The Size of the China Market
Over the past three decades, China markets for foreign trade have experienced fast and steady growth at an even faster rate than the overall economy. In 2010, China imports totaled nearly $1.4 billion, and China is now the largest importer in the world. China’s export industry is the second largest in the world at almost $1.6 billion. Across the board, China markets are growing exponentially and hold a wealth of opportunities for import export businesses.
Profitable Exports in China Markets
China’s exports include a variety of products but are primarily textiles and low end electronics. Nearly half of the world’s steel is produced in China, but as an export, the demand for steel is dropping. The production of tungsten, however, is becoming a valuable export in China markets and is particularly useful in the jewelry industry as well as electronics manufacturing. China is a major player in the toy market, producing nearly three-quarters of the world’s supply. This sector generates nearly $2 billion annually, and a large portion of that amount is in exports.
China Imports with Growth Potential
In the past, the biggest imports in the China markets were commercial products needed for industrial applications. China’s growing economy has led to a drastic increase in China imports and has opened the door to a number of new product sectors. Organic foods, particularly gourmet items, dietary supplements, and organic foods made for infants and children are in high demand. Bottled water is also a lucrative import opportunity. Individuals interested in exporting personal computers can maximize their profits by catering to the China markets.
Luxury Imports in China Markets
A product sector that has seen tremendous growth recently in the China markets is luxury goods. The demand for chocolates and candies has increased by nearly 25%. Convenience products such as processed foods also have a high potential for profit. High end apparel, especially luxury brands, is becoming a leading China import as well. The China markets have also shown favoritism to imported beers, wine, champagne, and liquors. Many other luxury goods are being introduced to the China markets with positive results as the economy continues to grow.
Profitable Regions in China Markets
While China’s economy has seen tremendous growth throughout the country, certain regions are far more developed than others. Coastal regions typically have the largest populations and boast the highest incomes, especially provinces along the southern coastline. These wealthy regions are often successfully targeted by importers. Inland cities are the focus of most exporters working in the China markets. Central China is the primary producer of apparel, toys, household products, and other exports with potentially high profit margins, while food products and pharmaceuticals are exported from the northeast region.
From luxury imports to cost-efficient exports, the China markets provide diverse opportunities to international trade professionals. As China’s economy continues to prosper, the demand for new imports will also grow. China imports offer one of the most lucrative opportunities in the trade industry, but China markets for exports have just as much potential.
Tags: China Markets