China continues to be one of the largest economies in the world with the United States , Japan and Germany.. In 2008 , when the economic crisis experienced , the total gross national product (GNP) of these four countries was half of the world's GDP. Among these four giants, China is the fastest growing state since the 1990s. In fact , it seems that if it continues to grow at this rate , China will play second place in a very long period of time. With this economic size , and the rate of rapid growth , any change in the Chinese economy will directly affect the world economy. China's strategy for the economy and the petrochemical sector is one of the most fundamental parameters in determining the future of the petrochemical industry.

China has achieved its economic miracle by focusing on labor intensive jobs , which is the most important economic resource it has , by using its cost advantage , by using its competitive power , and by transforming this advantage into export-oriented scale economy.

This export-oriented model , especially the economic crisis experienced in 2008, had a major impact on the world markets. China has suffered from the global crisis with a great decline in exports. With this crisis , demand for final products has decreased in export markets. In addition , during the long-term growth process , China has faced problems such as the rise of general costs , the price of raw materials , the necessity to comply with legal requirements related to environmental protection , labor cost increases. In the domestic market , even if demand increases , this increase is not enough to close the acceleration lost in exports due to the amount and irregularity. Even though gin is working towards a high value-added product portfolio , it still has a very low value-added product portfolio.

There is an incredible unskilled workforce in China , and for many years the Chinese government has been in need of high growth rates to employ this unskilled workforce.Because there is an incredible unskilled workforce in economic China , and for many years China has been in need of high growth rates to employ this unskilled workforce.Because the economic recession , too high unemployment rates and social disorders cause.

For all these reasons , immediately after the crisis in 2008 , the Chinese government has implemented a measure package that will revive the economy. The basis of this package was to revive the economy with a huge budget. Close to half of this giant package has been spent on the infrastructure work of the country. The other part was transferred to renovation of damaged areas , new housing projects and environmental protection projects. For example, with these money ,new roads , airports, railways, power plants, etc. it’s done. With these money spent , a large number of workers were employed , as well as a number of jobs were provided to many domestic related sectors through the construction sector. In addition , it is clear that this is already essential for the growth of the country in the future, and that some countries-let's put money in the pockets of consumers - is much more effective and targeted strategy.

In addition , the management helped the industry by relaxing loans through its controlled banks.

The weakness of this strategy is that in the long run , especially the support given to the housing sector will eventually become a real estate price bubble in America.( Fortunately, there is no sign of this for the time being.)

China's biggest problem is that domestic consumption is low. China?it is a fact known by everyone that the Leni has a culture of manners . Gradually , the biggest problem of young China is that consumption is low. What a conservative culture the Chinese people have is a fact known by everyone . While this culture is gradually changing in the younger generation , consumption per capita is still far below the world average . This is the most important agenda of the Chinese government.

Petrochemical sector has also received its share from these infrastructure investments. China's economic stagnation to overcome , create jobs ,reduce dependence on foreign output and especially in the long term to move to high value-added products, this sector , in the giant rescue package took into.by completing Al investment projects , it is to increase the efficiency of refinery and petrochemical plants , to pay attention to high value added products and to reduce imports with domestic production. This plan is also China's Africa , South America and Central Asia?it is also parallel to its political efforts to maintain control of energy and raw material resources.

The program that spans 2009-201-201-2012 and aims at the production of many petrochemical plants in the country is progressing very well. The new capacities of all factories will reduce China's dependence on petrochemicals. China is headed to supply its petrochemical demand , which it currently provides with imports, domestically. Other Far East and Southeast Asian capacities created to export goods to China will have to find new markets . With the introduction of these capacities , there will be a serious competition and margin fall in the Chinese domestic market. Especially in the first period , the raw materials originating in the Middle East will be directed towards China, gradually towards Europe and especially to the Turkish market. Meanwhile , due to the excess capacity created in the Chinese market, the Far East capacities will look for new markets, primarily Turkey.

Due to the increase in capacity to be experienced , due to the competition that will occur ,those exporting petrochemical products to China will focus on reducing their costs. Service and long-term customer relationships will be very important.

China is the largest importer of petrochemical products in the world ,and China is the largest importer of petrochemical products in the world.

China's strategy in the period of crisis, including Turkey , stands out as a model for all countries. It is our wish that our lucky country does not experience similar problems, but it is the way of mind to benefit from previous experiences in the problems that may be experienced. China?in the long term , the strategy related to the petrochemical sector, such as Turkey 2. It will directly affect a country in the position of a large importer. Our country will be the first target of excess capacity. Considering the cheap and abundant raw materials needed by Turkey in order to become a strong plastic producer, these capacities are a development that will be appreciated in the short term.However , in the long term, the advantage of producing the raw material of China, which is our competitor in the plastic final product, will be disadvantage in the long term. As the plastics industry in Turkey , with the increase in our national refinery and petrochemical production capacity , we can reach a solid raw material supply chain that sits on a much wider and robust footprint. In other words , Turkey develops plastic processing sector and can become a regional and then a global power through the source providing domestic supply and price security as well as the source alternative and price competition through imports. In all this process , if we organize and control the biggest `uncontrolled power` of SMEs , Turkey will transform plastic processing into a market and a supply base and become a `plastic processing Country` brand.

Yavuz Eroglu – SEM plastic injectionS. General Manager