Demand for asphalt in China is expected to rise five percent annually through 2012. Asphalt consumed in the manufacture of paving products will outpace roofing uses, driven by extensive infrastructure projects in paved surface construction. The ongoing Flat to Slope roof conversion project will benefit asphalt shingles.

This study analyzes the 13.2 million metric ton asphalt industry in China. It presents historical demand data for the years 1997, 2002 and 2007, and forecasts for 2012 and 2017 by product (e.g., asphalt cement, asphalt emulsions, cutback asphalts, built-up and roll roofing, modified bitumen roofing, asphalt shingles), new construction and maintenance/repairs markets, and geographic region.

The study also considers market environment factors, details industry, evaluates company market share and profiles 19 industry participants, including China Petroleum & Chemical, China National Petroleum, and China National Offshore Oil.

  TABLE OF CONTENTS
  
  
  SECTION                                                            PAGE
  
  
                  INTRODUCTION                                          x
  
               I. EXECUTIVE SUMMARY                                     1
  
              II. MARKET ENVIRONMENT                                    4
           General                                                      4
           Economic Overview                                            4
             Recent Economic Performance                                6
             Economic Outlook                                           7
           Demographic Overview                                        10
             Population                                                11
             Households                                                13
           Industrialization & Manufacturing Trends                    14
           Labor Force & Employment Trends                             17
           Personal Income & Expenditures                              20
           Banking System & Regulations                                22
           Currency Exchange                                           27
           Nonbuilding Construction Outlook                            31
             New Construction                                          33
             Improvements & Repairs                                    34
             Transportation                                            35
           Building Construction Outlook                               37
             Residential                                               40
                New Housing                                            43
                Additions & Alterations                                44
                Maintenance & Repairs                                  45
                Housing Stock & Living Space                           47
             Nonresidential                                            49
                New Construction                                       53
                Additions & Alterations                                54
                Maintenance & Repairs                                  55
                Building Stock                                         55
           The Eleventh Five-Year Plan                                 57
           Legal & Regulatory Issues                                   59
           Technology Trends                                           60
           Competing Materials                                         61
           World Outlook                                               62
           Foreign Trade                                               64
           
             III. PRIMARY ASPHALT                                      66
           General                                                     66
           Supply & Demand                                             69
           Primary Asphalt Types                                       70
           
              IV. ASPHALT PRODUCTS                                     72
           General                                                     72
           Paving                                                      74
             Asphalt Cement                                            76
             Asphalt Emulsions                                         78
             Cutback Asphalts                                          81
             Other Paving Asphalts                                     82
           Roofing                                                     84
             Built-Up & Roll Roofing                                   86
             Modified Bitumen Roofing                                  89
             Asphalt Shingles                                          92
             Other Roofing Asphalt Products                            94
           Other Asphalt Products                                      95
           
               V. ASPHALT PRODUCT MARKETS                              98
           General                                                     98
           Nonbuilding Construction                                   100
             New                                                      101
             Maintenance & Repairs                                    103
           Nonresidential Building Construction                       104
             New                                                      106
             Improvements & Repairs                                   108
           Residential Building Construction                          110
             New                                                      111
             Improvements & Repairs                                   113
           Other Markets                                              114
           
              VI. REGIONAL TRENDS                                     116
           General                                                    116
           Regional Demographic & Economic Trends                     118
             Population Patterns                                      119
             Economic Outlook                                         121
           Construction Expenditures                                  122
             Nonbuilding Construction Expenditures                    124
             Nonresidential Building Construction Expenditures        125
             Residential Building Construction Expenditures           127
           Regional Asphalt Demand                                    129
             Central-North                                            131
                Overview                                              131
                Asphalt Demand                                        133
             Northeast                                                135
                Overview                                              135
                Asphalt Demand                                        138
             Central-East                                             140
                Overview                                              140
                Asphalt Demand                                        142
             Central-South                                            144
                Overview                                              144
                Asphalt Demand                                        146
             Southwest                                                148
                Overview                                              148
                Asphalt Demand                                        150
             Northwest                                                152
                Overview                                              152
                Asphalt Demand                                        154
                
