China’s cabinet industry maturing in 2006

This article originally appeared in FDM.

Larger firms offer higher quality as domestic demand grows and consolidation is likely.

Cabinet products from Jianpan Cabinet Co. The larger Chinese cabinet manufacturers are using advanced equipment to improve quality.

The Chinese cabinet industry is expected to begin a round of consolidations as government policies and more discerning consumers will make it harder for smaller and more marginal players to remain in business.

Meanwhile, the larger companies are improving quality and are increasingly looking overseas for new markets.

Bihui Zhao, manager of the planning department at the Chengdu BaiV Kitchen Co., says the larger cabinet manufacturers used to see a lot of competition from smaller players who attracted customers with dirt-cheap prices and shoddy quality.

Read full article.