Chinese Markets for Paint and Coating Chemicals

Abstract

Report Scope and Methodology

This report examines China' s macroeconomic trends, investment environment, paint and coating chemicals industry structure and capacities, production and demand, end-user market consumption trends, distribution channels and industry participants, longterm forecasts for paint and coating chemicals. The report contains over 60 tables and charts. Key producers of paint and coating chemicals are profiled. More than 100 top Chinese paint and coating chemicals producers are listed in the producer directory section. Key Chinese trading companies are also included in the producer directory section.

Both primary and secondary research is done in China in order to access up-to-date government regulations, market information and industry data. Data is collected from Chinese government publications, Chinese language newspapers magazines, Chinese chemical industry associations, local governments' chemical industry bureaus, and paint and coating chemicals industry publications. Interviews are conducted with Chinese industry experts, university professors, and paint and coating chemicals producers in China.

Historical data include 1995, 2000 and 2005. Longterm development trends are projected to the years 2010 and 2015. Economic models and quantitative methods are applied in this report to project market demand and industry trends. Metric system is used and values are presented in either Yuan (RMB, current price) and/or US dollars. Exchange rate for 2005 is based on the annual average rate (8.1 Yuan per US dollar). The word "demand" is used interchangeably with "consumption". Totals may not add due to rounding.

Executive Summary

China has experienced over two decades of high economic growth, which has been stimulated by the consecutive increases of industrial output, consumer consumption and capital investment. China' s GDP has been growing at 9.8% per annum. National industry output has been advancing at 15% annually and will continue to sustain a strong growth into the next decade. The fast-growing middle class is creating an enormous consumer society. As the fastest-growing economy in the world, the emerging market has attracted the attention of investors and corporations around the world for the last two decades.

To deepen the reform of state-owned enterprises is a long-term task and needs great efforts. The reform of state-owned economy has witnessed rapid changes in both economic and social aspects. The introduction of foreign advanced technology and capitals will continue to be favored by the Chinese government and business community. New ways will be adopted to utilize foreign investment, including mergers, acquisition, and investment funds and securities investment. China will continue to improve its investment environment in the areas of legal system, intellectual property protection, foreign trade and investment regulation, infrastructure and financial system. China is the second largest foreign investment recipient after the United States in the world today. Given its vast market, the country provides tremendous opportunities for investment and trade both for the present and future.