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Speech by President Liao at the China International Plastics and Rubber Industry Exhibition

Classification:

Industry dynamics

Author:

FEP tube little sister

Source:

FEP tube little sister

Release time:

2007-07-02

Visits:

Distinguished guests and friends:

Hello, everyone! First of all, on behalf of China Plastics Processing Industry Association (CPPIA), I am honored to say hello to friends in the plastics industry and media circles. Thank you for your enthusiasm and support for the 21st China International Plastics and Rubber Industry Exhibition! "2007 International Rubber and Plastic Exhibition" will be held in Guangzhou China Export Commodities Fair Pazhou Exhibition Hall (Guangzhou International Convention and Exhibition Center) from May 21 to 24. On this occasion, I will report on the development of China's plastics industry in 2006 and look forward to the development trend in 2007. I wish "2007 International Rubber and Plastic Exhibition" another success and make new contributions to the development of China and the world's plastics industry.

2006 is the first year of the "Eleventh Five-Year Plan". China's plastics industry has made great achievements in the past year, and various economic indicators have also increased significantly over the previous year. The market demand is strong, reflecting the "sunrise industry" of my country's plastics industry. The characteristics indicate the strong development momentum of my country's plastics industry during the "Eleventh Five-Year Plan.

1. Status of China Plastics Industry in 2006

1, synthetic resin production record high, strong growth in plastic machinery

According to data from the National Bureau of Statistics, the national synthetic resin output reached 25.287 million tons in 2006, an increase of 17.6 percent over the previous year. Both the production and consumption of raw materials have increased, showing the stable and healthy growth trend of China's plastic market demand, and continue to move towards the goal of a plastic power at a firm pace. We also see that the growth of general-purpose resin production is significantly higher than the growth of consumption, and the dependence on imports is declining.

In 2006, the production of plastic machinery resumed strong growth momentum, reaching 32.47%, which fully shows that China's plastic machinery industry is gradually strengthening in the international market competition. (See Table 1)

Table 12005-2006 China Synthetic Resin Production and Growth Rate

Project Production in 2005
(Tons)
 YoY growth
（%）
 Production in 2006
(Tons)
 YoY growth
（%）
Plastic resins and copolymers 2141.96 18.33 2528.7 17.6
polyvinyl chloride resin 649.21 27.6 823.8 23.28
polyethylene resin 529.05 17.15 599.3 15.04
polypropylene resin 522.94 12.34 584.1 12.66
Polyester 777.63 14.42 818 2.24
Plastic Machinery 35.32 -5.39 52.6 32.47

The output of plastic products still maintained double-digit growth, with a large increase in the main varieties.

In 2006, the output of enterprises above designated size in China's plastic products was 28.019 million tons, an increase of 18.68 percent over the same period last year and 6 percentage points higher than the previous year. Plastic pipes and other plastic products grew by more than 30 per cent, plastic profiles and plastic wires and woven products grew by 20 per cent, plastic boxes and containers grew by 18 per cent and agricultural films grew by 9.6 per cent. (See Table 2)

Table 2: Comparison of output and growth of plastic products in 2005 and 2006

 

Product Name 2005Year 2006Year
Production (tons) Year-on-year growth (%） Production (tons) Year-on-year growth (%）
Plastic Products 2198.55 12.92 2801.9 18.68
Plastic film 442.2 14.98 528.69 8.27
One agricultural film 87.31 20.3 86.15 9.61
Plastic profile (including sheet) 236.69 13.28 308.44 20.57
Plastic pipe (including bar) 196.78 22.95 288.14 30.91
Plastic wire and woven products 236.86 23.83 301.28 19.66
artificial leather 67.33 7.24 83.96 8.24
synthetic leather 51.42 9.55 52.78 7.13
foam plastic 111.25 14.85 113.05 11.25
Plastic packing box and container 109.02 15.7 148.74 17.92
Daily plastic products 332.32 5.63 301.87 11.06
Other plastic products 414.67 7.34 674.96 30.7

3, the enterprise to the scale of development, the concentration of continuous improvement

From January to September 2006, there were 12579 large-scale enterprises in the plastic products industry, with a main business income of 437.892 billion billion yuan, an increase of 25.71 over the same period last year. It can be seen that China's plastic products enterprises are developing on a large scale, the concentration is gradually increasing, and the overall level of the industry is constantly increasing. Therefore, in the future, the focus of work should still be on the support of key large enterprises and the cultivation of a number of large enterprises.

4. The main economic indicators increased by more than 25% year-on-year (see Table 3)

 

Table 3: Main Economic Indicators of National Plastic Products Industry from January to November in 2005 and 2006

 

Name of Main Economic Indicators 2005Year 2006Year1-11Month
Amount (RMB billion) Year-on-year growth (%） Amount (RMB billion) Year-on-year growth (%）
Gross Output Value (Current Price) 4997.99 25.81 5714.94 25.83
Main business income 4846.91 25.97 5507.71 24.78
Total profits and taxes 325.07 27.46 365.07 28.29
Total profit 206.32 30.16 234.99 32.34

5. Customs import and export of plastic products (see Table 4)Table 4:2006 January-November imports and exports of plastic products

 

Express on Customs import and export of plastic products
Year/Month customs export Customs import
Cumulative by the end of this month
(Billions)
 YoY growth (%) Cumulative by the end of this month
(Billions)
 YoY growth
（%）
January-December 2005 166.04 30 82.9 17.26
2006Year1-11Month 184.83 23.13 87.56 17.41

Prospect of China Plastics Industry in 2007 in 2.

According to the prediction of relevant experts, driven by the huge potential domestic demand, China's national economy can still maintain steady and rapid growth in 2007. Under the background of slowing economic growth in the United States, Europe and Japan, exports will continue to grow, but the growth rate will also slow down accordingly, and imports will expand due to the appreciation of the RMB. Affected by this, the plastic products industry will maintain sustained and rapid growth under the pull of domestic demand and strong export, and will achieve great development during the "Eleventh Five-Year Plan" period, further narrowing the distance with developed countries. In China's emphasis on the construction of conservation-oriented circular economy development, emphasis on environmental protection industry development policy environment, China's plastics industry applications to further expand, play a greater role.

The 20th China International Plastics and Rubber Industry Exhibition held in Shanghai in 2006 came to a successful conclusion, creating a new historical record. The actual area of the exhibition reached 92000 square meters. More than 1400 Chinese and foreign exhibitors from more than 10 countries and regions showed their latest equipment and technology. During the "2007 International Rubber and Plastic Exhibition", the organizer/co-organizer will serve our customers wholeheartedly and organize the Sino-Indian plastics industry cooperation and development international forum, technical exchange report meeting, new product promotion meeting and other industry information promotion meetings with rich content and various forms. I am convinced that the "2007 International Rubber and Plastic Exhibition" will greatly promote the long partnership and cooperation between China and Europe, the United States, Asia, Africa, Australia and the relevant plastic associations.

We will firmly promote the continuous progress of good relations between the international plastics industry and make due contributions to the stable and prosperous development of the global plastics industry. On behalf of the China Plastics Association (CPPIA), I wish the "2007 International Rubber and Plastic Exhibition" more prosperous!

Thank you to all the guests and reporters from various media who participated in today's press conference!

January 31, 2007

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