Updated Nov 20, 2022 13:45

Market for Mineral or Aerated Water in China

Market Overview
The Chinese mineral or aerated water market expanded modestly to $ in , with an increase of % against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Overall, consumption saw a strong increase. Over the period under review, the market attained the maximum level at $ in 2019; however, from to , consumption stood at a somewhat lower figure.

In value terms, mineral or aerated water production rose modestly to $ in estimated in export price. Overall, production posted a strong increase. The most prominent rate of growth was recorded in 2014 when the production volume increased by % against the previous year. Over the period under review, production reached the peak level at $ in 2019; however, from to , production failed to regain momentum.


Consumption
In , consumption of mineral or aerated waters in China was estimated at litres, increasing by % compared with the year before. Over the period under review, consumption enjoyed perceptible growth. Over the period under review, consumption hit record highs at litres in 2019; however, from to , consumption failed to regain momentum.

The size of the mineral or aerated water market in China rose modestly to $ in , increasing by % against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Overall, consumption recorded a resilient expansion. Mineral or aerated water consumption peaked in and is likely to continue growth in the immediate term.


Market Forecast
Driven by increasing demand for mineral or aerated waters in China, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to decelerate, expanding with an anticipated CAGR of +% for the period from to , which is projected to bring the market volume to litres by the end of .

In value terms, the market is forecast to increase with an anticipated CAGR of +% for the period from to , which is projected to bring the market value to $ (in nominal prices) by the end of .


Market Structure
Over the period under review, imports of mineral or aerated water in China were negligibly small compared to the production volumes. Therefore, the share of imports in the total market was practically nonexistent, both in volume and in value terms. This situation has remained constant over the period under review, which means that domestic producers entirely meet the domestic demand for mineral or aerated water. In , the share of imports in total consumption accounted for % in value terms and % in physical terms. The share of imports remained relatively constant over the period under review. In , the share of imports in total consumption accounted for % in value terms and % in physical terms. The share of imports decreased moderately (less than percentage point) over the period under review.


Trade Balance
China remains a net exporter of mineral or aerated water; in physical and value terms, exports consistently exceeded imports from 2007 to . In , there was a trade surplus of litres, which was equal to $. Those figures reflect the fact that neither imports nor exports don’t dominate the trade balance, and the country may export not only the product manufactured domestically, but also re-export some previously imported goods.