China Stone Association: Industry Status and Future Development Direction

**Abstract** Over the past 30 years of China's reform and opening-up, the country's economy has experienced remarkable growth, and so has its stone industry. Having developed for more than two decades, the stone industry is now at a critical stage where transformation and upgrading are essential. How can the industry seize new opportunities while addressing ongoing challenges? This question was at the heart of the 2013 China Stone Development Opportunity Summit Forum, held on the afternoon of August 28, 2013, in the Doubletree Hotel in Kunshan. Industry experts and scholars gathered to discuss the future direction of the sector. Zou Chuansheng, President of the China Stone Association, delivered a speech that highlighted key aspects of the modern stone industry. He emphasized that the real modern stone industry in China began to take shape after economic cooperation with Italy during the reform era. Advanced equipment and management practices were introduced, and the use of synthetic diamonds enabled efficient processing of brittle materials, making it possible to cut stone like metal. Today, the industry relies heavily on cold processing methods from mining to finishing, which defines the concept of a modern stone industry. Looking at the economic background, the expansion of urbanization across China—especially from the east to central and western regions—has significantly boosted the demand for stone products. Enterprises above the designated size (with annual sales over 20 million yuan) have reached nearly 300 billion yuan in revenue. However, many smaller enterprises prefer not to scale up, leading to a large number of small-scale businesses contributing another 300 billion yuan to the industry. The total value of stone used in building and decoration projects is around 560 billion yuan, with import and export trade reaching 8 billion U.S. dollars. This indicates that the industry is driven by both domestic demand and export markets. Currently, the stone industry is transitioning from an extensive growth model to one that emphasizes resource conservation and environmental protection. Traditional mining methods were often exploitative, but now, the industry must adopt sustainable practices. Growth rates have slowed since the 2008 financial crisis, from 30-40% to around 10% in recent years. Despite this, the industry still outperforms GDP growth due to factors like urbanization and changing consumer preferences. Another important challenge is structural adjustment. While the engineering market remains significant, the home improvement and residential stone market is expected to become even larger in the future. Both home improvement and tooling stone should be given equal attention. As the industry evolves, it must adapt to national development strategies and meet the growing demand for sustainable and high-quality stone products.

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