             VII. INDUSTRY STRUCTURE                                  157
           General                                                    157
           Industry Composition                                       157
           Market Share                                               159
           Foreign Participation in the Chinese Market                162
             Legal & Regulatory Issues                                162
             Joint Ventures                                           164 
             Wholly Owned Foreign Enterprises                         166
             Representative Offices                                   167
             Exporting to China                                       168
           Cooperative Agreements                                     168
           Company Profiles                                           172
             Anglo American plc                                       173
             Bouygues SA                                              175
             Caltex Corporation, see Chevron Corporation                 
             Chevron Corporation                                      177
             Colas SA, see Bouygues SA                                   
             China National Offshore Oil Corporation                  178
             China National Petroleum Corporation                     180
             China Offshore Bitumen Company Limited, 
                see China National Offshore Oil Corporation              
             China Petroleum & Chemical Corporation                   181
             China Petroleum Sales Jiangsu Company Limited, 
                see PetroChina Company Limited                           
             CNOOC Bitumen Sichuan Limited, 
                see China National Offshore Oil Corporation              
             Dalian West Pacific Petrochemical Company Limited, 
                see PetroChina Company Limited and Total SA              
             Exxon Mobil Corporation                                  185
             Foshan Zhongyou Gaofu Petroleum Company Limited, 
                see China National
                Petroleum Corporation                                                  
             Guangyuanfa Elf Bitumen Company Limited, see Total SA
             Neste Oil Oyj                                            186
             Panjin Northern Asphalt Company Limited                  187
             Panjin Nynas North Bitumen Company Limited, 
                see Panjin Northern
                Asphalt Company Limited                                                
             Panjin PetroChina Liaohe Asphalt Company Limited, 
                see PetroChina Company Limited                           
             PetroChina Company Limited                               189
             Qinhuangdao Zhongyou Petrochemicals Company Limited, 
                see PetroChina Company Limited                           
             Rizhao Lanshan Caltex Asphalt Company Limited, 
                see Chevron Corporation                                  
             Royal Dutch Shell plc                                    192
             Sanshui Yihao Asphalt Company Limited                    195
             Shandong Befar Group Company Limited                     196
             Shandong Huifeng Petroleum & Chemical Company            197
             Shandong Qingyuan Group Company Limited                  198
             Shanghai Pusheng Asphalt Concrete Limited, 
                see Anglo American plc                                   
             Shell China Limited, see Royal Dutch Shell plc              
             Shell Road Service Shanghai Company Limited, 
                see Royal Dutch Shell plc                                
             Sinopec Corporation, see China Petroleum & Chemical Corporation
             SK Energy Company Limited                                199
             Tipco Asphalt Public Company Limited, see Bouygues SA
             Total SA                                                 201
             Weifang Hongrun Petrochemical Auxiliary Company          203
             Wenzhou Zhongyou Fuel Petrochemical Company Limited, 
                see China National Petroleum Corporation                 
             Xinjiang Bazhou Tianyuan Petrochemical Company           204
                  
                               LIST OF TABLES
                                   
  TABLE NUMBER                                                       PAGE
  
  
                  SECTION I -- EXECUTIVE SUMMARY
                  Summary Table                                         3
  
                  SECTION II -- MARKET ENVIRONMENT
                1 Gross Domestic Product of China                      10
                2 Population of China                                  12
                3 Households in China by Region                        14
                4 Manufacturing Value Added in China                   16
                5 Urban Labor Force & Employment Trends in China, 
               	      1997-2007                                        19
                6 Personal Income & Expenditures in China              22
                7 Interest Rates in China, 1997-2007                   26
                8 Chinese Currency Exchange Rates, 1997-2007           30
                9 Nonbuilding Construction Expenditures in China       33
               10 Paved Roads in China by Region                       36
               11 Building Construction Expenditures in China          39
               12 Residential Building Construction Expenditures
                      in China                                         43
               13 Housing Stock & Living Space in China                49
               14 Nonresidential Building Construction Expenditures
                      in China                                         53
               15 Nonresidential Building Stock in China               56
               16 World Asphalt Demand by Region                       63
               17 Asphalt Foreign Trade in China                       65
  
                  SECTION III -- PRIMARY ASPHALT
                1 Primary Asphalt Supply & Demand in China             70
  
