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China Road Construction Industry Report, 2010

China Road Construction Industry Report, 2010 - new market research report published



companiesandmarkets.com
2012-12-10 07:53:20 - China Road Construction Industry Report, 2010 - a new market research report on companiesandmarkets.com

China Road Construction Industry Report, 2010 - From 2006 to 2010, China´s road construction witnessed rapid development. During this period, China built 639,000 km of roads. As of the end of 2010, China´s road mileage had reached 3.984 million km, including an expressway mileage of 74,000 km (28,700 km of which were added in 2006-2010).

The future development of road

 

 

sector will focus on the following three aspects:

Road Pavement;
Expressway Construction;
Rural Road Construction.

1. Road Pavement

In 2009, roughly paved roads and unpaved roads accounted for over 50% of China´s total road mileage. Limited by land resources and funds, the improvement of road traffic in China will not rely on the increase of new roads in the future; therefore, the focus may be repair and improvement of the existing roads, which can save land resources and funds. We predict that the road paving industry will see rapid development in the future; road paving companies, cement companies, as well as road marking paint & marking equipment companies will have huge potentials.

2. Expressway Construction

China´s planned expressway mileage for 2020 is 100,000 km, while the planned expressway mileage of all provinces totals 154,000 km. Therefore, the goal of 100,000 km is likely to be achieved ahead of schedule.

According to the plans of different regions, there are 11 provinces each having planned an expressway mileage of 6,000 km or above, especially Inner Mongolia ranks first with a goal of 9,200 km. We predict that the development of expressway in these 11 provinces will be faster than that in other provinces in the future, which will benefit large-scale road construction and expressway operating companies in these provinces.

3. Rural Road Construction

Rural roads mainly include county roads, town roads and village roads. Due to vast rural areas and rural population, the rapid development of rural roads can effectively promote rural economy. Therefore, Chinese government attaches great importance to rural road construction. From 2006 to 2010, Chinese government invested RMB197.8 billion in rural road construction, with an average annual growth rate of 30%, and built and repaired 1.868 million km rural roads, including 527,000 km new rural roads.

China´s Rural Road Development Goal (2011-2015): by 2015, 450,000 km new roads will be built, so that the rural road mileage will reach 3.9 million km; the rural transport sector will be promoted significantly, and buses will be available in all towns and 90% of administrative villages.

In the future, the rapid development of rural road construction will not only promote the road construction industry, but also boost the rural public transport industry, the rural freight and passenger transport industry, and even the passenger car industry.

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Mike King
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