China and Kazakhstan have signed a deal to build and finance a natural gas pipeline and deepen their cooperation on nuclear energy, extending the two countries' ties on resources.
Under the agreement signed on Saturday during a visit by Chinese President Hu Jintao, the two countries will build a 1,400-km gas pipeline. It will link with an existing gas pipeline running between China and Central Asia.
The project will help meet gas demand in southern Kazakhstan. Feasibility studies will also be undertaken, looking at increasing gas exports to China from the Caspian Sea area and other Central Asian countries through the pipeline, China National Petroleum Corp (CNPC) said on Sunday.
Analysts said the deal underlines the importance of energy cooperation between China and central Asian countries, which are rich in natural resources. "These countries will play an increasingly important role in China's overseas energy strategy," said Xia Yishan, an expert at the China Institute of International Studies.
In China, juice beverages contain fruit & vegetable juice. The fruit & vegetable juice is made directly from fresh or chilled fruits and vegetables. Fruit & vegetable beverages are made into ready-for-drink beverages by adding water, sugar liquor and sour agent, etc into the juice. In China, the juice content for fruit & vegetable beverages should be no less than 10%, otherwise they belong to other categories of beverages.
China is abundant in fruit resources. In 2009, the Chinese fruit yield reached about 120 million tons (excluding melons), ranking at the top of the world rankings. Despite the gigantic population, Chinese consumption of juice beverages is quite low. The annual juice beverage consumption per capita was below 10 litres in 2009. According to a market investigation, in 2009, Chinese juice beverage production amounted to 13.47 million tons, a 14.20% increase over 2008; the market scale reached approximately CNY 57.50 billion, rising by 15% YOY.
The market investigation showed that, in the Chinese juice beverage market, the market share for 100% concentration juice is only 5%-6%, while the most shares are held by low-concentration juice beverages (with a juice content of no more than 25%). This is mainly due to the purchase capacity and consumption behaviour of consumers.
By the end of 2009, there were already over 1,000 juice processing enterprises in China, but few of them are large-scale ones. Apart from the products of several enterprises such as Huiyuan, Coca-Cola and Pepsi that sell well all over China, most other enterprises can only sell their products in regional markets. Restricted by the financial capacity and marketing channels etc., those regional enterprises are unable to operate in the national market. In the long run, these regional enterprises are likely to become acquisition objects of the giants in the juice beverage market, who can improve their regional market shares and set up localized production bases through the acquisition.
The outbreak of the international financial crisis in 2008H2 resulted in a big blow to Chinese juice beverage exports. In 2008, Chinas total export volume of juice beverage decreased to 794,000 tons and the export value reached USD 1.26 billion, dropping by 30.4% YOY and 7% YOY separately. The international financial crisis impacted the Chinese juice beverage export market greatly. In 2009, Chinas export volume of juice beverages rose to 897,000 tons. However, due to the declining export price, the export value dropped by 39.40% YOY to USD 762.40 million. In the first quarter of 2010, Chinese juice beverage exports continued to decrease.
A large part of the Chinese juice beverage market is occupied by cheap low-concentration juice beverages, with only a small percentage of high-priced, high-concentration juice beverages. Generally, consumers did not cut down their expenditure on juice beverages. Therefore, the domestic juice beverage market did not suffer great losses in the global financial crisis.
According to an investigation into the development of the world beverage markets, when the GDP per capita reaches USD 3,000, residents will pay more attention to vitamin supplement beverages. In 2009, Chinese GDP per capita exceeded USD 3,000. It is forecast that the Chinese juice beverage market will sustain rapid growth in 2010-2014 and the juice beverage consumption per capita will also rise fast in China. In the following years, the Chinese juice beverage market is expected to become the competition focus of domestic and foreign enterprises.
