According to the China plastics processing industry association, China plastic pipe market annual growth rate of 15%, the highest in the world. Relevant policy in the country, in recent years the development of domestic plastic GuanCaiYe are showing strong growth momentum, become the main force of domestic plastic processing industry. But a good development environment, did not make it easy for plastic tubing domestic enterprises forward steps, raw materials prices, since 2003, formed by pressure overwhelm enterprises, especially PVC resin prices soared, some small and medium-sized enterprise strength is not strong is struggling, on the brink of losses, enterprise as a whole is facing severe challenges.
Soaring raw material costs soaring
Since 2003, as a result of world crude oil prices rise, cause plastics raw material market prices rallied in the world, the international market price, domestic polypropylene, polyethylene, polyvinyl chloride (PVC) the price also is in the upswing. PVC resin, in particular, for electricity tension makes the main raw material of PVC chlorine gas tight goods price, PVC prices higher, plus the final victory of the anti-dumping investigation in September 2003, double factors spurred the prices of PVC resin, for PVC pipe companies only PVC raw materials rise in price this piece, increases the product cost more than 20%.
The test lead salt limited down
PVC pipe companies in addition to trying to digest the cost pressure from raw material prices, still faces the forbidden lead. Lead salt stabilizer for low cost, good performance, has been the domestic PVC pipe enterprises as the main heat stabilizer. But for environmental reasons, in 2004 the construction part of the statement made clear that the nationwide use of CPVC (hard vinyl chloride) of water supply pipe must be produced by using the lead salt stabilizer. Beijing on April 1, restrict the use of lead salt stabilizer of PVC water pipes, pipe fittings. Electrical part has decided to anyone who is a ministry examined license within the scope of the CPVC (chlorinated polyvinyl chloride) power protection tube to prevent pollution to the environment, have to ban the use of lead salt and organic tin stabilizer. While other stabilizers on the premise of guarantee performance, some prices are higher, it virtually increased the pipe cost burden of enterprises.
Varieties of a single domestically
The huge market capacity and low barriers to entry, make plastic pipe in the past few years, has always been the hot spot of the domestic parties investment projects. Due to the blind investment, overcapacity, low-end products its malignant effect has began to emerge. With market share of the largest PVC pipe enterprise as an example, the products are still concentrated in urban and rural water supply and drainage pipe and pipe fittings, rainwater drainage pipe and pipe fittings, causes the market tends to saturation capacity, increase the competitive strength in the field of the product. Fight for the market, some enterprises driven by price strategy, especially small enterprises with poor price dumping products, the price war intensified, in the vicious price competition situation.
Product technology content is low, the varieties of a single PVC pipe enterprise original competitive advantage is the price was lower than those of polyethylene, polypropylene pipe, and the rise in raw material to make it in a passive situation, provides entry for competitors. The meteoric rise of polyethylene pipe market application in addition to the original gas tube, heating tube, etc., in recent years has begun to enter the urban and rural water supply and drainage pipe and pipe fittings market. And mark-up than PVC, polyethylene resin production cost pressure is not big, again without the lead question, added more competitive advantage, to say the PVC pipe enterprises is at a position with problems we face at home and abroad.
Actively adjust the regain market
Look from the plastic market, the high price raw material will continue for a period of time. But plastic pipe material due to its consumption characteristics, price space is relatively small, in the hope of raw material prices, to solve the operating pressure is a drop in the bucket, and can't fundamentally get rid of passive situation, must adjust the marketing strategy.
First from product price competition to brand competitiveness, strengthen the ability to respond to emergencies, construct the competition bastion of yourself. The indications are that the domestic plastic pipe production enterprises have entered a meager profit era, to win a steady space for development, enterprises should establish a brand image as soon as possible. Large enterprise can through optimizing production management ability, digestion and raw material prices caused by rising costs. For small and medium-sized enterprises, joint, might as well through the centralized purchasing raw material to lower the cost of production.
Second, we must strengthen the international trade, to expand the world market. Relative to the domestic PVC pipe market, the domestic plastic pipe products have price advantage in the international market, more and more be taken seriously, and have relatively high profits.
Third, strengthen new product development, open up new profit point. Applications of plastic pipes in China compared with advanced countries, there are still many blank areas, this is a new space for market capacity, such as research and development of plastic hose products. The current domestic plastic tubing production mainly focus on the hard plastic tube, and involves the plastic hose production enterprises is relatively small, so the market is relatively broad, especially high technology content of hose, its competitors, less product high profit margins.
The fourth to promote marketing innovation ability. Previous domestic plastic tubing marketing strategy of enterprise is to adopt more industrial goods. In fact, from the essential characteristics of plastic pipe products, some plastic pipe material, especially civil products, might as well take the consumer marketing strategy, establish famous brand. Is the current domestic plastic tubing enterprise product sales channel, should accelerate the construction of the network, strengthen market promotion of terminals, such as cooperation with large building materials supermarkets.