company news about Saudi Arabia is a Popular Destination for Chinese Companies to Invest in Calcium Chloride Overseas

Saudi Arabia is a Popular Destination for Chinese Companies

to Invest in Calcium Chloride Overseas

  Calcium chloride is an inorganic compound with the chemical formula CaCl2. Calcium chloride usually appears in the form of white or off-white granules or powder. It is slightly toxic, odorless, slightly bitter, easily soluble in water, and its aqueous solution is neutral.

  From the perspective of the industrial chain, the upstream of the calcium chloride industry is mainly composed of raw materials and processing equipment suppliers such as limestone, calcium chloride dihydrate, feldspar powder, and calcium hydroxide. The midstream is the production and supply link of calcium chloride. The preparation processes include calcium chloride dihydrate (dehydration method), double decomposition method, spray drying dehydration method, etc. The products can be divided into solid calcium chloride (including calcium chloride dihydrate and anhydrous calcium chloride) and liquid calcium chloride according to their form; in the downstream, calcium chloride can be used to produce desiccants, chelating agents, antifreeze agents, curing agents, lubricant additives, food preservatives, defogging agents, etc., and are widely used in food, medical, industry, construction, infrastructure and other fields.

  According to the "2024-2028 Global Calcium Chloride Regional Pattern and Target Market Positioning Analysis Report" released by the Xin Shijie Industry Research Center, in recent years, with the rapid development of food, industry, construction and other industries, the application demand for calcium chloride has continued to be released, and its market has also shown a good development trend. Specifically, in 2023, the global calcium chloride market size will reach 1 billion yuan; and it is expected that between 2024 and 2028, this value will continue to increase at an annual compound growth rate of about 8%. Among them, the Middle East is another major emerging market for the development of the global calcium chloride industry.

  Saudi Arabia is an important calcium chloride demand market in the Middle East, and its applications are mostly concentrated in food, industry, construction and other fields. For example, in the construction field, since the Saudi government launched the "Vision 2030" in 2016, Saudi Arabia's total budget for real estate and infrastructure projects has exceeded US$1.25 trillion. 

  According to a report released by Knight Frank (a world-renowned real estate consulting company), in 2023, Saudi Arabia's construction output value will reach US$141.5 billion; and it is expected that in the next five years, this value will increase by 28%, and is expected to exceed US$181.5 billion by 2028. Calcium chloride can be used as a moisture-proof agent, foaming agent, snow-melting agent, etc., and is used in the construction field to accelerate construction progress, improve the performance of building materials, prevent buildings from getting damp and mildew, and ensure construction quality. With the rapid development of Saudi Arabia's construction industry, its application demand has been released in large quantities.

  However, Saudi Arabia still imports a certain amount of calcium chloride products from overseas every year, and China is an important source of imports. According to data released by the General Administration of Customs of China, from January to March 2024, the cumulative export volume of calcium chloride (customs code: 28272000) in China reached 271,600 tons, and the export value reached 52.3422 million US dollars; among them, Saudi Arabia, the United Arab Emirates and other Middle Eastern countries, South Korea, Japan, Thailand and other Asian countries, the United States, Brazil and other American countries are popular export destinations for Chinese calcium chloride.

Xin Shijie Global Market Analyst believes that calcium chloride is widely used in many fields such as food, medical care, industry, and construction. Saudi Arabia is an important global market for calcium chloride demand, but in terms of supply, its market still has a certain dependence on imports, and China is an important source of imports, which has created opportunities for Chinese calcium chloride suppliers to layout the Saudi market.