In 2020, China achieved a total output of 5.41 million tons of glass fiber yarn, a year-on-year increase of 2.64%, and the growth rate dropped significantly compared with last year. It is estimated that the total output of China's glass fiber yarn will reach 6.04 million tons in 2021. With the increasing demand of downstream industries, China's demand for glass fiber increased from 2.5 million tons in 2016 to 3.89 million tons in 2019, with an average annual compound growth rate of 15.88%. According to the prediction of China Commercial Industry Research Institute, the demand for glass fiber in China will reach 4.74 million tons in 2021.
China's glass fiber industry is highly concentrated as a whole, with Jushi accounting for 34%, followed by Taishan glass fiber and Chongqing international accounting for 17%. Shandong glass fiber, Sichuan Weibo, Jiangsu Changhai, Chongqing Sanlei, Henan Guangyuan and Xingtai Jinniu account for a relatively small proportion, accounting for 9%, 4%, 3%, 2%, 2% and 1% respectively.
According to the data of China Customs, in December 2021, the import volume of China's glass fiber and its products was 13100 tons, a year-on-year decrease of 50.8%, and the import value was 84 million US dollars, a year-on-year decrease of 10.9%. In 2021, the import volume of China's glass fiber and its products was 185900 tons, and the import value was 1.078 billion US dollars.
The gross profit margin of leading enterprises in China's glass fiber industry is between 25-35%, which is significantly higher than the 10% gross profit margin of foreign giants. The world glass fiber industry has long been an oligopoly. As a new force, China is expected to occupy more than 60% of the global market share after an average annual production capacity growth of more than 20% in recent years, becoming a new oligopoly in the international glass fiber market.
China's glass fiber industry belongs to an export-oriented structure, and imports and exports have been growing in both directions. In particular, with the vigorous development of the glass fiber industry, imports and exports have maintained high-speed growth, and the export volume of glass fiber has reached 59.1% of the total output of glass fiber. The high import and export ratio shows that China's glass fiber industry has fully integrated with the international glass fiber industry market, and the improvement of product output and quality has greatly enhanced the international market competitiveness of China's glass fiber industry.
On the other hand, China's sustained and steady economic development has also increased the domestic demand for foreign advanced glass fiber products. This healthy export-oriented structure leads to a virtuous cycle. China's glass fiber has been in a deficit in the past, but the gap between glass fiber exports and imports has been narrowing, completely reversing the situation that imports are greater than exports in the whole industry.
Implementing industrial transformation and optimizing industrial structure is the future road of a country's industrial development. Only when the sustainable development of the industry is realized can the economic construction of the country and the production behavior of enterprises be gradually optimized. At the present stage, the production level of the glass fiber industry has a significant gap among different enterprises. Some enterprises in the industry have backward production technology and high unit consumption. The production link still needs more manpower. The product cost and product quality lack competitiveness in the market.
In order to increase the market share, and to remain invincible in the increasingly complex international trade situation, China's glass fiber manufacturers should exert their own strength to improve the product quality and reduce the production cost as much as possible. Replacing manpower with the power of machines can not only improve the production efficiency of products, but also help to reduce the production cost of products and further improve the competitiveness of products. Therefore, in the future manufacturing development process of the glass fiber industry, mechanization, automation and intelligent production are an irreversible development trend.
The Research Report on glass fiber industry aims to analyze the future policy trend and regulatory system development trend of glass fiber from the perspective of national economic and industrial development strategies, tap the market potential of glass fiber industry, provide a vivid description of market changes from multiple perspectives such as industrial scale, industrial structure, regional structure, market competition and industrial profitability, and clarify the development direction based on in-depth research on key market segments.