The use of lighter, environmentally friendly plastics in manufacturing is boosting demand
San Francisco, CA (PRWEB) May 04, 2013
Revenue for the Basic Plastics and Synthetic Resin Manufacturing industry in China is estimated at $145.7 billion in 2013. Over the past five years, revenue has been growing at an annualized rate of 18.6%, says IBISWorld. Growth slowed in the latter years of the five-year period due to the lingering effects of the global economic crisis of 2009.
Growing domestic demand is the primary driver of the Basic Plastics and Synthetic Resin Manufacturing industry, says IBISWorld. The household electronics manufacturing industry in China is shifting toward the use of more plastic in its products to make them lighter (IBISWorld industry report 3954). In addition, polypropylene (PP) products are considered environmentally friendly, and they are increasingly being used in the manufacture of decorative and functional auto parts (IBISWorld industry report 3725).
The top four enterprises operating in this industry, the Sinopec Group, China National Petroleum Corporation, Yabang, and Zhenjiang Chimei, account for 27.9% of industry revenue. Domestic regulations on environmental protection are relatively lower than that of more developed countries like the United States and Japan. This, along with the large domestic market, has attracted many foreign chemical giants like Total, BP, LG and Exxon Mobil to China. However, the Chinese government has been committed to establishing an energy-saving and environmentally friendly society, which may prevent other foreign companies from entering the market, says IBISWorld. Specifically, the Comprehensive Scheme on Energy Saving and Emission Reduction is being implemented during the twelfth five-year planning period (2011 to 2015), making the market less appealing to foreign investors.
For more information, visit IBISWorld’s Basic Plastic and Synthetic Resin Manufacturing in China industry report page.
Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld
Friend IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189
IBISWorld Industry Report Key Topics
Companies operating within the Basic Plastic and Synthetic Resin Manufacturing industry in China produce primary plastic materials from oil and natural gas products. Major products of the industry include polyethylene (PE), polypropylene (PP), polyvinyl chloride (PVC), acrylonitrile butadiene styrene (ABS), and polystyrene (PS).
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.