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China Plastic Pipe Industry Report, 2012-2015

China plastic pipe market: China Liansu one of the largest producers with 1.75Mn tonnes output per annum


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2014-03-06 18:25:01 - China Plastic Pipe Industry Report, 2012-2015 - a new market research report on companiesandmarkets.com

China plastic pipe market output totalled 11.67 million tonnes in 2012 representing an increase of 19% from the following year when plastic pipe output reached 10 million tonnes. The plastic pipe market in China is still dominated by the production of PVC pipes, accounting for 55% of the total output by companies. However, the environmental issues associated with PVC pipe production, support policies and environmental pollution controls will result in the PE and PP market sectors to gain market share and become more prominent within the industry.

A total of 3,000 companies are involved in the production of plastic pipes but due to the fragmented nature of the industry only a handful achieve outputs of more than 10,000 tonnes. The leading

 

 

companes operating in China´s plastic pipe industry are China Liansu Group Holdings Limited, Cangzhou Mingzhu Plastic Co Ltd, Fujian Newchoice Pipe Technology Co Ltd and Goody Technology Co Ltd. One of the largest companies operating in China´s plastic pipe market is China Lainsu, with an output of 1.75 million tonnes per annum. The majority of larger players are seeking further financing to expand their operations and meet increased demand for their products.

The leader in domestic PE gas and water supply pipes is Cangzhou Mingzhu Plastic with a PE pipe capacity totalling 62,000 tonnes by the end of 2012 with 47,000 tonnes of capacity sourced from their Cangzhou headquarters and 15,000 tonnes from the company´s Wuhu subsidiary. Cangzhou Mingzhu recently raised funds of RMB152 million by means of non-public issuance for the investment into the 19,800 tonne PE Pipe & Fittings Project which is expected to enter into production in 2013.

The leading companies are all looking to expand and in 2011, Fujian Newchoice Pipe Technology invested in projects to expand capacity by 14,400 tonnes by adding six new HDPE winding intensifier tube production lines. IPO funds were used for these projects with production expected to start in 2013. Fujian Newchoice Pipe Technology represents one of China´s core enterprises of HDPE winding intensifier tubes and auxiliary fittings. The company operates 11 HDPE winding intensifier tube production lines from three production facilities in Quanzhou (headquarters), Tianjin and Wuhan. Overall, the three production lines have a capacity of 25,500 tonnes per annum. Fujian Newchoice Pipe Technology is planning to build two more new production bases each with two 2,400 tonne production lines. These additional facilities are forecast to be operational by the end of 2014.

Goody Technology has a total of eight production facilities with products covering PVC, PE and PP series. In August 2012, construction started on the company´s Hubei Goody 43,000 tonnes plastic pipeline project with production starting at the end of 2012. The Chongqing Goody 26,500 tonnes plastic pipleline project used IPO funds and is expected to be completed and commission in the second half of 2013. Annual capacity for the company´s plastic pipe business on completion of these projects is expected to total 232,000 tonnes.

The China Plastic Pipe Industry Report, 2012 to 2015 provides the following:

Supply & demand, imports & exports, competition pattern, development trend, etc. of Chinese plastic pipe industry market segments;

Development status, development tendency, etc. of China´s downstream plastic pipe industry;

Operation, plastic pipe business, development prospects, etc. of nine Chinese plastic pipe manufacturers.

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