Market Trends of china engineering plastics Industry
China to remain a global electronics manufacturing hub
- China witnessed a 14.5% increase in the revenue of its electrical and electronics industry from 2020 to 2021. Of these, the output of telecom equipment manufacturers registered a Y-o-Y gain of 8.6% in the first four months, while mobile phone output shrank by 10.9% from the previous year. The output of computer manufacturers registered a 3.9% growth in 2020 from the previous year.
- The output of laptops and tablet computers dropped by 31.1% and 24.5%, respectively, in 2020 due to the COVID-19 pandemic-related disruptions.
- However, during the same period, the demand for electrical and electronic products increased owing to the rising demand for electronics and gaming. In 2021, the total profit of Chinese electronic manufacturing enterprises grew by 38.9% over the previous year, reaching CNY 828.3 billion, recording the highest growth rate in the given period. After experiencing a decrease in 2018, the industry's profits rose quickly from 2019 to 2021.
- China domestically manufactures 85% of the electronics used in its defense industry, and the ratio of domestically manufactured essential electronic parts in defense and high-tech equipment rose from 30% to 85%. China remains an important global manufacturing base for consumer electronics, attracting the world's major electronic producers to establish manufacturing bases and research and development centers. Such developments boosted electronics production in 2022, ranking the country first in terms of global production. Such factors are expected to drive production in the electrical and electronics industry during the forecast period.
Understand The Key Trends Shaping This Market
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OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT
- Rise in defense spending to boost the demand for military aircraft components
- Rising disposable incomes and growing urbanization to drive the construction industry
- Abundance of raw materials and a well-established manufacturing industry to support trade
- The Chinese government imposes new regulations to boost the country's recycling rate
- Mechanical recycling accounting for nearly 85-90% of rPET produced in the country
- Supportive government policies for electric vehicles to propel automotive production
- Evolving consumer trends coupled with growing e-commerce to foster growth
- Resin prices to continue being influenced by international crude oil prices
- Polycarbonate resin is expected to reach 3.0 million tons by 2029, producing more recycled polycarbonate in the upcoming years.
- Waste of electrical and electronic equipment (WEEE) in China reached around 10 million tons which is expected to boost ABS recycling
