Demand for plumbing fixtures is projected to approach 40 billion yuan in 2009, driven by strong advances in China's building construction market. Higher value fixtures such as bathtubs will bolster gains, spurred by rising income levels and the growing popularity of these products. Plumbing fittings demand is expected to reach 45 billion yuan in 2009, with bathtub and shower fittings leading gains.
Plumbing fixtures made of plastic materials, especially acrylic and fiberglass, will see demand value rise nearly 15 percent annually through 2009, the fastest of any material category. Gains in plastic fixture demand 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 showers and bathtubs. Metal fixtures will also provide solid growth prospects.
Residential construction represents the largest market for plumbing products in China, benefitting from the government's home privatization efforts which spurred a housing construction boom in recent years. Residential markets for plumbing products will also see the fastest advances, with demand rising 13.8 percent annually, driven by new home building activities and further increases in income levels. Although lagging the residential market, the nonresidential building market will also offer significant growth opportunities. Demand for plumbing fixtures and fittings in nonresidential applications will rise 11.8 percent per annum through 2009, benefitting from a healthy outlook in the office and commercial and institutional building segments.