china's chemical industry sold out to foreigners

[1962 spanking]

Muscling in on the local markets for chemicals
By Gao Yuan


BEIJING - The landscape of China's daily-use chemical goods industry has changed dramatically since the nation joined the World Trade Organization (WTO) 10 years ago. The advance of international enterprises into the market has threatened the business of local brands.

China's chemical consumer goods industry saw a 23.8 percent year-on-year growth starting from 2000 and the sale volume for 2010 exceeded 210 billion yuan ($33 billion), the Nanjing-based Xinhua Daily reported.

Multinational conglomerates such as Uniliver PLC, Procter & Gamble Co (P&G) and German pharmaceutical company Bayer Group, are annexing Chinese companies in a bid to get a larger share of the market.

"China's chemical consumer goods market is very attractive to overseas manufacturers after China joined the WTO," chinanews.com quoted Liu Jing'an, former secretary-general of Beijing Daily Chemical Association, as saying. "The most efficient way to enter the market is emerging local companies."

Indigenous brands have lost control over the market, according to Liu. About 80 percent of the products were produced by foreign companies.

The wave of takeovers was triggered in late 2003 after the French cosmetics and beauty company L'Oreal Group announced its purchase of the Mininurse skin-care brand based in Shenzhen.

In July 2008, the US pharmaceutical and consumer goods maker Johnson & Johnson Services Inc merged Beijing Dabao Cosmetics Co Ltd, whose Dabao SOD Milk once took more than 15 percent of market share in China.

The latest acquisition was completed by Paris-based perfume maker Coty Inc when the company acquired Chinese skincare company TJoy Holdings Ltd in December 2010 at a cost of $400 million.

"Most Chinese brands faded away after the acquisition," said Liu, adding that overseas giants left little room for the indigenous brands to survive.

But "little room" is sufficient enough for some local brands to play big. Shanghai Jahwa United Co Ltd is one of the most outstanding players with a 100 percent Chinese background.

The company posted total revenue of 2.87 billion yuan in the first three quarters of 2011, up by 18 percent compared with the same period in 2010, according to a company statement.

In November, Ping An Insurance (Group) Co of China Ltd said it will fully acquire Jahwa for 5.1 billion yuan. Analysts believe the buyout may help the cosmetics maker boost sales.

Chen Gang, chief investment officer at Ping An Trust, told the 21st Century Business Herald in November that Ping An is likely to inject 7 billion yuan into Jahwa over the next five years to help the company increase sales to 16 billion yuan by 2015.

The Shanghai-based company also plans to team up with KAO Corp, Japan's largest daily-use chemicals maker, to explore third- and fourth-tier city markets.

"The partnership will help both companies to boost competitive strength and sales performance in the Chinese market," said Ge Wenyao, chairman of Jahwa.


Muscling in on the local markets for chemicals|Industries|chinadaily.com.cn



allowing domestic companies to be bought by foreigners due to pro-western WTO rules have pretty much destroyed our entire chemical industry.
chinese government have done nothing to stop this foreign invasion.

yet another sign china is being sold out to foreigners.

 

[S10]

What's wrong with you? One minutes you're all "bwahahaha China is going to take over the world!" The next minute you go "OMFGWTFBBQ foreigners are destroying China!"

You sure you don't have bipolar disorder?

 

[1962 spanking]

What's wrong with you? One minutes you're all "bwahahaha China is going to take over the world!" The next minute you go "OMFGWTFBBQ foreigners are destroying China!"

You sure you don't have bipolar disorder?

and this coming from the guy that has no problem foreigners destroying chinese companies and chinese industries.
the same guy that defends indians when they attack china.
remove your chinese flag son.

people like you are the reason china was humiliated by foreign powers for 100 years.
giving into western demands and being weak and meek.
getting brainwashed by western media and western journalists have affected your judgement.

you would have absolutely no problem allowing a foreigner to be the chinese president or allowing china to be sold out to western elites.

if there was ever a controversy between china and some western country, you would be the first guy to defend the west.

there is a name for western sympathizers like you.....BANANA!

 

[retaxis]

What's wrong with you? One minutes you're all "bwahahaha China is going to take over the world!" The next minute you go "OMFGWTFBBQ foreigners are destroying China!"

You sure you don't have bipolar disorder?

His name is to antagonise Indians..Plus conservatives from any place in the world are the same..reading what they want to read and having selective vision/hearing.

 

[FairAndUnbiased]

there are many chemical industries. our heavy chemicals industry isn't too bad. however our consumer chemical market has already been sold out.

the key to a successful economy is protectionism. it is better to eat Chinese grass, than to eat foreign cake. Eventually, with the ingenuity of Chinese people, we will bake our own cake. But if we eat foreign cake, they might put more and more grass in it, and we'll be back to eating grass, at cake prices.

