Breaking News: Environmental Concerns Shut Down Chinese Fireworks Production in Hunan & Jiangxi

March 31, 2023 by Peter Rogoz – Fireworks factories in China have suffered yet another blow to their already challenging 2023 production schedule. On March 28, Chinese officials shut down all chemical plants and fireworks production lines in the Hunan and Jiangxi Provinces that work with perchlorates, a chemical that can cause potentially dangerous contamination to water supplies. Inspectors have been tasked with assessing the water purification systems in all factories and chemical plants throughout Hunan and oversee the installation of purification systems in those facilities that are lacking. 

While inspections have been scheduled for three days, there is no timetable for those factories that fail the inspection and require water purification systems to be installed. Factory closures could last for weeks or even months if significant improvements are needed.

In the short term these closures are expected to greatly affect the production and delivery of outstanding orders for the 2023 July 4th season. Items that are not finished or in production at this time are at high risk of missing the July 4th season. Spirit of ‘76 is working hard to make sure that all customers with outstanding orders are taken care of as best as possible. If you are waiting for products to arrive before the 4th of July, we urge you to buy what you need from our current available stock. 

In the long term, these sudden closures are forcing potassium perchlorate prices to rapidly climb. As a common fireworks chemical, this impacts the price of most fireworks products, even those produced outside of Hunan and Jiangxi in provinces like Guangxi.

Perchlorates are most commonly used in the form of potassium perchlorate in fireworks manufacturing. Potassium perchlorate is extremely common as an oxidizer in a significant number of fireworks formulas including strobes, flash powder, and a vast array of colors. Perchlorate free formulas, while possible, are not common and tend to rely on more expensive and less available chemicals. 

In recent years, research has found that perchlorates can be dangerous to humans when ingested through contaminated food or water. Since 2017, the FDA has published recommended guidelines for the testing and monitoring of perchlorate levels in USA water supplies. Chinese environmental agencies have adopted a similar approach.

These most recent closures are just one of many that have impacted Chinese fireworks production since the Zero COVID policy was reversed in November of 2022. Unprecedented numbers of COVID cases ripped through the Chinese population in November, December, and January, forcing factories to close as much of the workforce fell ill. These interruptions continued into the Chinese New Year, keeping production lines lean until February. 

In February, demand for domestic fireworks skyrocketed as restrictions were removed and Chinese citizens were permitted to publicly celebrate Chinese New Year for the first time since 2019. Fireworks factories throughout China shifted production lines to build for their domestic customers, in some cases even selling fireworks labeled for the American market to local fireworks companies. This unprecedented demand for fireworks has continued to put pressure on factories as Chinese citizens enjoy celebrating weddings, festivals, and other special occasions with fireworks for the first time in years. 

In early March, all fireworks production was paused for ten days while the People’s Congress held a meeting in Beijing. Factories resumed operations for just two short weeks before this most recent closure. 

Additionally, factories have been struggling to hire and retain labor in recent months as more opportunities become available in a post COVID economy. Much like the USA in 2021 and 2022, labor rates are rapidly rising as workers have expanded options thanks to strong market demand. 

Factory shutdowns, labor shortages, material price spikes, and a booming domestic market all indicate a high demand, low supply situation developing in the Chinese fireworks industry going forward . Availability for late 2023 and beyond is expected to be tight and prices are very likely to continue climbing. As always, Spirit of ‘76 advises to buy the fireworks you need and want whenever you have the opportunity to buy them. Please visit shop.76fireworks.com or give us a call to place an order for your 2023 fireworks season. 

Pressure Continues for the Chinese Fireworks Industry

February 2023 by Peter Rogoz – The fireworks industry in China continues to face challenges even as the burden brought on by COVID measures has eased.

As late as mid-November, mass closures of production facilities, cities, and regions, in accordance with the Zero COVID policy, were still the standard operating procedure when COVID cases were discovered, forcing unpredictable factory closures and shipping disruptions to ripple through Chinese and global markets. 

Facing mounting economic pressure, Chinese officials in early December announced a sudden reversal of the Zero COVID policy, repealing most of the testing procedures, isolation requirements, and travel restrictions that had been in place for nearly three years. In the weeks since, a devastating wave of COVID cases has swept the nation as tens of millions of Chinese residents have contracted the virus for the first time. 

