2019 China ceramic tile industry market status and development trend analysis industry concentration is expected to rise

Industry volume and price both fell

Architectural ceramics are ceramic products used in building finishes or as building components, mainly ceramic wall and floor tiles (excluding architectural glass products, clay tiles and sintered tiles, etc.), commonly known as ceramic tiles. The upstream industry of building ceramics industry includes mineral raw materials, raw material mining and processing industry of glaze raw materials, production and manufacturing of various auxiliary materials and ceramic processing equipment. The downstream industry is building decoration, mainly real estate and infrastructure, which can be used for home decoration and tooling markets such as hotels, subways and landmark buildings. It can be used for both ground and wall surfaces and has a wide range of applications.

In recent years, due to the continuous tightening of China's real estate market and the tightening of environmental protection policies, the development of the ceramic tile industry has slowed down and competition has intensified, making the output and sales revenue of China's ceramic tile industry show a downward trend.

According to data from the China Building and Sanitary Ceramics Association, China's ceramic tile production in 2018 was 9.01 billion square meters, down 11.23 percent from the same period last year. At the same time, under the influence of stricter environmental protection policies and declining production capacity, the operating income of building ceramic enterprises above designated size in my country's ceramic tile industry in 2018 was only 299.348 billion yuan, a year-on-year decrease of 28.09.

Industry concentration is expected to rise

China's ceramic tile industry compared to other home industry, ceramic tile industry concentration is relatively low. According to the data of China Ceramic Network, the concentration of China's ceramic tile industry in 2018 was less than 5%.

From the brand pattern of the industry, in 2018, China's ceramic tile industry brands are mainly divided into three echelons. Among them, the first echelon is the leading ceramic tile brand in the country, with about 30, accounting for 2% of the total number of enterprises, such as Marco Polo, Mona Lisa, Nobel and other enterprises. The second echelon is a strong regional ceramic tile brand, with about 200, accounting for 10% of the number of enterprises, such as Jiada Ceramics, Shunhui Ceramics and other enterprises. The third echelon is small and medium-sized ceramic enterprises, with more than 1700, accounting for 88%, mainly small-scale enterprises and foundries, a considerable part of which are technologically backward and lack of independent brands, but have significant price advantages and strong flexibility.

According to data from China Ceramic Network, the number of enterprises in my country's ceramic tile industry has shown a downward trend since 2016. By 2018, the number of enterprises above designated size in my country's ceramic tile industry was only 1265, a year-on-year decrease of 9.8, mainly due to the pressure of environmental protection policies., The increase in the cost of raw materials and other related costs required for the production of ceramic tiles has led to a surge in the survival pressure of small enterprises in the industry, resulting in the industry, the competitiveness of enterprises will continue to improve.

At the same time, the industry frequently appeared in the closure of ceramic enterprises, stop production phenomenon. According to the data of China Building and Sanitary Ceramics Association, in 2018, 137 large-scale building ceramic enterprises in China closed down, and the main ceramic tile production areas in China have stopped production and limited production. As of May 2019, 104 ceramic companies above designated size in the industry have been eliminated or voluntarily withdrawn. In this context, large enterprises can use their financial advantages to strengthen environmental protection; when small enterprises are under pressure, they can grab market share by controlling costs and building new production lines. Overall, industry concentration is expected to increase.

The above data comes from the Prospective Industry Research Institute's "China Ceramic Tile Industry Production and Marketing Demand and Market Prospective Analysis Report". At the same time, the Prospective Industry Research Institute also provides industrial big data, industrial planning, industrial declaration, industrial park planning, industrial investment promotion and other solutions.