Tuesday, June 12, 2012

The flooring industry is serious oversupply

Flooring industry in China, many people in the industry admitted that in 2012, China's economic environment is not good. But in fact, is more direct than the environment of the flooring industry as a whole of supply exceeding demand "environment". Our doing good business to do, only because we have the flooring industry oversupply: oversupply flooring production, stores, an area of ​​oversupply, the market brand oversupply ... only to face the harsh reality we can better face of the upcoming brutal shuffle.

Recently, one thing has caused a lot of media attention, Zhanjiang City Mayor Wang C out of the Development and Reform Commission in a while kissing, holding 80 billion steel project approval. Moment, he became "The Kiss growth," the spokesperson. In late May, the National Development and Reform Commission began intensive Examining and approving investment projects, market expectations of a new round of stimulus will be born, investment banks and even estimate the size of the stimulus measures may be as high as two trillion yuan, in 2008 the four trillion half .

If you really came to a "four trillion", the days of the flooring industry will change better? Let us look at the most basic relationship between supply and demand of the market economy which.

Prior to 2008, and the majority of Chinese Industrial flooring industry in the period of rapid development, overall, the market is in short supply situation. Mid-decade into the 21st century, the supply and demand balance. The rapid rise of prices in 2006, triggering a real estate investment boom, this balance is maintained until 2010.

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