China’s Printer Cartridge Aftermarket Remains Positive

The People’s Bank of China has cut benchmark interest rates for the first time in 2 years in an effort to prop up growth as the country’s economy continues to slow.

Growth in China’s vast factory sector stalled this month, with fewer goods being made for the first time in six months. Reuters newsagency suggests it’s a sign that the Chinese economy, the world’s second-largest, may be losing traction. Reuters suggests China is being hurt by a cooling property sector, unstable foreign demand, and a slackening off in domestic investment.

Despite China’s economy posting its weakest annual growth in 24 years this year, at 7.4 percent, it remains 3 to 5 times stronger than the economies of the USA and Europe.

In the printing consumables sector, analysts expect more aftermarket print consumables factories in China to close in 2015. Demand for patent infringing cartridges from China continues to drop as key markets in the USA and Europe reject them for fear of legal reprisals from the OEMs. And the low pricing policy of Chinese companies seeking foreign markets has caused some to stumble as well.

However many remanufacturers and manufacturers of non-infringing aftermarket print consumables say they continue to see growth. New factories like those of Ninestar and Mito continue to be opened as the demand for non-infringing printer cartridges continues to boom.

Watch more: China slumps?