An EU-based heating system manufacturer is now looking to localize its production here in China to tap into the growing business in the country's southern regions.
BDR Thermea, which exports more than one tenth of its products to China, typically cooperates with property developers in northern China, where existing homes usually have access to centralized heating.
But in southern China, which - by law - doesn't have central heating, is becoming an increasingly lucrative market, as more and more home-owners look for a more comfortable life in winter.
For more on heating here in China, we are joined on the line by Gao Shang, analyst with Guantong Futures.
1. How much viable potential is there for a company like BDR in Southern China?
2. How much of a strain would winter heating in southern China have on the natural gas supplies here in China?
3. When it comes to natural gas prices in China, what is the pricing scheme like? How much does the government subsidize the sector? And what are global prices like at the moment?
