CHINESE PLASTICS MACHINERY MARKET
Major shift from west to east takes China to top position / Fragmented industry producing cheap and simple machines / Imports can cost up to 30 times more than domestic output / Germany and Japan are leading exporters / STM Stieler research
China is the largest production base and market for plastics and rubber machinery globally, following a significant shift from the west to the east during the past five to 10 years. China doubled its share in the production of plastics and rubber machinery between 2007 and 2011, while the proportions of other major producing nations decreased, according to recently published research from market intelligence management consultancy Stieler Technology & Marketing (STM Stieler, Loerrach / Germany; www.stm-stieler.de).
The consultant said most Chinese production of plastic and rubber machinery is cheap and simple and is exported predominantly to emerging countries, where customer needs are similar to those in the Chinese market. In contrast, almost two-thirds of plastic machine imports come from Germany and Japan, which have a history of producing quality machinery.
In general, there is a discrepancy between the average price of exported and imported machinery, with imported injection moulding machines costing on average three and a half times and extruders and granulators up to 30 times as much as exported Chinese machines in the same category.
Injection moulding machines are most significant in China, responsible for 50% of domestic production in 2011, followed by extruders, including granulators and blow-moulding machines, with 39%. According to the China Plastics Machinery Industry Association (CPMIA, Ningbo / China; www.cpmia.org.cn) there were 546 domestic manufacturers of plastics machinery in 2011, STM Stieler said.
The Chinese plastic machinery industry remains very fragmented, with the largest 10 companies accounting for only 39% of sales. The leader in the field of injection moulding machines is Haitian (Hong Kong; www.haitian.com). There is a group of 16 specialised Chinese companies with annual sales ranging between EUR 12m and EUR 62m. Compared with the large number of smaller companies, these have international expertise, superior technology and easier access to capital. STM Stieler forecasts an increasing consolidation in the foreseeable future – not only in this area, but in the whole Chinese plastics and rubber machinery industry.
Production of extruders and blow moulding machines is lower than that of plastic injection moulding machines, STM Stieler said. In twin-screw extruders, pipe production and multilayer extrusion lines, Chinese manufacturers are achieving high standards, similar to machinery available internationally.
CPMIA expects an average annual growth of 12% up to 2016, with the consumption of plastics in China compared with western countries remaining very low. Further capacity expansion in the automotive, medical, energy and environmental technologies sectors, as well as the development of new industries including aircraft and railway construction, will result in growing demand for high-end machines, the report says.
11.12.2012 Plasteurope.com [224036-0]
Published on 11.12.2012