End market of PPG presented dull in H1 2011 due to stagnant macro-economy and high cost, and demand is likely to continue sliding down pressured by government policy.
Introduction of Purchase Limit Policy in real estate market stalemated building materials market and soft furniture industry. In addition, announcement of NO.65 document also depressed PPG market.
Policy of "home appliances to the countryside" will be quitted from November which stimulates people and local government to purchase home appliances in advance. However, it also means that in recent years demand will not pick up.
Ministry of Industry and Information Technology announced number of production and sale in automobile industry from January to July. Growth of production and sales are respectively amounted at 2.3% and 3.2%. According to Mr. Yaqiong He, section chief of Ministry of Industry and Information Technology, annual growth of production and sale will achieve at 5%, and no stimulus policy is to be announced in automobile industry this year.
Under the unsatisfied circumstances,