PVC pipe is about to develop a trillion-dollar investment market?

In the past two years, the renovation of underground pipe network has been mentioned many times at the national regular meeting and other key meetings, and the demand for urban pipe network renovation at the policy level has increased significantly. Therefore, it is predicted in the PVC industry that pipeline investment is expected to accelerate, and the potential pipeline market may exceed 1.4 trillion yuan. From the perspective of industrial chain, the underground pipe network market is mainly centered on "pipeline manufacturing", "pipeline construction", "pipeline security" and "exploration and design", and its upstream and downstream enterprises are also expected to improve.

In 2021, the national investment in fixed assets of municipal facilities will reach 2.75 trillion yuan, with a year-on-year increase of 4.93%. Water supply pipelines will account for 3.7%, drainage pipelines will account for 9.9%, gas pipelines will account for 1.1%, central heating will account for 2.0%, and underground comprehensive pipe gallery will account for 2.1%. The total investment in fixed assets of municipal facilities will account for 18.8%.

From January to November 2022, China completed 1008.5 billion yuan of investment in water conservancy construction, and the national investment in water conservancy construction reached 1 trillion level for the first time, an increase of 33% over the whole year last year.

The above two groups of public data prove that the development of PVC pipe market has strong support.

Since the middle of 2021, the downward trend of real estate, the sharp rise in the price of raw materials such as PVC, and the concentration of risk factors such as epidemic control have been detrimental to the development of the pipeline industry. In the future, the real estate will be warm, the epidemic control will be basically lifted, the pipeline development policy and demand will continue to be favorable, and the industry will have a stable and rapid development period.

Recommand products from LYDD:

PASTE PVC RESIN PB1156

Yanhu Polyvinyl Chloride Resin SG5