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Prospects of China's Environmental Protection Equipment Industry

Date:13-01-2014

The environment protection industry in China originated in 1973 and witnessed rapid development from the late 90s during the Eleventh and Twelfth Five-Year plan. The environmental protection industry in China consists of manufacture of environmental protection equipment and cleaning products, recycling of waste material, environmental protection services and protection of the ecosystem. In China, environmental protection enterprises are situated in the economically developed regions along Eastern China. Due to increase in market demand and boost in national policy, the environment protection equipment industry in China grew at a rapid pace. In 2012, the gross industrial output value of environmental protection equipment manufacturing enterprises which includes environmental monitoring instrumentation manufacturing was valued at 191.379 billion yuan. The sales output value of environmental protection equipment manufacturing enterprises was 187.947 billion yuan. This represented a year-on-year increase of 19.46% and 19.58% respectively.

Market Overview
The output volume of pollution control equipment in 2012 was 320,000 sets which represented an increase of 36.2% year-on-year. Out of this total output volume of pollution control equipment, the number of water pollution equipment sets was 86,800, representing an increase of 34.4% year-on-year. The number of air pollution equipment was 107,100 sets representing an increase of 25.8% year-on-year. The output volume of solid waste water equipment was 9600 sets and that of noise and vibration control equipment was 1,186 sets. Demand for both these categories i.e. solid waste water equipment and noise and vibration control equipment had declined from previous years. According to data from China Environmental Protection Industry Association, in 2012, the dust removal industry in China was valued to be around 14.3 billion yuan. The major dedusting equipment manufacturers in China are Feida Environmental Science & Technology Co Ltd., Longking Environmental Protection Co. Ltd. and Kelin Environmental Protection Equipment Inc. These three companies account for around 43.9% of the total market for dedusting equipment industry in China.

Some of the key players in China’s environmental protection equipment industry are Kelin Environmental Protection Equipment Inc., Feida Environmental Science & Technology Co Ltd., Shengyun Environment-Protection Group Co. Ltd., Dongfang Electric Heating Technology Co. Ltd., Combustion Control Technology Co. Ltd., Create Technology and Science Co. Ltd., Longking Environmental Protection Co. Ltd., Hangzhou Boiler Group Co. Ltd. and Xingyuan Filter Technology Co. Ltd. With increased government investment in environmental protection equipment and technological advancement in developing new equipment, the environmental protection equipment industry in China is predicted to flourish.

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