Fluorspar: A Global Strategic Business Report
San Jose, California (PRWEB) February 23, 2012
Follow us on LinkedIn – Use of fluorspar varies sharply between the matured markets such as North America, Europe and Japan, and the developing regions. About 70% of the fluorspar manufactured in the mature markets is converted into HF products, while in the developing regions a large percentage of the mineral is consumed by the steel industry. In recent years, the consumption of fluorspar was affected by the competition faced by domestic steel industry from foreign companies and sluggish demand in steel production. Aluminum industry also represents a leading consumer of fluorspar. Fluorspar demand over the next few years is expected to be boosted by increasing prospects for aluminum fluoride, as well as other areas such as electric arc furnaces and aluminium smelters. Growing demand for aluminum in the automotive sector is attributed as a major factor driving growth in the fluorspar market.
China is the largest producer, consumer and exporter of fluorspar in the world. Worldwide, around twenty countries display the potential to manufacture substantial quantities of fluorspar, with domination from China continuing in terms of production. The region notched an impressive production volume in 2010, with other major manufacturing regions such as Mexico, Mongolia, Russia and South Africa trailing close behind. In an effort to conserve natural reserves, the Chinese government commenced a National Program of Mineral Resources, which ruled that mining can be carried out only with government consent and by companies backed by adequate resources. A major area of concern in the region was the unusually high fluorite exports in the past, which proved to be damaging not only for the natural resources but also impacted the domestic market as well. New and stringent industry standards were put into place for the manufacturers, leading to reduced fluorite production and consequently slowdown in the overall exports. However, despite the government’s policy on vertical integration of resources, China’s dominance as the world leader in fluorspar production will continue undiminished, with probable lead maintained in the exports market as well. However, Mongolia is fast growing in importance and could well threaten China’s export position in the foreseeable future.
On the global front, stringent environment protection legislations regarding the use of Chlorofluorocarbons (CFCs) are termed as the main cause for sluggish fluorspar demand. Growth of fluorspar is dependent on the use of hydrofluorocarbons (HFCs) as an alternative to CFCs. Further, prospects of non-ozone depleting refrigerants represent other major factor influencing fluorspar growth. In the developed markets, hydrofluoric acid (HF) is facing erratic market demand due to environmental legislations and the subsequent phase-out of hydrochlorofluorocarbon (HCFC) including HCFC-141b in US and Europe in the near future. Fluorocarbons, including HCFCs constitute most of the hydrofluoric acid demand. Most of the producers are introducing hydrofluorocarbon (HFC) substitutes, which consume more HF on a per-pound basis. These substitutes are expensive and a decline in market share is expected due to other cheaper replacements such as carbon dioxide for foam blowing. The demand for the HF market is expected to be uneven due to unclear HCFC phase out and replacement time. Asia is the only region, showing an increase in HF capacity. In the US, production was stopped for HCFC-142b and HCFC-22 until 2010, with complete ban to be in place by 2020. Production of all other HCFCs would be halted by 2015, and banned by 2030. In Europe, especially Germany, the phase out schedules is even faster. The European Commission passed a legislation to bring down emission of fluorinated gases into the atmosphere by at least 25%. The legislation forms a part of the commission’s endeavor to ebb green house emissions as required by Kyoto protocol on climate change.
Asia-Pacific spurred by intense activity in China, represents the single largest region, as stated by the new market research report on Fluorspar. APAC also emerges as the most promising global market for fluorspar, surging ahead at a CAGR of 4.3% through 2017. The Asian market is led by relentless growth in the Chinese market, with Zhejiang Province being the primary production region for fluorspar. China’s fluorite demand and production levels are adequately balanced with specific reference to production in the domestic market as well as the foreign producers in the region. The recent debt crisis in Europe had negligible impact on the fluorine chemical industry in China, and demand continues to be robust, with stable production levels.
In terms of end-use segments, Hydrofluoric Acid & Aluminum Fluoride comprises the single largest market for fluorspar. Aluminum manufacturers account for a major share in the consumption of acid-grade fluorspar, used in the production of aluminum fluoride for the aluminum industry and also in steel ladle metallurgy. Synthetic cryolite and aluminum fluoride, the derivatives of acid grade fluorspar, are some of the major fluorine compounds that find extensive use in aluminum smelting. Electric Furnaces represents other leading end-use segment for fluorspar.
Key players profiled in the report include Mexichem Fluor S.A. de C.V., Minersa Minerales Y Productos Derivados S.A, Mongolrostsvetmet LLC, Seaforth Mineral & Ore Co. Inc., Sallies Limited and Zhejiang Yingpeng Chemical Co. Ltd.
The research report titled “Fluorspar: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of the Fluorspar markets, impact of recession on the markets, current market trends, key growth drivers, recent industry activity, and profiles of major/niche global market participants. The report provides annual sales estimates and projections for the years 2009 through 2017 in volume (metric tons) terms for the following geographic markets - US, Canada, Japan, Europe, Asia-Pacific, Middle East, and Latin America. Key end-use segments analyzed include Hydrofluoric Acid & Aluminum Fluoride, Basic Oxygen Furnaces, Electric Furnaces and Others. The study also provides historic data for an insight into market evolution over the period 2003 through 2008.
For more details about this comprehensive market research report, please visit –
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