are sold off. In the past few years, the market of yellow phosphorus was promising, and the result triggered the climax of competing energy expansion in Yunnan, Guizhou, Hubei and other provinces. However, with the expansion of production capacity and mutual competition among enterprises, the price of yellow phosphorus has been falling all the way, and the price of ton The $999 in 2000 fell to the current level of $880, while the international yellow phosphorus prices in the period were between $1400 and $1,500. Yellow phosphorus is a high energy-consuming strategic substance, and other products are even worse. The most typical is the coke industry, and the current export prices have fallen to half of the 1990s.
Third, the decrease in tariffs has led to an increase in imports. Since China’s accession to the WTO, tariffs have been gradually reduced, from 25% in 1997 to 7% in 2005. Due to the lowering of import thresholds, chemical imports will inevitably increase, which will, to a certain extent, suppress the domestic chemical industry, leading to a trade deficit. Increase. At the same time, although China’s foreign investment has accelerated, it is too small. In 2005, China's foreign investment amounted to 12.3 billion U.S. dollars, an increase of 123% year-on-year, but it only accounted for 0.5% of the world total. Compared with the rapidly increasing imports, the disadvantages became even more pronounced.
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Looking at the causes of the chemical trade deficit is nothing more than the following:
First, chemical export products have low technological content and low added value. Although China's chemical export has improved in terms of quality and texture in recent years, it is still a resource-based and primary product type in general, and deep processing is insufficient, resulting in low added value. For example, our nitrogen fertilizer companies have a large amount of compound fertilizers, and the country has to import large quantities of compound fertilizers such as diammonium phosphate each year at a high price. Phosphate companies export a number of primary products, and even if they have exported food grade products, they are more likely to be tripoly. Monomers such as sodium phosphate, sodium pyrophosphate and sodium hexametaphosphate, which are deeply processed abroad and then resold to our food processing industry and aquaculture with food additives, are of course very expensive. Exports are low-cost products. Imported products are expensive. Can a trade deficit not arise?
Second, the price war factor led to the chemical trade deficit. The price war between Chinese enterprises has a long history. The overall cause is that the earning effect has led to the rapid expansion of a certain industry, resulting in a serious surplus of production capacity. Supply exceeds demand, and products are sold off. In the past few years, the market of yellow phosphorus was promising, and the result triggered the climax of competing energy expansion in Yunnan, Guizhou, Hubei and other provinces. However, with the expansion of production capacity and mutual competition among enterprises, the price of yellow phosphorus has been falling all the way, and the price of ton The $999 in 2000 fell to the current level of $880, while the international yellow phosphorus prices in the period were between $1400 and $1,500. Yellow phosphorus is a high energy-consuming strategic substance, and other products are even worse. The most typical is the coke industry, and the current export prices have fallen to half of the 1990s.
Third, the decrease in tariffs has led to an increase in imports. Since China’s accession to the WTO, tariffs have been gradually reduced, from 25% in 1997 to 7% in 2005. Due to the lowering of import thresholds, chemical imports will inevitably increase, which will, to a certain extent, suppress the domestic chemical industry, leading to a trade deficit. Increase. At the same time, although China’s foreign investment has accelerated, it is too small. In 2005, China's foreign investment amounted to 12.3 billion U.S. dollars, an increase of 123% year-on-year, but it only accounted for 0.5% of the world total. Compared with the rapidly increasing imports, the disadvantages became even more pronounced.
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Applicable objects: range hoods, induction cookers, gas stoves, etc.
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