----Interview with Kaidong Chen
Deputy General Manager
Guizhou Guxin New Materials Co., Ltd.
Guizhou Guxin New Materials Co., Ltd. is located in Yilong New District, Qianxinan State, Guizhou Province. With a total investment of 52 million yuan, the company covers an area of approximately 260 acres and employs over 1,000 people. It specializes in the production of new refractory and wear-resistant materials such as brown fused alumina and zirconia fused alumina.
Asian Metal: Hello, Mr. Chen. Welcome to our interview column. Could you please introduce the basic situation of your company?
Mr. Chen: Guizhou Guxin New Materials Co., Ltd. was registered and established on February 27, 2020. It is a key investment project introduced by the Yilong New District of Qianxinan State. Our project, titled “Annual 30,000-ton Zirconia Fused Alumina and 270,000-ton Brown Fused Alumina Production Line Construction,” began in 2020, and the first phase officially went into operation in June 2021. Once both phases are fully completed, we will become the largest manufacturer of fused alumina refractory and wear-resistant materials in the country. Our main products are brown fused alumina grain sand and segment sand. The company leads the industry in terms of construction scale, equipment and facilities, product quality, and output. Our annual brown fused alumina output exceeds 180,000 tons. Throughout production, we strictly adhere to ultra-low emissions standards. Product quality complies fully with national standards and ISO 9001 quality management requirements. We continuously improve production equipment and processes through innovation and R&D. To date, we have been granted two invention patents and six utility model patents by the National Intellectual Property Administration. Currently, we have three invention patents, two design patents, and four utility model patents under application or review. We have passed certifications for ISO 9001 (Quality Management), ISO 45001 (Occupational Health and Safety), ISO 14001 (Environmental Management), ISO 50001 (Energy Management), and GB/T 29490 (Intellectual Property Management). We were also honored with a Merit Award and Certificate of Recognition in the "Maker China" competition organized by the Ministry of Industry and Information Technology in Guizhou Province. In 2022, we were certified as a national high-tech enterprise, and in 2023, we were recognized as a "Specialized, Refined, Unique and Innovative" enterprise in Guizhou. We uphold the principle of “integrity-based development, pursuit of excellence, and win-win cooperation,” and remain committed to delivering quality and trustworthy service to our clients.
Asian Metal: Since the fourth quarter of last year, the Guizhou region has experienced repeated production restrictions due to environmental regulations. What measures has your company taken in response?
Mr. Chen: Since last winter, Guizhou has undergone several rounds of environmental inspections. The operating rate of brown fused alumina dropped from 53.63% in December to 46.75% in January, and output fell from 37,000 tons to 30,000 tons. Most producers responded by cutting or limiting production. Our company has managed to maintain stable operations thanks to our advanced environmental protection equipment and green production management. We have been recognized as a provincial-level “Green Factory”—the only such recognition in the fused alumina industry nationwide. All of our smelting furnaces are equipped with high-efficiency bag dust collectors, and our emissions meet national standards. In addition, with desulfurization towers installed, we comply with ultra-low emission benchmarks. We also maintain a sufficient reserve of raw materials to avoid sudden production halts that could affect deliveries. Since the first quarter of this year, the operating rate of brown fused alumina in Guizhou has remained around 46.5%. Although the rate is low, it still balances well with the current weak market demand.
Asian Metal: In recent years, the shortage of bauxite raw materials in China has become increasingly serious. How is your company addressing this issue?
Mr. Chen: The national tightening of resource control policies has significantly impacted bauxite production capacity, causing supply shortages for many fused alumina producers in Guizhou. However, Guizhou Guxin has maintained close partnerships with local bauxite mines, securing a stable raw material supply. We have also built four environmentally friendly shaft kilns and two 2.2×55m rotary kilns in Anshun, Guizhou Province, with an annual bauxite output of 60,000 tons. This ensures our continuous production and reliable delivery to customers. Since the first quarter of this year, alumina prices have declined, leading to a cooling demand for domestic bauxite in the alumina industry. As a result, the supply pressure on fused alumina producers has eased, and raw material costs have stabilized.
Asian Metal: Since February this year, the price of brown fused alumina has been continuously falling. What is your outlook for the market in the next three months?
Mr. Chen: In the second half of last year, due to high prices of white fused alumina, demand for brown fused alumina rose significantly. In 2024, total output reached 980,000 tons, up over 15% from 860,000 tons in 2023. However, since February, white fused alumina prices have declined, and many customers have switched back due to the lower cost. This shift caused demand for brown fused alumina to weaken and led to market oversupply, driving prices down. Looking ahead, white fused alumina is expected to remain cheaper than brown fused alumina in the second half of the year. Therefore, demand for brown fused alumina is unlikely to rebound in the short term. Despite some price support from sintered bauxite, brown fused alumina prices have been under sustained downward pressure since the first quarter.
Asian Metal: Amid the current intense market competition, what are your company’s key advantages?
Mr. Chen: Our brown fused alumina products are known for their large-scale output and stable quality. We pursue excellence in energy conservation and maintain complete control over the entire process—from raw bauxite to smelting and final product. Our energy efficiency and cost control are among the best in the industry, giving us a clear competitive edge. Additionally, our “Green Factory” status shields us from disruptions due to environmental inspections, allowing us to maintain stable, year-round production and ensure consistent, high-quality supply to our customers.
Asian Metal: How is your current export business progressing, and what are your future plans?
Mr. Chen: Guizhou Guxin New Materials Co., Ltd. has established a strong foothold in the market through its technological strengths, environmentally friendly production, and stable supply. Currently, we primarily cooperate with trading companies for exports. As a young company, we are still developing our own overseas customer acquisition capabilities. In 2023, China exported 430,000 tons of brown fused alumina, which increased to 470,000 tons in 2024. Among them, exports to Japan have remained above 60,000 tons annually, and exports to India above 40,000 tons. These are major destination markets. To meet growing global demand, we plan to expand our international market presence. We will focus on exploring refractory abrasive needs in Asian countries—particularly Japan, India, and South Korea. We also aim to build closer ties with European markets such as Germany and the United Kingdom. We’re actively establishing contact with potential overseas customers and are committed to playing a greater role in the international market.
Asian Metal: Thank you for your insightful sharing!
Mr. Chen: Thank you, Asian Metal, for the opportunity and the exclusive interview!
