The Export of Bathroom Industry in China
2008-08-11

      This passage will tell you something about the export of bathroom industry in China. 

      Actuality and Reasons
      With the rapid development in recent years, China has become the world's biggest country for bathroom equipment produce and consume. Chinese Sanitary Ware accounted for 30 percent of the world's total, bathroom accessories also accounted for almost 35 of the world's total Percent. The growth of Chinese bathroom export has increased at 50 percent each year to Europe, the United States, Japan, South Korea, the Middle East and other places.
     At present, the bathroom industrial mainly concentrated in the developed southeast coastal areas. Kaiping, Wenzhou and Nan'an are the three bathroom industrial clusters at home.
     This is a good phenomenon. However, in these years bathroom export industry experienced increasing pressure particularly in 2008.
     There are five main reasons.
    1). The appreciation of RMB becomes faster. Main products export tax rebate rate has decline.
    2). The prices of raw material have risen. It includes Iron, steel, copper, energy, plastics and other raw materials. 
    3). The labor costs is also increased after the implementation of the new labor law,
    4). It is more difficult for Corporate to lending in the environment of tighten macroeconomic policy.
    5). The impact of foreign trade and technical barrier.

     Advantage and Hidden Dangers
    Information shows that Chinese bathroom has a very high price advantage, by the international market generally welcomed, with sales rising perpendicularly. At the same time, attracting by the hot market, the number of bathroom production enterprises are also growth rapidly in the current domestic market, while most eyes will also have targeted the international market.
    There are two reasons for this advantage. On the one hand, benefited from the force of Chinese bathroom on the international market is still small, it’s not enough to shake the local component manufacturers; on the other hand benefited from the trade environment of the bathroom on the international market seems to be more open.
    But there are also some hidden dangers. Some parts of bathroom products start a price war as a tool to develop the international market, even at the cost of safety , quality and technology of products to get a low –cost capital for sale. These acts are will damage the image and reputation of Chinese bathroom in the international market.

     What Should We Do in the Future?
     It is estimated that the capacity of the global faucet market is about 13 to 14 billion dollars; the capacity of porcelain and bathtubs market roughly three times of the faucet is about 30 billion dollars. On market share, the market outside Europe and the United States is about 40 percent, the United States is about 30 percent, and Europe is about 30 percent. So that Chinese bathroom should actively increase the intensity of the Occident market sales.
     Therefore, the market is potential. What should we do in the future? There are three points.
     First, the market should maintain smooth operations. At the same time, strive to open up foreign markets. Transfer production bases abroad. Make efforts to improve quality, enhance the design concept
     Mainly the product design trends should reflect in the following aspects:
    1). The design trend should be in line with the state development and ageing.
    2). Stress the concept of energy conservation and environmental protection.
   3). Resolve the problem of aging about the low level metal and plastic parts, improve after-sales service, guarantee market share.
   4). New product development relies on rapid prototyping technology.
   5). Improve the colors of the overall sanitary ware and bathroom.
   6). Improve the function of bathroom.
    Second, create our own brand. It means the brand is influential and has public praise. A good brand is an intangible assets, it can shaping corporate image and reputation. It can bring a great brand effect. It is important in modern society. At the same time, it is the cornerstone of economic development.
    Third, the government should give some support in policy. But that does not mean to lower standards. It is higher requirements to regulate the market and eliminate substandard products and enterprises.