 

[1962 spanking]

His name is to antagonise Indians..Plus conservatives from any place in the world are the same..reading what they want to read and having selective vision/hearing.

lol yea and liberals like you would just bend over backwards to please foreigners at the expense of chinese interests.
sympathize with the west all you want, but there are people in this world that will never bow down to the west, especially after what happened to china in 1840 to 1949.

the west has and will always have sinister agenda towards china, when china was rich, the west looted our country, now that we are getting richer, they are trying their best to destroy our companies and industries using western made global institutions like WTO, IMF, world bank, etc.

just look at how the west is trying to contain china using military bases and using their allies.
just look at the trade protectionism the west is using to hurt chinese solar and wind companies and numerous other industries.

the west wants eliminate chinese companies and then grab hold of our market so their companies have monopolies. when chinese companies go to buy things in the west like huawei has done or the unocal deal, they deny us, but our government just lets western companies completely eliminate our industries by letting them buy pretty much all of our domestic companies like here in the chemical industry. there has been no benefit for domestic chinese brands.

wake up and smell the coffee.

 

[1962 spanking]

there are many chemical industries. our heavy chemicals industry isn't too bad. however our consumer chemical market has already been sold out.

the key to a successful economy is protectionism. it is better to eat Chinese grass, than to eat foreign cake. Eventually, with the ingenuity of Chinese people, we will bake our own cake. But if we eat foreign cake, they might put more and more grass in it, and we'll be back to eating grass, at cake prices.

exactly my point.

 

[FairAndUnbiased]

lol yea and liberals like you would just bend over backwards to please foreigners at the expense of chinese interests.
sympathize with the west all you want, but there are people in this world that will never bow down to the west, especially after what happened to china in 1840 to 1949.

the west has and will always have sinister agenda towards china, when china was rich, the west looted our country, now that we are getting richer, they are trying their best to destroy our companies and industries using western made global institutions like WTO, IMF, world bank, etc.

just look at how the west is trying to contain china using military bases and using their allies.
just look at the trade protectionism the west is using to hurt chinese solar and wind companies and numerous other industries.

the west wants eliminate chinese companies and then grab hold of our market so their companies have monopolies. when chinese companies go to buy things in the west like huawei has done or the unocal deal, they deny us, but our government just lets western companies completely eliminate our industries by letting them buy pretty much all of our domestic companies like here in the chemical industry. there has been no benefit for domestic chinese brands.

wake up and smell the coffee.

there are 2 types of liberals.

there are liberals, and there are "liberals". The people that the west see as "liberals" are actually neocons. Liu Xiaobo is called a "liberal" yet he hates blacks, supports colonialism and thinks Bush's holocaust in ME is great!

 

[S10]

and this coming from the guy that has no problem foreigners destroying chinese companies and chinese industries.
the same guy that defends indians when they attack china.
remove your chinese flag son.

people like you are the reason china was humiliated by foreign powers for 100 years.
giving into western demands and being weak and meek.
getting brainwashed by western media and western journalists have affected your judgement.

you would have absolutely no problem allowing a foreigner to be the chinese president or allowing china to be sold out to western elites.

if there was ever a controversy between china and some western country, you would be the first guy to defend the west.

there is a name for western sympathizers like you.....BANANA!

You need one of these:

 

[ChineseTiger1986]

there are 2 types of liberals.

there are liberals, and there are "liberals". The people that the west see as "liberals" are actually neocons. Liu Xiaobo is called a "liberal" yet he hates blacks, supports colonialism and thinks Bush's holocaust in ME is great!

Chinese Liberal = Right-Wing
Chinese Conservative = Left-Wing

Western Liberal = Left-Wing
Western Conservative = Right-Wing

 

[3Idiots]

it is better to eat Chinese grass, than to eat foreign cake.

Agreed.

And chinese people should never forget that the secret of their high "IQ" is chinese grass.

And your govt should impose a ban on exporting "chinese" grass. Imagine what would happen if non-chinese ate "chinese grass" and got high "IQ".

Nay.. be careful.

 

[retaxis]

lol yea and liberals like you would just bend over backwards to please foreigners at the expense of chinese interests.
sympathize with the west all you want, but there are people in this world that will never bow down to the west, especially after what happened to china in 1840 to 1949.

the west has and will always have sinister agenda towards china, when china was rich, the west looted our country, now that we are getting richer, they are trying their best to destroy our companies and industries using western made global institutions like WTO, IMF, world bank, etc.

just look at how the west is trying to contain china using military bases and using their allies.
just look at the trade protectionism the west is using to hurt chinese solar and wind companies and numerous other industries.

the west wants eliminate chinese companies and then grab hold of our market so their companies have monopolies. when chinese companies go to buy things in the west like huawei has done or the unocal deal, they deny us, but our government just lets western companies completely eliminate our industries by letting them buy pretty much all of our domestic companies like here in the chemical industry. there has been no benefit for domestic chinese brands.

wake up and smell the coffee.

