Dec.7 – China construction materials and components sector are thriving, rapid urbanization is the key reason which has led to a surge in demand for resources in China, the main force for the production of construction materials and components in China are local companies. However, with environmental alarms, requires more “green” construction materials which the vast majority of Chinese suppliers are still unfamiliar with, luck of technology and know-how that local providers are unable to offer to the Chinese market. There are chances allowing foreign suppliers to identify the products and customers, driving revenue growth and profitability.
Construction materials in China – go “green” trends
Building construction industry in China goes greener, over the five years through 2015, revenue for the Building Construction industry has been growing at an average annualized rate of 16.2% to $1.98 trillion. There are about 29,000 construction firms in this industry, up from 25,000 in 2010. Most of the building construction major players also have operations in civil engineering, real estate development, professional engineering services, plan designing, building materials manufacturing, and construction equipment manufacturing. By operating across different sectors, they are able to decrease costs and maintain stable supply sources. As the final months of 2015 draw near, China New Type of Urbanization Plan was hand out, mandating the share of ‘green’ buildings in new construction to rise from 2% to 50% by 2020, for the future is going to promote “green” within the building construction industry in China.
China market demands for “green” construction materials
With environmental concerns, China “green” buildings in the future construction is certainly going to rise. However, the majority of China construction enterprises are small in scale with limited business and regional scope, with less than 500 employees accounted for over 74% of total enterprises. Some of related Chinese local production companies are aware of the trends, but are still unfamiliar with green materials, these local companies are not be able to follow and supply such needed green materials for construction green buildings. In turn, importing green construction materials, of whatever kind, are trendy, including materials that conserve energy, are used in waste treatment, or replace wood and steel are encouraged. As the vast majority of Chinese suppliers are still unfamiliar with “green” materials, and “green” technology and know-how that local providers are unable to offer to the Chinese market. By environmental issues remaining a pressing concern, this reality offers a beneficial opportunity for both Chinese construction materials and component importers and foreign producers and importers.
Importing into China “green” construction materials and components
China has already started to promote new green types of construction materials and component with new favorable policies with attractive tax refund. The construction materials sector is largely devoid of government restrictions. There are 5 categories for construction materials and component import into China, such as: glass (imported construction materials and component hold technical advantage), waterproof materials (importing is encouraged), indoor decoration and fixtures (gypsum plaster boards, wallpaper and suspended ceilings), advanced ceramics (electronic, micro-crystalline and Nano-ceramics), and new wall materials (isolative materials, recycled construction waste). For the List of Chinese Importers for Construction Materials and Components and industry research report: Building Construction Industry in China 2015-2017 is available upon request, please contact with DCCC, or email to: email@example.com