Though no longer dictated by official policy, production lines, factories, and domestic shipping lanes have been forced to close for most of December and January as the majority of workers have been battling COVID infections. Most factories opted to close early for The Chinese New Year holiday, which officially began on January 22, and have remained  closed until early February. 

While some officials claim that COVID infections in China have peaked, experts warn that unrestricted travel and gatherings for the Chinese New Year, which are permitted for the first time in three years, will accelerate the spread, especially in rural areas that are home to the majority of fireworks factories. It is likely that mass COVID infections and factory closures will continue to be a factor for fireworks production through February and into March of 2023. 

Beginning March 5, the CCP will be hosting the 14th National People’s Congress in Beijing, once again forcing fireworks production to be shut down during official proceedings. This leaves just four to six weeks of production before the 4th of July shipping window closes for the USA. 

Additionally, Chinese officials have permitted the use of fireworks, which were also restricted as part of the Zero COVID policy, during celebrations and gatherings throughout most of China. This sudden policy shift has sparked unprecedented demand for the Chinese domestic fireworks market as residents are celebrating birthdays, weddings, and the Chinese New Year with fireworks for the first time in three years.        

What does this mean for the USA market? We will be monitoring the situation closely and reporting on developments, but as always, Spirit of ‘76 advises our customers to buy fireworks they need or want whenever they are available. High demand in the Chinese domestic market combined with tightened production is likely to create shortages and force price increases in the future. While ocean freight prices have gone down, material costs and product prices have risen as production windows and availability have been reduced. Those waiting for a price reduction are not likely to see one, and some product categories, including small fountains, novelties, and roman candles, may offer limited selections.

The good news is that Spirit of ‘76 is currently stocked with a large variety of fireworks and we are currently running a 30% off shipping special on orders shipped by March 28 (simply use code SHIP30 at checkout).

As always, all of us here at Spirit of ‘76 will continue to work hard to find the best possible fireworks at the best possible prices for your shows. Please visit https://shop.76fireworks.com/ to browse our large selection of currently available fireworks and stay tuned for more updates in the coming weeks!

Spirit of ’76 at Sky Wars 2022

Spirit of ’76 attended Sky Wars: Invitational Fireworks Championship in Innsbrook, Missouri in September 2022. We offered a pre-order pickup discount, shot a product demo, and donated product to the Blind Pyro competition.

Fireworks Demo: Tako Pyrotechnics and ’76 Pro Line

The product demo we shot on the evening of Friday, September 23rd at Sky Wars consisted of fireworks from the ’76 Pro Line and Tako Pyrotechnics product lines. Watch the demo below.

Spirit of ’76 Fireworks provided products for the Sky Wars Blind Pyro competition. Watch the 2022 Blind Pyro winning fireworks display below.

Sam from Spirit of ’76 attended Sky Wars and caught up with many of the event participants. Enjoy this behind-the-scenes feature focused on the 2022 Blind Pyro Competition:

More behind-the-scenes videos are coming soon! Subscribe to our YouTube channel to be notified.

Original Post: “Pre Order Fireworks to Sky Wars 2022” published August 26, 2022:

Enjoy a limited-time discount when you arrange to pick up your Spirit of ‘76 Fireworks order at Sky Wars in Wright City, Missouri this September.

The Spirit of ‘76 crew will be attending this year’s Sky Wars event, an invitational fireworks championship hosted by the Missouri Pyrotechnics Association (MoPyro). The main event takes place on Saturday, September 24, 2022 in Wright City, MO.

Sky Wars Special: Pre-Order Discount

Enjoy the following deals when you pre-order fireworks for pickup at Sky Wars by Wednesday, September 21st:
• our Gold pricing* (with no minimum purchase)
• FREE delivery of your order to the Sky Wars event
• a free ’76 Pro Line ITALIA hat
*Additionally, all fireworks are discounted up to 25% off during our Fall Kickoff sale.

Orders can be placed from your online account at 76fireworks.com. Please choose “Pickup at warehouse” for the shipping option and enter “Sky Wars” in the shipping notes at checkout. Orders and payment are due by Wednesday, September 21st.

Pick Up Options

Pick up on site: Our truck will be on-site Friday, September 23rd and Saturday, September 24th for pickups.

Pick up from our warehouse: You may also pick up from our warehouse to or from Sky Wars. Special weekend warehouse hours at our Boonville Distribution Center are available by appointment. Please contact your sales representative for more details.