| The Chinese security market for fire detection and suppression products will be worth over $1 billion by 2014 |
The impact is quantified in a new report by IMS Research, which estimates that by 2014, the Chinese market for fire detection and suppression products will be worth over $1 billion, growing at a CAGR of 12.9% (2009-2014).
The driving force behind this growth is that the fifth meeting of the Standing Committee of the Eleventh National People's Congress made amendments to China's fire laws. These amendments came into force on May 1st 2009, and are set to impact the way in which fire detection and suppression equipment is used within buildings in China.
Market analyst, Bo Zhang, commented: "With enterprises facing increased liability concerns on the back of new legislation, the Chinese market is forecast to see a switch in attitude towards fire detection and suppression equipment and a new interest in quality, reliable product."
Zhang continues: "New fire laws are also forecast to generate increased service and maintenance revenues with building owners now required to pay more attention to the upkeep of their fire equipment."
The legislative impact could be even greater in the future, as Zhang explains: "While the new amendments to China's fire laws are set to have the largest impact on the China fire market in the short-term, there are also a number of underlying laws that are still in negotiation that if published could also impact the future growth of this market."