Bromine Production

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Gulf Resources Provides Business Update on Bromine Segment
Newsfilterยท 2025-04-22 12:00
Core Viewpoint - Gulf Resources, Inc. has reported significant losses in its bromine segment for 2024, primarily due to depressed bromine prices and reduced sales volume, but there are signs of recovery in early 2025 with rising prices [2][3][6]. Financial Performance - In 2024, the bromine segment incurred a net loss of $8,200,236 on revenues of $5,549,815, with bromine prices averaging RMB 17,561, a decline of 27.1% from 2023 and 67.3% from 2022 [2][5]. - Sales volume dropped by 71.7% year-over-year, leading to an 83.4% increase in cost per tonne due to fixed costs being spread over a smaller production base [3][4]. Bromine Price Trends - Bromine prices have shown a significant increase in early 2025, rising from RMB 21,900 per tonne in February to RMB 37,500 per tonne by mid-April, marking a 61.9% increase since the beginning of 2025 [6][7]. - Historical price data indicates that bromine prices were significantly higher in 2021 and 2022, with a peak of RMB 69,500 per tonne in October 2021 [7]. Production Capacity and Market Conditions - The overall bromine production capacity in China is believed to be lower than in previous years due to government-mandated closures for environmental compliance [9]. - The company is optimistic about reopening additional factories and has made investments in infrastructure to support increased production capacity [8]. Company Overview - Gulf Resources, Inc. operates through four wholly-owned subsidiaries and is one of the largest producers of bromine in China, with a diverse product range including specialty chemicals and crude salt [10].