The hottest situation of China's Plastic Machinery

The status of China's plastic machinery industry

1. Production scale

although China's plastic machinery manufacturing industry, which mainly comes from imported materials, started about a century later than foreign countries, has become the world's largest plastic machinery producer in terms of product output. In recent years, Germany, Italy, the United States and Japan, the countries with the most developed plastic machinery manufacturing industry in foreign countries, have produced 30000 to 50000 sets of leading products, while China's nearly 50000 Chinese factories in 2001 are also gradually developing and expanding sets. In 2004, it reached more than 83000 sets, including 61000 injection machines, accounting for about 1/3 of the world's output of injection machines that year

Figure 1: production of three kinds of equipment in China's leading plastic machinery products in recent years. 2. Economic scale

the total output value of the world's plastic machinery industry hovers between 17.5 billion euros and 20 billion euros. In terms of 17.5 billion euros, Germany's annual output value was 6.239 billion euros (2002), ranking first; Italy ranked second with 3.65 billion euros (2002). In China, it was 10.5 billion yuan (about 1billion euros) in the same period, less than 1/6 of Germany and 1/3 of Italy. Even compared with the total output value of plastic machinery industry of 15.2 billion yuan in 2004, it is less than 1/4 of Germany and 1/3 of Italy respectively

Figure 2: major economic indicators of China's plastic machinery manufacturing industry in recent years 3. Development speed

in the past 10 years, China's plastic machinery manufacturing industry has been on a high-speed development track in terms of production scale and economic scale, and has increased year by year. Production scale: the average annual growth rate in the last 10 years is 13.98%, of which the average annual growth rate after 2001 is 21.96%. Economic scale: the average annual growth rate in the last 10 years is 14.47%, of which the average annual growth rate after 2001 is 15.73%. In 2005, the total output value of plastic machinery in China was 18.87 billion yuan

4. Market demand

due to the strong market demand for plastic machinery at home and abroad in recent years, and with the industrial transfer brought about by the development of the world economy, China has obvious advantages in low-cost products and insufficient high-end products, so China's plastic machinery is in a large-scale trend

5 Import status of China's plastic machinery products Figure 3: import status of three kinds of equipment in China's leading plastic machinery products in 2004 (calculated by sets) 6. Export status of China's plastic machinery products

although China's plastic machinery products have entered the international market in batches for only a few years, they have increased rapidly. In 1998, it exceeded US $100million for the first time; In 2004, it reached 916million US dollars, accounting for 49.69% of the total output value of China's plastic machinery manufacturing industry that year; In 2005, it exceeded US $1billion, reaching US $1.33 billion. The average annual growth rate of exports in the last five years was 39.90%. Export regions have shifted from mainly developing countries in Asia, Africa and Latin America to developed or more developed countries or regions such as Europe, the United States and Japan. In 2003, exports to Europe, North America, Australia and Asia, including Japan, South Korea, Thailand and China's Hong Kong and Taiwan regions, accounted for 61.48% of the export volume of that year

Figure 4: the export of three kinds of equipment in China's leading plastic machinery products in recent years (calculated by sets) 7. Analysis of export status

A. export destinations are not limited to developing countries and regions

according to the statistics of 168 export destinations one by one, it can be seen that the export of China's domestic plastic machinery has expanded from developing countries and regions to most developed countries and regions

B. the industry has a strong dependence on the international market

the export volume of plastic machinery in 2005 has accounted for 56% of the total output value. The export dependence of this industry has been high and still has a trend of rapid improvement. Therefore, we can preliminarily determine that China's plastic machinery industry will become an export dependent industry in a few years

c. products are still mainly of medium and low grade

like the domestic market, products entering the international market are still driven by medium and low grade and low price. The reason is that the technology content is low, the equipment efficiency is low, and the energy consumption is high. The products produced by the equipment are almost existing products in the market, and there are almost no products that drive the equipment market with independent innovative products. It can be predicted that the characteristics of China's plastic machinery, which consumes a lot of resources and has low profits in the international market, will not change soon after being extruded, suppressed or injection molded by special equipment

therefore, in connection with the overall situation of domestic and foreign markets, we can define it as follows: China's plastic machinery manufacturing industry is an industry with high investment, low added value, large resource consumption and increasing dependence on foreign trade

8. Capacity of plastic equipment in the domestic market

Figure 5: market capacity and domestic share of China's plastic machinery and equipment in 2004 Figure 6: market capacity and domestic product share of China's plastic machinery in recent years 9. Main problems

rely heavily on resource investment. What products do China have to let customers know what products are included in the experimental machine? Plastic machinery manufacturing industry is a resource dependent industry. Over the years, in the domestic market of plastic machinery products, domestic products account for about 75% in quantity, while sales only account for about 25%. The price of domestic products is only 1/6 ~ 1/8 of Germany, 1/3 ~ 1/4 of Italy and Japan, and 1/2 ~ 1/3 of South Korea. The average price of our imported products from various countries is four times that of domestic products, which means that we have to pay four times as much resources as foreign countries to achieve the same economic scale. In terms of quantity, China has become the world's largest producer of plastic machinery, accounting for 1/4 of the world's output; The total output value is only 9% of the world's total output value of plastic machinery; Last year, the import volume of plastic machines was five times that of domestic plastic machines; By the end of 2005, 56% of domestic plastic machinery was exported to the international market

10. Trends in the international plastic machinery industry

a. as a competitor, China's plastic machinery industry has received a significant increase in attention

even though the threat of China's plastic machinery industry to the world market is not as serious as many European and American counterparts worry, European and American counterparts have paid high attention to the current situation. As far as we know, there have been many special meetings to discuss China's threat

b. tariff barriers, technical barriers

in addition to the possible tariff barriers, technical barriers are the main issues that Chinese enterprises need to pay attention to. The following examples: new standards, technical specifications, connection specifications, etc; Strengthen the protection of intellectual property rights

c. relocation of manufacturing bases

at the same time, manufacturing bases have moved to China and regions similar to China, such as India, Southeast Asian countries, Eastern European countries, South America, etc

reprinted from: specialchem