Current situation about the fireworks production in China

Oct. 21, 2021

Dear friends!
Today we would like to share our thoughts on the current state of things in the fireworks industry.
At the beginning of 2020, the widespread COVID-19 epidemic changed the world beyond recognition.
People's lives, small and medium-sized businesses, huge corporations and the global economy have been shaken.
The fireworks industry is facing serious challenges.
Overcoming all difficulties, we entered the year 2021 thanks to the support of our friends and partners.
Fireworks for us are not only a career and an opportunity to earn money, but also a part of our life.
We are proud of what we have achieved and it seems impossible to imagine that fireworks can simply disappear from our lives.
In 2021, suppliers-manufacturers of pyrotechnics faced unprecedented difficulties.
The first is the economy.
Fireworks have become an optional industry in China.
15 years ago, fireworks were a significant part of exports, but already in 2000, China's economy grew to an unprecedented scale.
Fireworks make up only 0.04% of the entire economy, according to 2020 data.
Second:
Changes in Chinese legislation on the supervision of fireworks.
The transformation of the control system over hazardous production makes it difficult for factories to operate.
In the last 10 years, the rules have changed a lot and the government at any level is forcing manufacturers to modernize processes according to new requirements.
Manufacturers are required to invest a lot of money to adhere to the changing rules.
Even a regular license must be updated every 3 years.
License renewal requires compliance with a huge number of conditions in accordance with current security standards.
The factory must invest hundreds of thousands of dollars in new buildings and repairs of premises in order to obtain a new license or extend the old one.
A commission from the government comes to check and gives its official permission for further work.
Each member of the commission is responsible for his decision throughout the entire period of the manufacturer's work.
Third:
Reducing the number of factories for the production of fireworks.
Many pyrotechnic factories in China have been closed in recent years.
In 2015, Hunan Province had more than 1,000 pyrotechnic factories, at the end of 2020 there were already only 500, by the end of 2021 there will be 300.
Fourth:
Rising prices for raw materials. In 2021, raw material prices increased by more than 50 %.
Highly demanded materials, such as paper, have increased in price by 80%, strontium carbonate by 50%, copper oxide by 50%.
A big problem is the production and supply of wicks to factories, since according to the classification, this material qualifies as more dangerous than fireworks and requires increased control.
The difficulty in organizing uninterrupted cord supplies also greatly affects the quality of pyrotechnic production.
The period of fireworks production is severely limited by a number of conditions.
Every year, production stops in Hunan and Jiangxi provinces due to high temperatures in July and August. And since 2021, many factories have stopped working since June 1.
There are bans on production during national Chinese holidays or party congresses, when the transportation of dangerous goods is also prohibited along with the production of fireworks.
Fifth:
Internal and external shipments of pyrotechnics from China.
The internal movement of pyrotechnics in China is strictly regulated by law.
The Government has introduced many new requirements for the control of the transportation of dangerous goods within the country.
This applies to obtaining licenses for transportation, route coordination, personnel training, technical characteristics of cars, etc.
Transportation of pyrotechnics is allowed only in the period from 00.00 to 06.00.
Permission for ground transportation by road is not issued during national holidays or party congresses.
All these prohibitions strictly limit the possibilities and delivery time of pyrotechnics.
Due to all the measures introduced, the cost of delivering fireworks across the country has increased significantly.
The last two years have been trials for all of us.
Despite everything, we hope to overcome all difficulties and make the pyrotechnic industry stronger than ever.
This is SuperFireworks Co., LTD, stay tuned!
UPD: A few hours ago it became known that more than 100 factories in Jiangxi Province will not be able to continue production in 2021.