Chinese mercury industry
Mercury is one of the most important commodities used in many industries today. It is a naturally occurring element found in rocks and soil and its use dates back to ancient times. Mercury has been used in industrial processes such as gold extraction, manufacture of mirrors, processing of steel and other metals, and in laboratory and medical equipment. China has long been the world’s leading producer of mercury, having about half of the world’s total production in 2021.
The Chinese mercury industry is largely concentrated in the southeastern provinces of Guizhou, Hunan and Fujian, where abundant natural deposits facilitate mercury mining and refining. Chinese production of mercury is of two types, primary and secondary extraction. Primary mercury is extracted from cinnabar ore and is usually of a higher quality than secondary mercury, which is extracted from tarnished and sedimented mercury. In 2020, about 95% of China’s total mercury production came from primary extraction, while only 5% was derived from secondary extraction.
Over the past few years, the Chinese mercury industry has been heavily impacted by regulatory pressures from the government and has been forced to adopt stringent environmental standards to protect the health and safety of the public. As such, the industry has seen significant changes in the production and sales of mercury in the country. The Chinese government has also implemented criminal laws which impose harsh penalties on companies or individuals found to be illegally exporting or stockpiling mercury.
In response to a decrease in demand in recent years, the Chinese mercury industry has shifted its focus to more and new export markets in an effort to keep up production. The Chinese government has also taken steps to boost domestic demand for mercury, such as increasing subsidies for mercury-dependent industries and providing incentives for companies to adopt mercury-free production methods. This increased focus on safety and sustainability has made Chinese mercury more competitive in the international market.
With the Chinese mercury industry increasingly competing in the international market and complying with local and global regulations, it is expected that demand for the commodity will continue to grow in the coming years. However, major challenges remain, such as the high cost of production and the potential for illegal mercury exports. In addition, as the industry works to reduce its environmental impact, it should strive to diversify its sources of mercury, as ore deposits may become depleted in the future. Despite these future challenges, the Chinese mercury industry remains one of the key players in the global market and is expected to remain so into the future.