China's cheap chemicals find their way into paint, shampoo and other everyday goods worldwide

China, which once knew hunger and poverty, has become an important country on the strength of its own hard work. With rapid progress in nearly every sector, it is moving towards superpower status. Its dominance in the global market is no longer limited to electronics, mobile phones and finished goods. China has also made a big leap in chemical manufacturing.

Cheap chemicals shipped out of China are going into countless everyday products around the world. Chinese chemicals have an indirect hand in many products, among them house paint, sofa foam, plastic garbage bags and bathing shampoo.

The strength of China's chemical industry lies in its large production capacity and relatively low costs. Raw material is available in large quantities, industrial infrastructure is strong and production prices remain competitive. This is why demand for Chinese chemicals persists in the international market. An industry report by BASF says China accounts for nearly half of the world's chemical production.

The war under way in the Middle East in 2026 has affected many countries. Many small and large industries are finding it hard to operate. As a result, several chemical producers in Asia are facing difficulties in the supply of raw materials.

China, by contrast, has large capacity for coal-based chemical production as well as stocks of crude oil, and has therefore gained comparatively. In March 2026, exports of some Chinese chemical products recorded a big increase. China is becoming an important supplier for many Asian countries, including India.

China's cheap chemicals lower production costs for many industries. But depending too heavily on a single country can bring risks, such as broken supply, sudden swings in prices and trade restrictions. This is why different countries are pushing to build up their domestic chemical production capacity. China's growing influence, from household items to large-scale industrial production, clearly shows the change under way in the global economy.