Asphalt in China
This study analyzes the market for asphalt in China, considering both upstream primary asphalt (whether refined petroleum asphalt or mined, native asphalt) and downstream products produced from asphalt. These asphaltic products are used mainly in paving and roofing applications, with a much smaller fraction (in terms of asphalt content) in a range of other uses. Asphalt paving products considered in the study include asphalt cements, emulsified asphalts, cutback asphalts, asphalt pavers, asphalt sealers and crack fillers. Asphalt roofing products within the scope of the study encompass asphalt shingles, asphalt built-up roofing, modified bitumen roofing, roll roofing, mopping asphalt and products such as mastics and coatings.
INTRODUCTION ix
I. EXECUTIVE SUMMARY 1
II. MARKET ENVIRONMENT 4
General 4
Economic Overview 5
Recent Economic Performance 6
Economic Outlook 7
Demographic Overview 8
Population 9
Households 11
Industrialization & Manufacturing Trends 12
Labor Force & Employment Trends 14
Personal Income Trends 17
Banking System & Regulations 19
Currency Exchange 23
The Eleventh Five-Year Plan 26
Nonbuilding Construction Outlook 27
New Construction 30
Improvements & Repairs 31
Roads & Other Transportation 32
Building Construction Outlook 33
Residential 36
New Housing 39
Additions & Alterations 40
Maintenance & Repairs 41
Housing Stock & Living Space 42
Nonresidential 44
New Construction 47
Additions & Alterations 48
Maintenance & Repairs 49
Building Stock 50
Competing Materials 51
World Outlook 52
Foreign Trade 55
III. PRIMARY ASPHALT 57
General 57
Supply & Demand 60
Primary Asphalt Types 61
IV. ASPHALT PRODUCTS 63
General 63
Demand Drivers 65
Paving 66
Asphalt Cement 69
Asphalt Emulsions 71
Cutback Asphalts 74
Other Paving Asphalts 75
Roofing 76
Built-Up & Roll Roofing 79
Modified Bitumen Roofing 82
Asphalt Shingles 84
Other Roofing-Related Asphalts 86
Other Asphalt Products 88
V. ASPHALT PRODUCT MARKETS 91
General 91
Nonbuilding Construction 93
New 94
Maintenance & Repairs 96
Nonresidential Building Construction 97
New 99
Improvements & Repairs 101
Residential Building Construction 103
New 104
Improvements & Repairs 106
Other Markets 107
VI. REGIONAL TRENDS 109
General 109
Regional Demographic & Economic Trends 112
Population Patterns 113
Economic Outlook 114
Construction Expenditures 115
Nonbuilding Construction Expenditures 117
Nonresidential Building Construction Expenditures 118
Residential Building Construction Expenditures 119
Regional Asphalt Demand 121
Central-North 123
Overview 123
Asphalt Demand 125
Northeast 127
Overview 127
Asphalt Demand 130
Central-East 132
Overview 132
Asphalt Demand 134
Central-South 136
Overview 136
Asphalt Demand 138
Southwest 140
Overview 140
Asphalt Demand 142
Northwest 144
Overview 144
Asphalt Demand 146
VII. INDUSTRY STRUCTURE 149
General 149
Industry Composition 149
Market Share 152
China Petroleum & Chemical (Sinopec) 152
PetroChina 153
China National Offshore Oil (CNOOC) 153
Qingdao Guangyuanfa Group 153
Shandong Befar Group 154
Panjin Northern Asphalt 154
Other Leading Companies 154
Foreign Participation in the Chinese Market 155
Legal & Regulatory Issues 155
Joint Ventures 157
Wholly-Owned Foreign Enterprises 159
Representative Offices 160
Exporting to China 160
Cooperative Agreements 161
Company Profiles 165
Anglo American plc 166
Bouygues Group 168
Caltex, see Chevron Corporation
Chevron Corporation 170
Colas SA, see Bouygues Group
China National Offshore Oil Corporation 171
China Offshore Bitumen Enterprise Group, see China National Offshore Oil Corporation
China Petroleum & Chemical Corporation 174
China Petroleum Sales Jiangsu Company Limited 178
CNOOC Bitumen Sichuan, see China National Offshore Oil Corporation
Dagang Oil Field Group Company Limited 180
Exxon Mobil Corporation 181
Guangyuanfa Elf Bitumen Company, see Qingdao Guangyuanfa Group Company
Guangyuanfa Group Bitumen Factory, see Qingdao Guangyuanfa Group Company
Hanson plc 182
Huaxing Asphalt Plant, see Shandong Huaxing Petrochemical Group Company
Jinhua SK Baoying Asphalt Storage Company, see SK Corporation
Karamay Petrochemical, see PetroChina Company
Koch Industries Incorporated 183
Neste Oil Oyj 184
Ningpo Asphalt Terminal, see SK Corporation
Panjin Northern Asphalt Company Limited 186
Panjin Nynas North Bitumen Company, see Neste Oil Oyj and Panjin Northern Asphalt Company
Panjin PetroChina Liaohe Asphalt Company, see PetroChina Company Limited
PetroChina Company Limited 188
Qingdao Guangyuanfa Group Company 190
Rizhao Lanshan Caltex Asphalt Company, see Chevron Corporation
Royal Dutch Shell plc 192
Shandong Befar Group Company Limited 195
Shandong Huaxing Petrochemical Group Company 196
Shanghai Pioneer Road Service Company, see Royal Dutch Shell
