Recently, affected by the Russia-Ukraine war, there has been a crisis of raw material shortages abroad, and the same situation has also appeared in the Chinese market. It is reported that since the third quarter of last year, multinational chemical giants such as BASF, DuPont, and Dow Chemical have also sent letters multiple times announcing price increases. And this kind of shortage and price increase will eventually appear on the domestic brand side after being transmitted through layers of channels.
In fact, this is just a “microcosm” of the industry in the past year or two. In the context of the global epidemic crisis, inflation, commodity price increases, energy Negative factors such as price increases and shipping price increases are coming one after another. Out-of-stock, supply shortages, price increases, and production suspensions…are haunting every practitioner in the chemical industry.
This phenomenon also exposes a shortcoming of China’s chemical industry – its high dependence on foreign raw material companies. This shortcoming has further caused domestic raw material manufacturers and brands to continue to be affected by international raw material manufacturers.
In response to this situation, in 2021, Kain Chemical launched a plan to build a domestic raw material platform. By fully integrating domestic chemical production resources and relying on digital technology, Kain Chemical will integrate high-quality domestic chemicals into Raw materials are accurately delivered to downstream companies, further supporting the rise of domestic chemical brands.
For more than a year, Kaiyin’s domestic chemical raw material procurement website (www.kaiyinhg.com) has provided customers with cost-effective raw materials and reduced costs for everyone. Increase efficiency. Some time ago, there was a typical example of a customer successfully replacing expensive imported raw materials by purchasing domestic titanium dioxide raw materials.
The customer (Jiang**** Chemical Co., Ltd.) originally used Chemours 902+ titanium dioxide, and the production cost was very high. On the recommendation of Kain, Xianghai Technology CR6618 was used as a replacement. After taking samples and testing, it fully met the production requirements. Facts have proved that domestic raw materials can completely replace imported raw materials as long as suitable models are found.
At present, “domestic products” have become the focus of development in many industries. As a major pillar of China’s economy, the rise of domestic chemical brands will surely help China’s economy take off again. Kain Chemical’s domestic raw materials network will join hands with domestic chemical brands to jointly promote the digital transformation and upgrading of the chemical industry, open up upstream and downstream trade channels, and constantly polish the business cards of domestic chemical brands.
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