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Ban 'unlikely' to hurt manufacturers

By Jiang Jingjing (China Daily)
Updated: 2007-06-23 08:39

China's home appliance manufacturers will not be affected by a recent ban
on the use of CFCs as a refrigerant, according to industry experts.

"The new policy will have little impact on the overall industry. But
small players still face tough decisions - upgrade their technology or
lose market share," Jiang Feng, secretary-general of the China Household
Electrical Appliances Association, told China Daily.

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Jiang said all large and medium-sized home appliance producers have
already replaced CFCs, or chlorofluorocarbons, with R600a, a new
environmentally friendly refrigerant, in the manufacture of refrigerators
and other products. But she pointed out there are still some small-scale
factories using the old technology.

CFCs, which are known to cause damage to the ozone layer, were widely
used in products such as refrigerators, ice-makers, ice-cream makers,
water dispensers and rice cookers.

But China's home appliance manufacturers have been replacing CFCs in
their products since the early 1990s, in line with the Montreal Protocol.

Products containing CFCs are rarely seen in China's urban markets, Jiang
said, but some still exist in small towns and villages.

Fu Li, public relations manager of Beijing-based home appliance retailer
Dazhong Electronics, said the company had removed all products containing
CFCs from its shelves several months ago. Fu said Dazhong's products are
now equipped with newer technology.

Jiang said the ban would not impact China's exporters.

China's five ministries issued a ban on the use of CFCs as a refrigerant
in the home appliance industry, effective from the beginning of next
month.

A ban on products containing CFCs from being sold, imported or exported
has been in place since September 1.

The ministries include the State Environmental Protection Administration,
the National Development and Reform Commission, the Ministry of Commerce,
the General Administration of Customs, and the General Administration of
Quality Supervision, Inspection and Quarantine.

Emerging scientific evidence of a link between increasing emissions of
CFCs and damage to the ozone layer prompted scientists and
environmentalists to push for an international agreement to ban the
substance. A pact, known as the Montreal Protocol, was signed in 1987.

(For more biz stories, please visit Industry Updates)

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