How is China's aluminum sulfate supply-demand balance evolving and what are the structural risks?

How is China's aluminum sulfate supply-demand balance evolving and what are the structural risks?
China's aluminum sulfate market has long suffered from oversupply and sluggish application development. Industry capacity is estimated at 1.35 million tonnes per year, but only two producers exceed 100,000 t/a and ten exceed 50,000 t/a. Most players run small, low-margin operations constrained by sales radius and limited R&D, resulting in a homogeneous product slate focused on water treatment and papermaking. Many units have low alumina content and high impurities, failing to meet export or high-end domestic specs. New entrants often invest without adequate planning, further depressing product quality. The market is saturated, with few companies developing specialty grades for niche uses like titanium dioxide or rapid-setting additives, leaving the sector vulnerable to demand stagnation.