                  SECTION IV -- ASPHALT PRODUCTS
                1 Asphalt Demand in China by Product                   73
                2 Paving Products in China -- Asphalt Demand by Type   76
                3 Asphalt Cement Demand in China                       78
                4 Asphalt Demand in Asphalt Emulsions in China         81
                5 Asphalt Demand in Cutback Asphalts in China          82
                6 Asphalt Demand in Other Paving Products in China     84
                7 Roofing Products in China -- Asphalt Demand by Type  85
                8 Built-Up & Roll Roofing -- Asphalt Demand in China   88
                9 Modified Bitumen Roofing -- Asphalt Demand in China  91
               10 Asphalt Shingles -- Asphalt Demand in China          93
               11 Other Roofing Products -- Asphalt Demand in China    95
               12 Other Asphalt Products -- Asphalt Demand in China    97
  
                       (continued on next page)
                  SECTION V -- ASPHALT PRODUCT MARKETS
                1 Asphalt Demand in China by Market & Application      99
                2 Nonbuilding Construction -- Asphalt Demand in China 101
                3 New Nonbuilding Construction -- Asphalt Demand
                     in China                                         102
                4 Nonbuilding Maintenance & Repairs -- Asphalt Demand 
                     in China                                         104
                5 Nonresidential Building Construction -- Asphalt Demand 
                     in China                                         106
                6 New Nonresidential Building Construction -- Asphalt Demand 
                     in China                                         108
                7 Nonresidential Building Improvements & Repairs -- Asphalt
                     Demand in China                                  109
                8 Residential Building Construction -- Asphalt Demand 
                     in China                                         111
                9 New Residential Building Construction -- Asphalt Demand 
                     in China                                         112
               10 Residential Building Improvements & Repairs -- Asphalt 
                     Demand in China                                  114
               11 Other Markets -- Asphalt Demand in China            115
  
                  SECTION VI -- REGIONAL TRENDS
                1 Population of China by Region                       121
                2 Gross Domestic Product of China by Region           122
                3 Construction Expenditures in China by Region        124
                4 Nonbuilding Construction Expenditures in China
                     by Region                                        125
                5 Nonresidential Building Construction Expenditures 
                     in China by Region                               127
                6 Residential Building Construction Expenditures
                     in China by Region                               129
                7 Asphalt Demand in China by Region                   130
                8 Central-North Region of China: Asphalt Demand       135
                9 Northeast Region of China: Asphalt Demand           140
               10 Central-East Region of China: Asphalt Demand        144
               11 Central-South Region of China: Asphalt Demand       148
               12 Southwest Region of China: Asphalt Demand           152
               13 Northwest Region of China: Asphalt Demand           156
 
                  SECTION VII -- INDUSTRY STRUCTURE
                1 Revenue Data: Selected Asphalt Companies, 2007      159
                2 Selected Cooperative Agreements                     170
                  
                               LIST OF CHARTS
                                   
  CHART NUMBER                                                       PAGE
  
  
                  SECTION II -- MARKET ENVIRONMENT
                1 Population of China by Age, 1997-2017                13
                2 Urban Unemployment Rate in China, 1997-2007          19
                3 Interest Rates in China, 1997-2007                   27
                4 Chinese Currency Exchange Rates, 1997-2007           30
                5 Building Construction Expenditures in China by Type, 
                     1997-2017                                         40
                6 World Asphalt Demand by Region, 2007                 64
  
                  SECTION III -- PRIMARY ASPHALT
                1 Primary Asphalt Flow Chart                           68
  
                  SECTION IV -- ASPHALT PRODUCTS
                1 Asphalt Demand in China by Product, 2007             74
                2 Roofing Asphalt Demand by Type, 2007                 86
  
                  SECTION V -- ASPHALT PRODUCT MARKETS 
                1 Asphalt Demand in China by Market, 2007             100
  
                  SECTION VI -- REGIONAL TRENDS 
                1 Asphalt Demand in China by Region, 2007             131
                2 Central-North Region of China                       133
                3 Northeast Region of China                           138
                4 Central-East Region of China                        142
                5 Central-South Region of China                       146
                6 Southwest Region of China                           150
                7 Northwest Region of China                           154
  
                  SECTION VII -- INDUSTRY STRUCTURE
              1 Asphalt Market Share in China by Company, 2007        160