Chapter 6.4: The Engineering Plastics Industry

Editorial Department, China Chemical News and China Chemical Industry Yearbook

Overview ^[1]

In 2000, domestic consumption of engineering plastics came to 392,000 tons; 68,000 tons (21 per cent) higher than in 1999, and an increase of 148,000 tons over 1998.

^[1] Editor's note: Generally speaking, China is dependent on imports of high value-added special-purpose engineering plastics. It is estimated that the rate of self-sufficiency will be around 40 per cent in the next five years or so. The current production of engineering plastics, basically lowend products, cannot meet the increasing demand for higher grade engineering plastics. The production of high-grade and high value-added products is quite limited in terms of domestic capacities . Interestingly, there do not seem to be many plans by domestic petrochemical giants to tap into the high-end market. Weak R&D is believed to be the reason. With the increase in end-use segments such as motor vehicles, machinery, consumer electronics and telecommunications, the opportunities for foreign exports to China will increase, particularly with the reduction of the tariff level after China's accession to the WTO. At the same time, options of strategic alliances such as joint ventures will also offer prospects of development in China's engineering market.