Facing the international competition in China's packaging industry

Editor's Note: The following is an analysis of the current status of China's packaging industry by Mr. Chen Jianguo, Zhuzhou Institute of Technology. China's packaging companies are mainly concentrated in the middle and low-end markets and face severe international competition. Under such circumstances, how to make China's packaging companies enter the high-end product market, thus changing the status of Chinese enterprises in the packaging industry structure, how to accumulate capital and technological advantages has become an important issue for the development of China's packaging industry. The task of solving this problem should not only be on the shoulders of enterprises, but it is hoped that all parties including the government, scientific research institutions, social organizations, and industry associations will join hands and respond positively. After China's accession to the WTO, it will introduce a large number of commodities to the international market after merging with international trade, and it will also require new packaging of various types to suit the value and characteristics of the products. The international competition between packaging and the industry will become increasingly fierce. This kind of influence is both beneficial and disadvantageous. The key lies in whether we can seize the opportunities brought by the adjustment and development brought by China’s accession to the WTO to the development of the packaging industry, develop and expand the packaging industry in China with open minds, and improve the packaging industry in China. International Competitiveness.
First, China's packaging industry structure and market In a broad sense, the demand for packaging from the material production sector forms the total demand for the industry of packaging industry, which derives from the total demand of the industry, including packaging design, packaging product processing, packaging process, packaging machinery, Structural requirements in the areas of packaging materials and other areas guide the direction and degree of development of the packaging industry.
The total output value of the packaging industry consists of four major packaging products, packaging, printing, packaging machinery and other miscellaneous items. From the perspective of market, the market demand for packaging machinery and packaging materials belongs to the endogenous market of the packaging industry. Therefore, the basic factors that determine the scale and development prospects of the packaging industry market are the market demand for packaging products and packaging printing industry.
The packaging market has some basic features: First, market demand is directly constrained by the level of national economic development and is highly correlated with the degree of national economy marketization; Second, the market demand is low in the degree of industrial association, and the market is distributed in all walks of life; and thirdly, due to The adoption of new technologies, new processes, new materials, and conversion of consumption patterns continues to accelerate the updating of packaging products, and the product life cycle is short. Fourth, unlike the general industry market, packaging promotion is subject to market conditions due to strong package substitution. The impact is large, so the elasticity of the packaging market is greater.
According to estimates by experts, according to China's current economic development speed and national long-term development planning goals, by 2010 China's industrial and agricultural GDP will reach US$100 billion, and the corresponding packaging market size will reach at least 500 billion to 600 billion yuan. To meet the demand for such a huge amount of commodity packaging, no matter whether it is quantity, variety or quality requirements, it will attract worldwide attention and attract the global packaging power to enter the Chinese market. In the 21st century, China will become the largest in the international economy. Packaging market. Therefore, the demand for huge quantities and varieties of raw and auxiliary packaging materials and processing and forming technology equipment for modern packaging products will promote the development of international packaging technology, equipment, raw and auxiliary materials, products and related modern packaging information in China. Exchange center and largest trading market.
Second, the international competition in the packaging industry China's packaging industry consists of packaging and raw materials and packaging equipment consisting mainly of packaging and packaging industry based packaging industry. The former is a capital-intensive or technology-intensive industry, with relatively high added value and obstacles to industrial competition. It dominates the entire packaging industry; the latter is a labor-intensive industry and belongs to the general competitive processing industry, producing added value. It is relatively low, with a regional cost advantage, low industry barriers to entry, and fierce market competition. Because China's current development of modern packaging high-tech technology, high-tech content of modern packaging engineering machinery and modern packaging and raw materials research and development capacity is far from enough, the world's packaging power took the opportunity to enter the Chinese packaging market and fierce competition and infiltration. They not only have long-term strategic plans for the big Chinese packaging market, but also have begun to implement them. Shengdao Group, Japan’s Mitsubishi Heavy Industries, Fuji Machinery Co., Ltd., Uchida Machinery Co., Ltd., Italian Bobst (Machinery) Co., Ltd., and French DMT have flocked to China for sales of packaging raw materials, packaging machinery, or investment since the 1980s. The establishment of the plant almost occupied the vast majority of the packaging market in China. After China's accession to the WTO, it has a profound impact on the competitive structure of the packaging industry in China.
1. Packaging products are traditional labor-intensive industries. In the middle and low-end markets, labor costs and geographical costs play a decisive role in the formation of competitive advantages. The three elements of cost, quality and delivery time play a decisive role in the formation of competitive advantages. As a result, China's packaging industry has a comparative advantage in international competition. For high-end markets, China's packaging industry is in a disadvantageous position in competition with international capital and will be subject to international competition for some time.
2. The packaging equipment industry and raw and auxiliary materials industry are capital-intensive and technology-intensive industries. Technological autonomy, development and innovation capabilities, and capital concentration capabilities will determine the competitive advantages of the industry. At present, China's packaging industry is at a disadvantage in this field. (China Packaging Equipment Network)