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Home » Huge Growth Spurt for Chemical Industry in China

Huge Growth Spurt for Chemical Industry in China

August 22, 2007
ARC Advisory Group

The chemical industry's growth in China underscores the country's manufacturing growth. With revenues exceeding $160bn, China's chemical industry ranks third in the world and enjoys an 8 to 9 percent share of the global chemical market. The country's chemical industry output covers base chemicals, specialty and fine chemicals, pharmaceuticals, and consumer chemicals. Booming automotive, consumer products, construction, and textile industries, which extensively use chemicals, have largely contributed to the robust growth of China's chemical industry.
According to the European Chemical Industry Council information, automotive, consumer products, construction, and textile industries together account for a little over 45 percent of chemical production. With China's textile industry (which was around $320bn in 2006) growing robustly, and the country emerging as one among the largest automotive markets, the reasons for the growth of the chemical industry are not difficult to understand. The hectic pace at which the construction and consumer product industries are growing provides a good picture about the growth drivers of China's chemical industry.
Source: ARC Advisory Group, http://arcweb.com

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