China’s synthetic rubber capacity is growing rapidly due to favorable policies toward private, foreign and Taiwanese enterprises, not to mention robust domestic demand.
According to a study complied by market research company Research and Markets Ltd., China’s SR capacity reached 3.9 million metric tons in 2012 and output reached 3.85 million tons.
The study mentioned 23 companies producing SR in China with market leaders Sinopec and China National Petroleum Corp combined, controlling 59.5% share of country’s total annual production.
The SR manufacturing industry in China is estimated to generate $15.9 billion in 2012. Revenue has been growing strongly, largely due to the rapid development of the downstream automobile manufacturing industry, a key consumer of synthetic rubber tires.
Competition among the major producers heats up due to rising environmental protection standards and the entry of foreign companies into the Chinese market. (SA Treads)
Source: tirereview.com
