Recent Market Intelligence Report on Calcium Chloride

I. Price Dynamics
1. Dihydrate Calcium Chloride
- Shandong Region:
- Shandong Hongyang Chemical Co., Ltd.: RMB 960/ton (min. 74% purity, flakes/powder);
- Shandong Zhenkun New Materials Co., Ltd.: RMB 800/ton (Liaocheng origin);
- Jinan Angxin Chemical Co., Ltd.: RMB 750/ton (Jinan origin);
- Shandong Fusheng Yong Trading Co., Ltd.: RMB 650–700/ton (Jinan origin);
- Shandong Jinshengrun Chemical Co., Ltd.: RMB 750/ton (Jinan origin);
- Shandong Beilu Hengsheng Chemical Co., Ltd.: RMB 550/ton (Weifang origin, flakes/powder).
- Henan Region:
- Henan Huiyi Hai Environmental Protection Technology Co., Ltd.: RMB 1,000/ton (min. 74% purity, flakes);
- Henan Kaijie Water Treatment Co., Ltd.: RMB 900–980/ton (74% purity, flakes/powder);
- Henan Zhengyuan Water Purification Materials Co., Ltd.: RMB 950/ton (74% purity, flakes/powder);
- Gongyi Hengyi Water Treatment Co., Ltd.: RMB 900–950/ton (74% purity, flakes/powder).
- Other Regions:
- Wuhan Hengjiu Chemical Co., Ltd.: RMB 750/ton (Hubei origin, 74% purity);
- Shanghai Guoke E-commerce Co., Ltd.: RMB 800/ton (domestically produced, 74% purity).

2. Anhydrous Calcium Chloride
- Henan Kaijie Water Treatment Co., Ltd.: RMB 1,250/ton (94–97% purity, domestic);
- Some Shandong-based enterprises: RMB 850–950/ton (94% purity, packaged in 25-kg bags or ton-bags).

3. Liquid Calcium Chloride
- Suzhou Senfeida Chemical Co., Ltd.: RMB 100,000/ton (colorless and transparent liquid, 30–40% concentration);
- Prices in the Henan region vary significantly depending on concentration; no unified market price has yet formed.

II. Market Driving Factor Analysis
1. Demand-Side Drivers
- Infrastructure Investment: Robust seasonal demand for road de-icing in northern China during winter has increased—by 2025, national expressway ice-removal operations will cover 168,000 km, driving a 2.1% year-on-year increase in consumption of de-icing-grade calcium chloride.
- Oil & Gas Exploration Recovery: In 2025, average per-well fracturing fluid usage of calcium chloride in China’s onshore oilfields has risen, supporting demand for high-purity products.
- Emerging Applications: Demand from new application areas—including lithium-ion battery electrolyte additives (enhancing battery stability by 30%) and smart humidity-regulating materials (extending food shelf life by 40%)—has grown by 25% year-on-year.

2. Supply-Side Factors
- Capacity Expansion: China’s total calcium chloride production capacity reached 5.82 million tons/year in 2025, up 3.0% year-on-year; actual output was 1.8175 million tons, with an operating rate rising to 67.92%.
- Process Advancement: By-product method (recovered from waste brine in soda ash production) accounts for 68% of total output, offering significant cost advantages; synthetic-method capacity utilization remains stable at 82.3%, serving as the primary supply route for high-purity products.
- Environmental Regulation: National mandates require enterprises to install online pH and heavy metal ion concentration monitoring systems. Non-compliant firms face substantial technological retrofitting costs, prompting exit of some small- and medium-sized capacities.

3. Cost-Side Factors
- Declining prices of key raw materials—limestone and hydrochloric acid—provide room for downward price adjustment in calcium chloride; however, intensified market competition has led to direct price reductions that erode enterprise profitability.

III. Market Trend Outlook
1. Price Forecast
- Short Term: Amid seasonal demand weakness during summer, prices may continue to trade weakly and sideways; nevertheless, high-purity grades (e.g., food-grade and pharmaceutical-grade) are supported by relatively inelastic downstream demand, limiting their price volatility.
- Long Term: Stricter environmental policies and expanding demand from emerging applications will elevate the share of high-value-added products, driving structural upward pressure on industry-average pricing. The Chinese market is projected to reach RMB 18 billion in 2026, representing a 50.0% year-on-year growth.

2. Supply-Demand Landscape
- Supply: Leading enterprises are consolidating market position via capacity expansion and technological upgrading. The CR5 (combined market share of the top five firms) is expected to exceed 55%, accelerating industry consolidation.
- Demand: Infrastructure investment, oil & gas recovery, and new energy sector demand will serve as core growth engines; export structure optimization—including order growth of 23.7% in Southeast Asia and the Middle East—will further boost domestic output value.

3. Risk Warnings
- Volatility in limestone and hydrochloric acid prices may compress gross margins for midstream producers; investors are advised to focus on enterprises with vertical integration capabilities or long-term fixed-price supply agreements.
- Continued tightening of environmental restrictions could lower operating rates at certain facilities, exacerbating supply tightness in the market.