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The global economic shrinking is going on. In June 2012, the US and German's PMI decreased to the lowest point during the past three years, and China's PMI has been below 50 (the separation of manufacture industry expansion or shrinking) for seven months. All of these show that the global economy is getting worse and worse, which can't recover in a short time under the influence of European debt crisis. The result of Greece election decreases the risk of that Greece quits Eurozone, but the European debt crisis is far away from the end. However, under the situation that almost all major economies are facing hardship, it may have a new round of global stimulus policies. For example, People's Bank of China reduces interest rate on June 8, 2012, and Europe Central Bank may also make the same measure.
China's bio-materials are closely contacted with the global economy, since China is a large country of bio-material production, but the main consumer markets are the US and Europe. In June 2012, most bio-material products and raw materials' price has decreased, such as PLA, PVA and wheat. On June 8, 2012, China's Special Plan of Biological Material for the Twelfth-five Years Plan Period was published. According to the document, China pays more attention to this industry and will prioritize it.
CCM International will continuously follow the latest development of relevant events. If you have any specific topics you would like us to cover or any subjects to investigate in more details, please contact us at +86-20-3761 6606, or econtact@cnchemicals.com
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