China floor market status and trend forecast

Since 2013, the Chinese real estate sector has faced significant regulatory pressure, with new policies implemented across provinces, cities, and municipalities. This has led to a sharp decline in commercial real estate transactions and property market activity, particularly in first-tier cities. The market is now experiencing one of its most challenging periods, often described as colder than winter, which poses major operational challenges for flooring companies. For these businesses, this period represents more risk than opportunity. In 2013, the flooring market was driven by three key segments: newly installed floors from new and existing housing sales, re-decorations from second-time or higher homeowners, and large-scale procurement projects for new developments. These segments typically accounted for a 6:2:2 ratio, meaning that new installations made up the majority of sales. Most flooring companies focused their efforts on attracting new customers rather than targeting repeat buyers. The overall capacity of the flooring market is closely tied to the construction and decoration industry, which in turn depends on real estate development. With the current economic model emphasizing lower CPI growth and reducing real estate's share of GDP, liquidity has been tightened through measures like increased deposit reserves and interest rates. This has significantly impacted real estate developers and, consequently, the demand for flooring products. While some low-margin laminated wood flooring sales have seen slight growth, high-end and mid-range products have suffered. First- and second-tier cities such as Beijing, Shanghai, Guangzhou, Shenzhen, and Hangzhou have experienced rapid declines in flooring market capacity. However, many third- and fourth-tier cities still rely on traditional land-based fiscal policies, leading to smaller fluctuations in market demand. Despite this, the overall trend remains downward. In 2012, the flooring industry was still considered a year of growth, with China’s wood flooring sales reaching 400 million square meters. However, with over 5,000 manufacturers, only about 1,000–2,000 are recognized brands. Under the current shrinking market, oversupply remains a challenge. Market share is increasingly concentrated among top-tier brands, while smaller players struggle to maintain relevance. Compounding the issue, new entrants—such as real estate and construction firms—are entering the flooring industry due to its large market size and low barriers to entry. This has intensified competition and accelerated the industry’s consolidation, similar to the reshuffle that began in 2005. As a result, the flooring market is expected to undergo further transformation in the coming years.

High Mast Lighting Pole

High Mast Lighting Pole,High Mast Light Pole,18M High Mast Light Pole,Led High Mast Light

Yangzhou Langxu Lighting Technology Co., Ltd , https://www.street-lighting.com