Real estate ** or good paint industry development

The development of real estate has a direct impact on the development of the paint industry. However, in 2013, the real estate industry was somewhat unpleasant. Many real estate companies started to become popular. Then, how will the normalization of real estate property affect the property market? Will this happen? What is the turning point in the paint industry? We are now doing the following analysis.

The real estate industry develops slowly under the strict control of the property market. In the short term, real estate companies may raise land prices and house prices after financing. However, in the long run, housing prices are ultimately determined by supply and demand. After liberalizing the financing, real estate companies will obtain funds and increase investment, which will help expand supply and stabilize housing prices. Not only that, after developers are no longer in short supply of capital, in addition to increasing the supply of residential real estate, they will also develop real estate projects for industrial real estate and urban infrastructure support services, which will play a positive role in promoting economic development. Therefore, in general, the country's letting go of housing prices is still better than harm.

At present, China's paint market feels pressure, rising costs, fierce competition, sluggish downstream demand, industrial environmental protection upgrades, and so on. Coupled with the continued downturn in the overall economy, the paint market is extremely cold. In the face of high costs and low demand, industrial structure upgrades and other heavy pressure, the paint industry production pressure continues to increase. However, the country’s reform of housing enterprises’ policies may bring new demand growth points to the paint market. The steady development of the real estate industry will surely drive the improvement of the market for construction and decoration, and the paint market related to them will have to meet demand in the short term. With a small growth rate, the demand will be more stable and long-term in the long run.