Report Forecasts China’s Market for Metal-Treatment Chemicals to Reach $2.6 Billion
BEIJING – GCiS China Strategic Research estimates that the domestic market for metal surface treatment chemicals in China was valued at over RMB 16.4 billion, or $2.6 billion, at the end of 2014. The study finds that the market will continue to grow at a CAGR of 7 percent in upcoming years, with aluminum surface treatment chemicals growing at a faster pace than steel.
Reaping the benefits of a loose market structure and feverish expansion in the steel and automotive industries, the market for metal surface treatment chemicals nearly doubled over the past few years. Moving forward, growth from steel, auto, and home appliances may stall, though other sectors, such as aviation and industrial aluminum will maintain strong growth. The target market has only minor linkages to housing and construction, which moving forward face sluggish growth. Structural changes in the overall economy mean that challenges are certainly on the horizon. However, a sharp downturn is unlikely.