China's plastics industry in 2008 was the year of internal and external problems, but in 2009 it is of such internal and external pushed to the cusp. Whether the financial crisis or the Middle East petrochemical industry, China's own self-regulation is still facing the plastics industry, the development of problems are beyond doubt. Plastics market development in China's domestic situation and the future direction of development is also affecting the hearts of everyone within the industry, facing many problems at home and abroad, the plastics industry has always been convinced that the difficulties and opportunities coexist.
China's plastics consumption has been showing rapid growth for 20 consecutive years, despite the financial turmoil, in 2008 China's product industry as a whole remains on the upside. In particular, plastic materials, in the second half showed a decline of other industries are still under substantial growth over the same period in 2007, compared with growth of 32.29%. Statistics show that last year, the number of plastic processing enterprises above designated size reached 37.138 million tons, an increase of 10.1%, the output value 963.8 billion yuan, an increase of 20.86%. Total exports of plastic products 11.92 million tons, an increase of 34.5%, exports 26.9 billion, representing 16.52% growth in 2007.
Analysis of the major consumer markets of China Plastics
1. The greatest amount of plastic packaging industry sectors. Only in 2008 the national production of plastic woven silk and 7 million tons, second only to the packaging film of the second-largest varieties of plastic packaging and the rapid growth of the past five years an average of over 25%. In 2009 estimated the total demand of domestic packaging 16 million tons, a slight increase of 2%. Plastic packaging production value in 2011 is expected to reach 220 billion.
2. Agricultural Plastic has always been an important position in the market, and has broad prospects for development. Last year, output of 950,000 tons of plastic sheeting, down 5.5% compared with the previous year, but fortunately other agricultural plastics market to increase by a big margin, and it did not declined. 2009 in water pipes, water-saving irrigation, livestock and other agricultural greenhouse plastic, driven by application of synthetic resin, is expected to 2.6 million tons, an increase of 2.7%.
3. Plastic materials, including pipes, fittings, profiles, sheet materials, insulation materials, geotechnical materials, roof covering materials, plastic-wood materials, etc. In recent years, rapid growth; 2008 only pipe, pipe fittings production on close to 500 million tons, growth of 28.18% (of which exports 356,000 tons) market demand. In 2009 consumption of synthetic resin, building materials industry will be more than 12 million tons. Main varieties are: PVC, HDPE, PP, EPS, etc..
4. In recent years, household plastic products very fast pace of development, mainly with the people's rising living standards, consumption has increased faster for daily updates. This also demonstrates the application of the field of plastic products is expanding rapidly. Plastics consumption in 2009 is expected to daily up to 700 million tons.
5. Electrical and electronic plastic products, one of the most important markets, but also areas of greatest potential in the future. Present in consumer electronic products, plastic components has accounted for 38% of the total weight. And as the consumption level will increase and electronic products exports increased year by year, the proportion of plastic usage and application will further rise. Despite the current domestic production of technical content and added value are still very low, but this does not affect the manufacturing sector of the huge demand for modified plastics. Public letter to the Ministry of the introduction of six initiatives, will further advance the application of plastics in the electronics industry. 2009 electrical and electronic engineering plastics industry is expected to use 700,000 tons of other varieties of plastics for more than 6 million tons.
6. In the automotive industry, plastic for its light weight, large design space, manufacturing low-cost, high performance, feature a wide range, finally make the car lighter, safety and manufacturing costs, gained a few more breakthroughs. Thus becoming the twenty-first century, the best material of choice for the automotive industry. It has been done to statistics, in Europe the use of plastics, automotive significantly reduce the overall weight, thus to reduce annual 10 million tons of carbon dioxide emissions, but also can reduce the procurement cost of about 40%.
In 2008 the domestic automobile industry, the use of modified plastic vehicle traffic close to 150 million tons in 2011 is expected to reach 2.3 million tons. If the maintenance of the market taken into account, consumption will increase 1.5 times.
Current Situation and Development of China Plastics Industry Analysis
Overall, in 2009 the plastics industry continues to have decent performance, domestic market demand remains strong, foreign markets are gradually being restored. In the first months of data have already explained that plastics market, there will be more than 10% growth.
Although the plastics industry, growing demand in a terminal case of warming up in the trend of development picked up, but the new round of crisis is quietly hit. Impact of financial crisis has not dissipated, the Middle East petrochemical products from overseas next year, the influx of domestic turn. China Engineering Plastics Association statistics show that last year the second half of the first half of this year, despite the financial crisis, China's plastics processing industry for raw materials, the actual demand grew by 20%. In sharp contrast, China's plastics raw materials (including common plastics, engineering plastics) production enterprise actual production reduced by 20% year on year. Chinese plastics market has been an incremental imports of basic digestion.
Analysis of the industry, plastics are many reasons for the increase in import volume, low-cost overseas competition is one of the main. Overseas enterprises to less than 15% of the domestic market to 20% of the price low-price competition, breaking the balance of the domestic market, would severely hurt domestic producers. Under pressure from the international market, the domestic synthetic resin, there is still 45% between supply and demand gap, even though sales should not be a problem, but the profit margins smaller.
China's plastics consumption, despite accounting for first in the world, but in per capita consumption is only one-seventh of the developed countries, a quarter of moderately developed countries, which shows China's plastics industry in the future there is a very big market space for development .
At present, the Government has been increased investment, which in the short term is correct. But there are two different loose monetary policy, one is able to come to our assistance policies, as well as one is able to emergency policy.
The short term to stimulate demand through a huge plan to increase employment and stimulate economic growth approach is certainly important. But more important: should focus on industrial policy, industrial organization policy, product replacement, technology upgrades, etc., to reduce business costs, improve business efficiency and increase employment. This is the long-term fundamental approach to enhance economic growth. How the policy of emergency to long-term needs of the policy, which is more concerned about business. China's economic system, the deeper problem lies in its mode of development.
The plastics industry, although significant increase in the first half of the national credit, market liquidity ample. However, most plastics companies are benefiting from the small, especially in SME financing is still difficult, the production recovery slow, weak. This at least shows that the current increase in domestic currency, the industry's role in promoting the economy is obviously inadequate and lagged behind, and the efficiency is not high.
Recommends that the Government departments should eliminate backward and to the production of the same time, increase the intensity of the advantages of enterprise support. Make a number of high technological content and strong market competitiveness of enterprises with good prospects for development to the rapid development of production technology in order to replace those backward, high energy consumption, environmental pollution is serious business.
With the trend of the stability of the market turmoil, the plastics industry will be showing a steady increase of the new look. Plastics and related industries believed that with the concerted efforts of relevant departments in the government with substantial assistance, plastics industry will achieve greater growth in the national economy and make a greater contribution to security 8.