The oxamide industry has entered a stage of transformation and upgrading, and market concentration continues to increase

Oxamide, also known as oxalic acid diamide and oxalamide, is a chemical that appears as colorless crystals or powder. Oxamide is slightly soluble in water, reacts with hot water to generate ammonium oxalate, is insoluble in ethanol and ether, and reacts with phosphorus pentoxide to generate cyanide under heating conditions. Oxamide is obtained by the reaction between diethyl oxalate and concentrated ammonia. It has the characteristics of low solubility, easy storage, and non-toxicity. It is widely used in fiber industry, agriculture, gas generator, propellant and other fields.

As a new type of pollution-free slow-release fertilizer, oxalamide is currently mainly used in the agricultural field. In recent years, as environmental protection supervision has become increasingly strict, the market demand for oxalamide has continued to increase. According to the “China Oxamide Industry Market In-depth Research and Development Prospects Forecast Report 2022-2027 released by the Industrial Research Center, in 2020 In 2016, my country’s oxalamide market demand reached 892.4 tons, with an average annual compound growth rate of more than 8.6% from 2016 to 2020.

From the perspective of the industrial chain, the upstream of the oxalamide industry chain is the supply layer of raw materials and related equipment, involving crude oil, coal, diethyl oxalate, ammonia and other raw materials; the middle reaches is the production layer of oxalamide. In recent years, with the supply side Structural reform has deepened, and backward production capacity of oxalamide has gradually withdrawn from the market. The industry has achieved significant improvements in production level, product quality, market concentration, etc.; the downstream is the application layer, mainly involving the field of chemical fertilizers. my country is a large agricultural country, and the production volume of chemical fertilizers and Consumption ranks first in the world.

In terms of manufacturing companies, the main companies engaged in the production and sales of oxalamide in my country include Jiangsu Dan Chemical Group, China Catalyst New Materials Co., Ltd., Nanjing Yilong Chemical Co., Ltd. and other companies. At present, there are few oxalamide manufacturers in my country, but as a new type of pollution-free slow-release fertilizer, the oxalamide market has attracted a number of companies to enter the market, such as Xinjiang Wangjinglong New Materials. In October 2020, Xinjiang Wangjinglong New Materials had an annual output of 500,000 tons. The oxamide project has started construction and is expected to be completed in October 2022. As projects under construction and proposed come into operation, my country’s oxamide production capacity will be further improved.

Thanks to the release of market demand and the increase in the number of companies entering the market, the scale of my country’s oxalamide market continues to expand. By 2020, the market size of oxalamide has reached 8.043 million yuan. After years of development, my country’s oxalamide market has now entered a stage of transformation and upgrading, with branding, environmental protection, and high-end development becoming important directions for future industry development.

Industry analysts said that oxalamide is a new type of non-polluting slow-release fertilizer. my country is a major agricultural country, and environmental protection supervision is becoming increasingly strict. Against the background of the epidemic, the market demand for oxalamide is constantly increasing, and there is good room for industry development in the future. At this stage, my country’s oxamide industry has entered a stage of transformation and upgrading. As backward production capacity withdraws from the market, the oxamide market will gradually converge towards leading companies.