The integration is to optimize allocation of resources, raise the production level and absorb the surplus through mergers and restructuring. The resources integration is an adjustment method of magnesium oxide industry. And then, it eliminated a number of capacities through making some permission.
Chinese magnesium oxide industry enters fast development period, China has been the largest magnesium oxide production center in Asia and one of the largest production base in the world at present. Because of the development prospects and attractive market profit, magnesium oxide industry has been a “sweet pastry” for investment in enterprises now. After the entry and exit, it can gains the whole optimization.
The merging and reorganization are the important way to resolve contradictions of over capacity, adjust and optimized the industrial structure, and improve economic performance. It should do a well in overall planning, centralized the technology and capital advantages, and link in park-numb encore. We should establish multi-shares business group with economic of scale and competitiveness, and encourage enterprises seek cooperation opportunities with overseas big enterprises.
The adjustment of magnesium oxide’s industrial structure should enhance industry competition ability as the key point. It is a necessary way to transform our economic growth pattern. The enterprises should master the future trend of development. In this time, it is the trend to upgrade equipment, technique, environmental protection, product grade and the scale. The enterprises, have raw material, technique and market, will develop fast. On the contrary, some enterprises, the products have no characters and no market share, will transform and be weed out from the market.
For the magnesium oxide manufacturers, the most basic way is to insist on the principle “survival of the fittest” and use of market mechanism. In order to expand them market and provide new development opportunity, we should tap into magnesium oxide market, increase magnesium oxide technology and develop new materials. The magnesium oxide enterprises should offer new inexpensive products and service for market and users through reducing production cost, enhancing productivity, optimizing formula and improving technology. It should promote the magnesium oxide’s position in the market and follow the path of road. From focus on quantity growth to quality improvement, it tries to transform the magnesium oxide industry from the homogeneous competition to the diversified competition and open more market for more the brands.
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