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At present, the growth rate of China's steel and plastic pipes in the past few years has reached 15%, ranking among the top three in the world. This speed of development is encouraging, indicating a huge market capacity and the prosperity of the entire industry. With the rapid development of China's national economy and infrastructure construction and the adjustment of national industrial policy, since 1998, the Ministry of Construction "plastic instead of steel" policy was introduced, the national market gradually accepted the new type of environmentally friendly plastic pipe, therefore, the energy-saving environmentally friendly pipe market has a huge mining potential, contains unlimited business opportunities. And after the development of recent years, steady state pipe, butt welding, aluminum-plastic composite pipe, steel-plastic composite pipe, high density polyethylene (HDPE) hollow wall winding pipe and other new products emerge in endlessly, the growth rate of environmental protection pipe market is about four times the average growth rate of the total pipe market.
Huge market potential
In 2010, a new policy of "building materials to the countryside" was introduced. Building materials to the countryside to drive pipes to the countryside, urban pipe network in South China, home improvement network will use plastic pipes, plastic pipe market entered the marketing peak, so for tubular plastic raw materials, will be very tight.
According to the first network of China building materials estimated that the domestic market demand for plastic pipes may continue to grow at a rate of more than 12% per year, especially because China continues to accelerate the pace of modern urban construction, strengthen sewage resource treatment, in the water supply and drainage system, building heating system, water supply, sewage pipes, gas, heating pipes, large-size buried pipes and so on, the application prospects will be very broad. In 2010, China's plastic pipe production will reach 4.5 million tons, by 2015 will reach 6 million tons, when China will become the world's largest plastic pipe production country. Therefore, pipe manufacturers need to seize the opportunity to constantly open up new application areas and strengthen brand upgrading.
Market brand disorder
Building materials market can be described as a variety of categories of fierce competition. Regardless of the high and low levels, each market level has several or even dozens of brand competition, and products of different grades are also competing with each other, the pipe market mainly has the following product brands: PE pipe (high-density polyethylene water supply, gas pipe) market brands are mainly: Zhongcai, Liansu, Jinde, AD, global plastic pipe supply experts and other brands; PP-R pipe market brands are mainly: Liansu, global plastic pipe supply experts, Jinniu, Jinde, Weixing, Shangsu, Gudi and other brands. In addition, the steady state pipe, butt welded aluminum-plastic composite pipe, steel-plastic composite pipe, high-density polyethylene (HDPE) hollow wall winding pipe and other new product market competition is more intense. Due to the serious homogenization of the pipe market, coupled with the serious asymmetry between product information and the market caused by consumers' ignorance of product knowledge, they generally choose only from the appearance and price, and rarely buy a specific brand by name, which makes it easy for many enterprises and businesses to wrongly analyze the market, thus having no selling point at all, ignoring the shaping of brand image, resulting in a disconnect between the brand and consumption. Consumers can't buy really good quality products.