Demand for Plumbing Products in China to Increase 9.9% Annually Through 2012

Demand for plumbing products in China is projected to increase 9.9 percent per annum through 2012 to 121 billion yuan, outpacing growth in most other parts of the world.  In fact, China is expected to account for over one-half of the increase in global demand to 2012.  Market advances will be driven primarily by healthy gains in Chinese building construction activity as industrialization efforts continue and income levels rise.  Gains will also be supported by ongoing trends toward multiple bathrooms and larger kitchens in dwellings and further penetration of items such as bathtubs and showers in Chinese homes.  The residential market accounted for more than 70 percent of plumbing product demand in 2007, and will continue to dominate demand through 2012.  These and other trends, including market share and product segmentation, are presented in Plumbing in China, a new study from The Freedonia Group, Inc., a Cleveland-based industry research firm.

Plumbing fixtures made from plastic materials, including fiberglass and acrylics, will see value demand rise more than 15 percent annually through 2012, the fastest of any material category.  Gains will benefit from the material’s substitution for other materials (particularly vitreous china) and from the dominance of plastics in rapidly expanding product segments such as bathtubs and shower fixtures.  Metal fixtures volume will also provide solid growth prospects, supported by the material’s strong position in sink fixtures as well as its use in bath and shower fixtures.

Demand for plumbing fixtures is projected to reach 68.5 billion yuan in 2012, driven by strong advances in China’s building construction market.  The installed stock of plumbing fixtures in China will also support replacement demand, despite the manufacture of higher quality, longer lasting fixtures.  Increasing penetration of higher value fixtures such as bathtubs and shower fixtures will bolster gains, spurred by rising income levels and the continuing modernization of lifestyles in China. 

Demand for plumbing fittings is anticipated to expand 9.6 percent per year through 2012 to 52.5 billion yuan, driven by a strong construction market and further supported by a healthy outlook for aftermarket demand.  Additionally, new product introductions will help generate demand for plumbing fittings.

The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.