This report will provide readers with information on:
Analysis on the development environment of the Chinese juice beverage industry Analysis on the status quo of the Chinese juice beverage industry Upstream industry chain of the Chinese juice beverage industry Market competition in the Chinese juice beverage industry Import & export of the Chinese juice beverage industry Analysis on M&A cases in the Chinese juice beverage industry Analysis on the influence of the global financial crisis on the Chinese juice beverage industry Major enterprises in the Chinese juice beverage enterprises and their operation Analysis on the development opportunities in the Chinese juice beverage industry Recommendations on M&A in the Chinese juice beverage industry Contacts of major juice beverage producers in China
This report is recommended for the following people:
Beverage producers Fruit planting enterprises Beverage package enterprises Juice beverage import & export enterprises Investors interested in the juice beverage industry Research institutes interested in the juice beverage industry Others interested in the juice beverage industry
Key Topics Covered:
1 Overview of Chinese Juice Beverage Market 2 Development of Chinese Juice Beverage Market in Major Regions 3 Analysis on Upstream Sectors of Juice Beverage in China, 2008-2009 4 Analysis on Major Enterprises in Chinese Juice Beverage Industry 5 Analysis on M&A in Chinese Juice Beverage Industry 6 Analysis on Development and Investment in Chinese Juice Beverage Industry Selected Charts
Companies Mentioned:
Beijing Huiyuan Beverage and Food Group Co., Ltd Uni-President Group Hangzhou Wahaha Group Co., Ltd Ting Hsin International Group Coca-Cola PepsiCo Inc. Nongfu Spring Co., Ltd Great Lakes (Tianjin) Fresh Food and Juice Co., Ltd SDIC Zhonglu Fruit Juice Co., Ltd
It used to take decades for whole industries to shift overseas. Not anymore. Solar panel manufacturing is moving to Asia, and Chinese and Taiwanese companies especially are the beneficiaries--thanks to their low cost of production. Now come reports that the Chinese government is extending billions of dollars in loans to domestic firms, making life even tougher for U.S. competitors.
Suntech will reportedly get a loan of $7.3 billion from the state-run China Development Bank while Trina Solar, not so long ago a marginal player, will get a hefty $4.4 billion in funding. "It marks a dramatic bump in funding for the China solar PV [photovoltaic] industry," writes Deutsche Bank analyst Steve O'Rourke. "China considers solar PV and broader renewable energy as strategic."
The loans will likely help the companies move from pure manufacturing operations into what many perceive to be a more lucrative long-term strategy: planning, financing and building large-scale projects for utilities and commercial customers. China has an extra incentive to fund such activities since the industry expansion will create jobs and help the nation move toward its renewable energy goals.
Ever since China's three leading phone companies were granted 3G licenses in early 2009, they have embarked on a fierce and costly battle to win subscribers in the biggest cellphone market on the planet.
China Mobile, the largest telecom operator in the world, is tasked by the Chinese government with expanding the country's homegrown 3G network, using the TD-SCDMA standard developed in China. It has built the largest 3G customer base in the country, with 6.9 million subscribers at the end of February.
While China Mobile has strong brand recognition and the biggest customer base in China, its rivals are taking aggressive approaches to increase market share. China Unicom, the country's second-largest telecom carrier by market value, spent almost 3 billion yuan ($439 million) more last year than in 2008 on its networks, operations and supporting facilities. It has chosen Apple ( AAPL - news - people ) as its principal handset partner and started to sell iPhones at the end of last October. China Unicom uses the WCDMA standard.
China Telecom, another licensed 3G telecom operator, is also eager to chime in. It now leads in the nation's 3G network coverage, even though it has fewer subscribers than China Mobile. The company plans to spend more money on its 3G business expansion to reach its goal of 8 million 3G subscribers in 2010, said chairman Wang Xiaochu in a March press release. China Telecom uses the CDMA standard.
China has 16.1 million 3G subscribers as of February 2010, with 1.5 million new users signing up in February alone, according to the latest statistics released by the Ministry of Information and Technology. Overall, China has 766 million mobile phone users, so 3G has plenty of room to grow.
Sales of cellphones using China's own 3G standard (TD-SCDMA) will grow seven-fold this year, boosted by China Mobile's push of new phones and services, research firm Strategy Analytics said on Monday.
The research firm did not unveil total sales estimates, but China Mobile, the world's largest mobile operator by subscribers, has said it had 3.4 million clients using its TD-SCDMA network last year when it opened the service.
The technology's teething problems, along with a lack of product offerings, have been major factors inhibiting the development of a national TD-SCDMA network by China Mobile.
Seven-fold growth from 3.4 million would result in total TD-SCDMA phone sales comparable with sales of Apple iPhones in 2009, and well ahead of Microsoft Windows phones sold by all manufacturers in total last year.
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