You don't know what I am because you would never even understand what I am. I know you though, you are a conservative troll and I thought we smashed the conservative uneducated bumpkins like you already. Remember China is and always will be a land of reason not empty chest thumping. You belong where people like you always belonged, plucking those rice fields and being meat grinders against artillery and HMGs. Let the big boys show you how a real country is run.

 

[FairAndUnbiased]

You don't know what I am because you would never even understand what I am. I know you though, you are a conservative troll and I thought we smashed the conservative uneducated bumpkins like you already. Remember China is and always will be a land of reason not empty chest thumping. You belong where people like you always belonged, plucking those rice fields and being meat grinders against artillery and HMGs. Let the big boys show you how a real country is run.

oh you mean the "liberal" (right wing) intellectuals purged by Mao and actually forced to "pluck rice fields" for 10 years? and what's wrong with "plucking rice fields", millions do it every day. They work for a few hours and go back to watch TV.

And you call our soldiers "meat grinders against artillery and HMG?" No wonder they shot the lot of you in TAM. I would too.

This is the problem with both liberals and neocons. They think they're always right and don't give a damn about anyone else.

 

[CommonCause]

Is this industry even that important to China? If it is I'm sure the government would have made the foreign companies do joint ventures like the do for other industries.


Foreign companies dominate the purse/bag industry in China also.

 

[God of Death]

Muscling in on the local markets for chemicals
By Gao Yuan


BEIJING - The landscape of China's daily-use chemical goods industry has changed dramatically since the nation joined the World Trade Organization (WTO) 10 years ago. The advance of international enterprises into the market has threatened the business of local brands.

China's chemical consumer goods industry saw a 23.8 percent year-on-year growth starting from 2000 and the sale volume for 2010 exceeded 210 billion yuan ($33 billion), the Nanjing-based Xinhua Daily reported.

Multinational conglomerates such as Uniliver PLC, Procter & Gamble Co (P&G) and German pharmaceutical company Bayer Group, are annexing Chinese companies in a bid to get a larger share of the market.

"China's chemical consumer goods market is very attractive to overseas manufacturers after China joined the WTO," chinanews.com quoted Liu Jing'an, former secretary-general of Beijing Daily Chemical Association, as saying. "The most efficient way to enter the market is emerging local companies."

Indigenous brands have lost control over the market, according to Liu. About 80 percent of the products were produced by foreign companies.

The wave of takeovers was triggered in late 2003 after the French cosmetics and beauty company L'Oreal Group announced its purchase of the Mininurse skin-care brand based in Shenzhen.

In July 2008, the US pharmaceutical and consumer goods maker Johnson & Johnson Services Inc merged Beijing Dabao Cosmetics Co Ltd, whose Dabao SOD Milk once took more than 15 percent of market share in China.

The latest acquisition was completed by Paris-based perfume maker Coty Inc when the company acquired Chinese skincare company TJoy Holdings Ltd in December 2010 at a cost of $400 million.

"Most Chinese brands faded away after the acquisition," said Liu, adding that overseas giants left little room for the indigenous brands to survive.

But "little room" is sufficient enough for some local brands to play big. Shanghai Jahwa United Co Ltd is one of the most outstanding players with a 100 percent Chinese background.

The company posted total revenue of 2.87 billion yuan in the first three quarters of 2011, up by 18 percent compared with the same period in 2010, according to a company statement.

In November, Ping An Insurance (Group) Co of China Ltd said it will fully acquire Jahwa for 5.1 billion yuan. Analysts believe the buyout may help the cosmetics maker boost sales.

Chen Gang, chief investment officer at Ping An Trust, told the 21st Century Business Herald in November that Ping An is likely to inject 7 billion yuan into Jahwa over the next five years to help the company increase sales to 16 billion yuan by 2015.

The Shanghai-based company also plans to team up with KAO Corp, Japan's largest daily-use chemicals maker, to explore third- and fourth-tier city markets.

"The partnership will help both companies to boost competitive strength and sales performance in the Chinese market," said Ge Wenyao, chairman of Jahwa.


Muscling in on the local markets for chemicals|Industries|chinadaily.com.cn



allowing domestic companies to be bought by foreigners due to pro-western WTO rules have pretty much destroyed our entire chemical industry.
chinese government have done nothing to stop this foreign invasion.

yet another sign china is being sold out to foreigners.

Why china have small chemical industry of about $ 33 billion only?????

You have many times bigger economy but India have chemicals industry of more then $35 billion.