◎ Qi Xuezhi

Over the past few decades, China’s comprehensive utilization of waste rubber industry has been developed in silence. While changing waste materials into things of value, it also solves the black pollution problem brought about by waste rubber. Especially the production and application of reclaimed rubber with Chinese characteristics alleviate the resource pressure caused by the lack of natural rubber resources in China and make great contribution to the development of China’s rubber industry and environmental improvement.

In 2018, the dual task of environmental protection and resource undertaken by China’s comprehensive utilization of waste rubber industry became more arduous. Achievement of transformation and upgrading of the industry is not only the requirement of the era, but also the demand of the industry for internal promotion. The industry and the enterprises accelerated the realization of standardized and green development.

Overall economic operation: Negative growth appeared for the first time in more than a decade

Reclaimed rubber is the main force of waste rubber utilization in China, which has good cost performance. From 2016 to 2017, the output of reclaimed rubber and rubber powder in China basically continued the growth momentum. According to incomplete statistics, China's reclaimed rubber output reached 4.8 million tons in 2017, with a year-on-year (the same below) increase of 5%; the output of rubber powder reached 700,000 tons, with an increase of 8%. See Table 1 for the output of rubber powder and reclaimed rubber in China in recent years.

Table 1: Output of rubber powder and reclaimed rubber in China from 2012 to 2018

Ten Thousand Tons

Note: These data are calculated by China Rubber Industry Association (hereinafter referred to as CRIA) Comprehensive Utilization of Waste Rubber Branch.

However, the output of rubber powder and reclaimed rubber reversed in 2018. Due to environmental reasons, some small and scattered enterprises were shut down. As CRIA Waste Rubber Branch estimates, the output of reclaimed rubber of the shutdown part is about 600,000 tons. Considering the production expansion of some enterprises, the total output is expected to be reduced by 400,000 tons, and the annual output of reclaimed rubber is 4.4 million tons, resulting in a negative growth in more than a decade for the first time.

Due to the rapid growth in the application of vulcanized rubber powder in waterproof roll and other industries in 2018, the output of vulcanized rubber powder is expected to be 800,000 tons.

With the continuous growth of the output of waste tires, the disposal rate of waste tires began to decline from 2016, especially in 2018. It is estimated that the disposal rate is only 43.4%, which is not optimistic.

Seen from the development trend of comprehensive utilization of waste rubber industry in recent years, it showed a development trend of bottoming up, recovery, reversal and consolidation in 2016. The total output value of the industry hit a low point in July 2016, with consolidation pattern at a low level afterwards, and the output of reclaimed rubber and rubber powder was also in a state of slow recovery. At the beginning of 2017, as the price of natural rubber gradually went up, the overall profit of the industry also rebounded, but the market price of raw material waste tires also increased rapidly. In 2017, the industry showed an overall trend of bottoming out and rebounding with volatility, the benefit of scale enterprises recovered to some extent, but the overall profit rate was still low and the operation of the enterprises was still under great pressure. In 2018, the industrial transformation was obviously accelerated under the pressure of environmental protection, the scale effect brought by it was preliminarily reflected, the dominant position of scale enterprises was gradually highlighted, and the concentration degree of the industry was enhanced.

Road to transformation: Popularizing cleanliness and automation

With the reclaimed rubber output accounting for 73% of the world's total output, China leads the world in production and application, and its influence in the world is steadily on the increase. In terms of the output of a single enterprise, Nantong Huili, Laiwu Fuquan, Chaoyang Huaxing, Shanxi Beihai, Xiantao Juxing, Linshu Zhongtai, etc. all rank top at home and abroad.

In terms of desulfurization equipment, China's atmospheric continuous desulfurization equipment manufacturers, such as Jiangsu Zhonghong, Qingdao Zhongjiao, Tiantai Kunrong, Qingdao Gaoji and Nanjing Green Gold Giant have started actual application. Combining with other advanced technologies in the world, Anhui GVG also finds a new path suitable for its own development. Many enterprises' equipment have gone abroad.

In terms of crushing and grinding equipment, after nearly 30 years of development, there are more and more varieties, the equipment performance is more and more excellent, and some enterprises begin to explore automation and intelligence, with brand awareness gradually enhanced. China's crushing and grinding equipment is no longer a synonym for low-end products. More practical and stable technology and equipment innovation will bring about improvement of production mode and benefit for the development of the industry.

However, the transformation and upgrading requires indepth participation of more enterprises. The equipment and technology also need to be popularized and applied on a larger scale, especially the application of renewable products needs constant innovation and exploration to realize real green cycle.

In terms of the application of recycled products, the Branch selected the first batch of 13 designated manufacturers of "rubber powder for waterproof roll" in 2017 to promote the application of rubber powder in waterproof roll together with China National Building Waterproof Association. It organized the member enterprises to have exchange on application with the upstream and downstream enterprises and enhanced linkage between the upstream and downstream enterprises, which is conducive to jointly promoting the green cycle of China's rubber industry.

With the implementation of China's "Ban on Waste", it will become increasingly necessary to dispose and recycle waste materials including waste tires in our own country. China’s comprehensive utilization of waste rubber industry also faces rare development opportunities.

In October 2018, the group standard E-series Reclaimed Rubber was officially released by CRIA. This standard is helpful to regulate the eco-friendly and safe production of reclaimed rubber industry and thoroughly eliminate the addition of coal tar and other toxic additives in the production process, so that the downstream industry can be "at ease with" green products.

The format mode of the comprehensive utilization of waste rubber industry dominated by clean and automated production will be formed and popularized. The recycled products produced with high standard and high quality will greet a larger market. Outstanding enterprises will achieve a greater development, while backward enterprises will face elimination.