Shanghai Pusheng Asphalt Concrete, see Anglo American
Shanxi Hongte Coal Chemical Industry Company Limited 197
Shell China Limited, see Royal Dutch Shell plc
Shenzhen Novophalt Asphalt High Technology Company 198
Sichuan Shengma Chemical Company Limited 200
SK Corporation 201
Tarmac China, see Anglo American plc
Tipco Asphalt Public Company, see Bouygues Group
Total SA 203
West Pacific Petrochemical Company Limited 204
Xiamen Luyong Petrochemical Company, see China Petroleum & Chemical Corporation
Xingying Petroleum Pitch Factory, see Sichuan Shengma Chemical Company
LIST OF TABLES
TABLE NUMBER PAGE
SECTION I -- EXECUTIVE SUMMARY
Summary Table 3
SECTION II -- MARKET ENVIRONMENT
1 Gross Domestic Product of China 8
2 Population of China 10
3 Households in China by Region 12
4 Manufacturing Value Added in China 14
5 Urban Labor Force & Employment Trends in China, 1995-2005 16
6 Per Capita GDP in China by Region 19
7 Interest Rates in China, 1995-2005 22
8 Chinese Currency Exchange Rates, 1995-2005 25
9 Nonbuilding Construction Expenditures in China 30
10 Paved Roads in China by Region 33
11 Building Construction Expenditures in China 35
12 Residential Building Construction Expenditures in China 39
13 Housing Stock & Living Space in China 44
14 Nonresidential Building Construction Expenditures in China 47
15 Nonresidential Building Stock in China 51
16 World Asphalt Demand by Region 54
17 Trends in Chinese Foreign Trade in Asphalt 56
SECTION III -- PRIMARY ASPHALT
1 Primary Asphalt Supply & Demand in China 61
SECTION IV -- ASPHALT PRODUCTS
1 Asphalt Demand in China by Product 64
2 Paving Products in China -- Asphalt Demand by Type 68
3 Asphalt Cement Demand in China 71
4 Asphalt Demand in Asphalt Emulsions in China 73
5 Asphalt Demand in Cutback Asphalts in China 75
6 Asphalt Demand in Other Paving Products in China 76
7 Roofing Asphalt Demand in China 78
8 Built-Up & Roll Roofing -- Asphalt Demand in China 81
9 Modified Bitumen Roofing -- Asphalt Demand in China 84
10 Asphalt Shingles -- Asphalt Demand in China 86
11 Other Roofing Asphalt Demand in China 88
12 Other Asphalt Products -- Asphalt Demand in China 90
SECTION V -- ASPHALT PRODUCT MARKETS
1 Asphalt Demand in China by Market & Application 92
2 Nonbuilding Construction -- Asphalt Demand in China 94
3 New Nonbuilding Construction -- Asphalt Demand in China 96
4 Nonbuilding Maintenance & Repairs -- Asphalt Demand in China 97
5 Nonresidential Building Construction -- Asphalt Demand in China 99
6 New Nonresidential Building Construction -- Asphalt Demand in China 101
7 Nonresidential Building Improvements & Repairs -- Asphalt Demand in China 102
8 Residential Building Construction -- Asphalt Demand in China 104
9 New Residential Building Construction -- Asphalt Demand in China 105
10 Residential Building Improvements & Repairs -- Asphalt Demand in China 107
11 Other Markets -- Asphalt Demand in China 108
SECTION VI -- REGIONAL TRENDS
1 Population of China by Region 114
2 Gross Domestic Product of China by Region 115
3 Construction Expenditures in China by Region 117
4 Nonbuilding Construction Expenditures in China by Region 118
5 Nonresidential Building Construction Expenditures in China by Region 119
6 Residential Building Construction Expenditures in China by Region 121
7 Asphalt Demand in China by Region 122
8 Central-North Region of China: Asphalt Demand 127
9 Northeast Region of China: Asphalt Demand 132
10 Central-East Region of China: Asphalt Demand 136
11 Central-South Region of China: Asphalt Demand 140
12 Southwest Region of China: Asphalt Demand 144
13 Northwest Region of China: Asphalt Demand 148
SECTION VII -- INDUSTRY STRUCTURE
1 Revenue Data: Selected Asphalt Companies, 2005 151
2 Selected Cooperative Agreements 162
LIST OF CHARTS
CHART NUMBER PAGE
SECTION II -- MARKET ENVIRONMENT
1 Population of China by Age 11
2 Urban Unemployment Rate in China, 1995-2005 17
3 Interest Rates in China, 1995-2005 23
4 Chinese Currency Exchange Rates, 1995-2005 25
5 Building Construction Expenditures in China by Type 36
6 World Asphalt Demand by Region, 2005 54
SECTION III -- PRIMARY ASPHALT
1 Primary Asphalt Flow Chart 59
SECTION IV -- ASPHALT PRODUCTS
1 Asphalt Demand in China by Product, 2005 65
2 Paving Asphalt Demand by Type, 2005 69
3 Roofing Asphalt Demand by Type, 2005 79
SECTION V -- ASPHALT PRODUCT MARKETS
1 Asphalt Demand in China by Market, 2005 93
SECTION VI -- REGIONAL TRENDS
1 Asphalt Demand in China by Region, 2005 123
2 Central-North Region of China 125
3 Northeast Region of China 130
4 Central-East Region of China 134
5 Central-South Region of China 138
6 Southwest Region of China 142
7 Northwest Region of China 146
SECTION VII -- INDUSTRY STRUCTURE
1 Asphalt Market Share in China by Company, 2005 152
