Benefited from environmental protection and remediation

Lead-battery industry access conditions are nearing introduction, and several families are happy. The enterprises that failed to meet the standard in the industry reshuffled their exits, and the enterprises with advantages made efforts to expand and enjoy the various benefits brought by the reshuffle. However, after surviving, the surviving enterprises should pay more attention to environmental protection and have a sense of responsibility for environmental protection.

Today, a media article stated that “The development of the lead-acid battery industry access conditions that have received much attention has come to an end... The Ministry of Industry and Information Technology has already completed the consultation on the access conditions and has recently submitted it to the Ministry of Environmental Protection. It will be issued within the month."

According to statistics from Shanghai Nonferrous Metals (SMM), since the domestic environmental protection surge in the lead storage battery industry in May this year, 1,700 companies with business licenses have only survived about 30% of their lives. After the entry conditions are expected to be issued, the survivors will also drop one batch. But this seems to be a boon for the dominant companies in the industry.

According to Shanghai Nonferrous Network Monitoring, the transaction price of lead 1# in the domestic spot market has dropped from the highest of 17,750 yuan/ton in early April to 14,675 yuan/ton in October 18. Among them, the reduction in downstream demand is one of the important reasons for suppressing the downward price of lead, while 70% of the refined lead is used for lead battery production. Based on this rough calculation, in the past half year, the lead-acid battery company's purchasing cost for lead has gradually dropped by 3,000 yuan/ton.

At the same time, due to the reduction in the supply of lead-acid batteries, the prices of lead-acid batteries in the domestic markets have been increased by more than 70%. The decrease in cost, increase in the selling price, and the gap in market supply have led to an increase in orders for domestic leading lead battery companies after the accumulation of three factors, and the production arrangements have been operating at full capacity.

Insiders said that with the introduction of access conditions, domestic competitive enterprises will further enjoy the benefits of reshuffling. The free market share has to be filled by enterprises, and the setting of the new construction and expansion scale in the access conditions is undoubtedly encouraging the compliance enterprises to continue to expand investment and increase production capacity. At the same time, the increase in industry concentration has also led lead battery manufacturers to begin to have a say in pricing.

However, this person also reminded that leading companies that have expanded their market share should maintain a clear-headed view. Clearly, the current profits are benefited from environmental storms to eliminate unqualified opponents, but water can also be overturned if they carry water. If we neglect our environmental protection, we will be ruthlessly cut off by the environmental storm.

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