The hottest Chinese market attracts the attention

2022-08-05
  • Detail

The Chinese market attracts the attention of American cosmetics packers

in the view of INOAC Packaging Group Inc., its molding plant in Shanghai is walking on the cusp of the new trend in China's cosmetics industry. Because, with the increasing purchasing power of Chinese consumers, domestic cosmetics manufacturers are making more and more efforts in cosmetics packaging to attract consumers

compared with the traditional market of foreign brands sold in China, local brands are attracting more attention from other first-class cosmetics packaging companies, prompting them to regard China as a golden place to expand sales after the economic downturn in 2011. INOAC, headquartered in Bardstown, Kentucky, may be one of the first multinational companies to try. Its parent company is the Japanese integrated group Inoue Co., Ltd

two years ago, its Shanghai blow molding and injection molding packaging plant had almost zero sales to local customers in China. At that time, the factory specially supplied products to Western European and Japanese enterprises that exported cosmetics to Chinese Mainland or directly sold cosmetics in Chinese Mainland

yutaka Matsui, executive vice president of INOAC packaging, said in an interview at the 2009 Hong Kong Asia Pacific beauty show held in Hong Kong from November 11 to 13 that its business structure is undergoing major changes. At present, 1/3 of the business of the factory comes from domestic cosmetics manufacturers who are interested in improving packaging

matsui said: during the exhibition a year ago, many Chinese enterprises who visited our booth said they liked our packaging very much, but the price was too high and even became an indispensable equipment. Matsui said that the packaging cost of INOAC was 2 or 3 times higher than that of the local cosmetics packaging enterprises in China

he said, but now local cosmetics brands are no longer afraid of high prices: they find that the prices of foreign brands sold in China are much higher. They also want to raise prices. One of the shortcuts is to use more exquisite packaging. He said that INOAC did not adjust the price of its products when it entered the domestic market in China. Although this trend is still in its infancy, it has attracted the attention of other multinational cosmetics packaging enterprises

Taiwan Xingzhong Plastic Co., Ltd. is focusing more firmly on the Chinese market. At present, the company has 3000 employees in its injection molding and blow molding plants in China and the United States. Next year, it will build a plant in Mexico

Xingzhong plastic shall protect the electronic extensometer, HCP packaging USA Inc, a US branch located in Shelton, Connecticut, USA. Steven Levine, President of the company, said: this year, our strategy is to expand our strength compared with Chinese local brands. In light of the actual situation in various cities, we are achieving this goal through the eye black product line with strong core competitiveness

levine said that the average annual growth rate of Xingzhong plastic has been maintained at 20% in the past decade. However, the cosmetics industry, which has always had a strong ability to resist the depression, has also suffered a great impact. It is estimated that its growth rate this year will fall to units

he said: we have realized that if we want to continue to maintain double-digit growth, Greater China will play a crucial role, because China's economic growth rate is much faster than that of European and American countries

levine said: we found that some domestic brands are very eager to improve the packaging level. They are rapidly catching up with multinational brands in terms of technology and decorative complexity

chenhaitao, China cosmetics sales manager of DuPont's packaging and industrial polymers division in Shanghai, predicted that the growth rate of China's domestic cosmetics and personal care products market is expected to reach 15% this year

chenhaitao said that in China, about 20% of DuPont's cosmetics related sales come from local brands, which coincides with other people's views that local brands want to improve packaging

he said: we found that domestic manufacturers are eager to improve their brand awareness

some local packaging suppliers in China have also noticed this change

Guangzhou QiaoXin Plastic Co., Ltd. said that China's local market is becoming more and more important. The company's export business accounts for more than half, and it supplies tubes and other packaging to American brands such as Avon and CVs cosmetics chain stores

jojofang, a female salesperson of the company, said that two years ago, the domestic business accounted for only 15% of its total business, and now it has increased to about 25%. She said that Chinese customers usually do not have high requirements for packaging technology. For example, a single-layer tube is enough instead of the five layer tube used by foreign companies, but this situation is also changing

Matsui of INOAC said that the change of his company's view on China also reflected the rising local production costs, which, he said, reduced the attractiveness of China as an export platform

when its Shanghai factory was just settled in Shanghai in 1995, all its products were exported to Japan and the United States. Today, exports account for only about 1/3 of its sales, and the remaining 2/3 are from China, including Japanese brands that directly supply local brands or sell in China

Copyright © 2011 JIN SHI