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Chemical Industry in China
Aruvian Research, March 2009, Pages: 60
The chemical industry is the third largest in China, after textiles and machinery, and accounts for 10% of the country’s GDP, as well as for between 35% and 40% of the global demand growth for chemicals. China’s chemical industry is the second largest consumer, after the US, of basic chemical products - fully 45% of the total for Asia. The estimated growth in domestic demand for chemicals in 2005-2006 is now estimated at seven to eight percent.
However, despite this growth, China has a net chemical deficit with the world market and is heavily dependent on imported materials. This dependency has been affected by price trends in the world market caused by heavy international demand for raw materials, petroleum and other chemical inputs.
China joined the World Trade Organization in 2001, which committed it to cutting tariffs on chemicals. In coming years, this could expose weaknesses in various parts of the domestic chemical manufacturing center.
This report analyzes the Chinese chemical industry in its new report Chemical Industry in China. The report researches the characteristics of the Chinese chemical industry and the segments which, as a whole, make up this dynamic machinery of growth. The massive globalization and consolidation strides taken by the industry as explained in the report with the requirement of heavy capital investment that brings in more competition and the overall focus of the industry to meet the environmental challenge.
The report delves deeper into the processes applied in the Chinese chemical industry and their defining global standards thereby ensuring leadership in exports as well as attracting significant FDI in the industry. The industry’s dynamics like competition, infrastructure and the regulatory policies with the reporting requirements deployed on the industry are explained by the report.
A comprehensive section on the affect of the REACH agreement, which came in to effect from June 1, 2007, on the Chinese Chemical Industry, sets Aruvian’s offering apart from other reports on the subject. The report also profiles some of the leading players in the industry who have earned the reputation and pride for the Chinese Chemical Industry globally and have placed China at the top of the pecking order.
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