With the popularization of concepts and knowledge of reproductive health as well as the improvement of people's living standard, the condom use rate shows the continuous increasing trend. Coupled with its unique effects on the prevention against venereal diseases and AIDS, condom expands itself from single contraception to various functions including contraception, prevention against venereal diseases and AIDS as well as improvement of sexual life quality.

Before 2002, condoms belong to the scope of Chinese sanitary product management. The relatively strict management by the government led to low output and limited market scale. Since 2002, the Chinese government has released the control and management of the condom industry, which makes China's condom industry develop rapidly. In 1995, the annual output of China's condoms was only 1 billion and that in 2010 was over 9 billion. By the end of 2010, the annual production capability of China's condoms had already beyond 10 billion. In addition to meeting the domestic demand, the condoms made in China are exported to South Africa, Singapore, Russia and other countries in large volumes.

The condom industry is a relatively special industry in China and its market can be divided into two parts. The first part is government procurement. The Chinese government purchases about 2 billion condoms for free distribution every year, which are used for family planning and prevention against venereal diseases. This part of the market is purchased by the governments at all levels from designated enterprises. There were 15 designated enterprises in China in 2010. Although the condoms purchased by the Chinese government are in large volumes, their average unit price is very low with only CNY 0.15-0.50 per piece.

The market outside government procurement belongs to commercial condom market. This part of market suffers fiercer competition. There exist a large number of condom brand enterprises in China. Its number reaches over 200. Most of these enterprises do not produce condoms and they sell the condoms after packing through domestic order or procurement of imported condoms in bulk. The retail price of condoms sold in Chinese commercial condom market in 2010 was CNY 0.50-20 per piece. In 2010, the market reached the scale of over CNY 5 billion with higher profit margin, which was the hot spot of competition among enterprises.

Condom manufacture belongs to a labor-intensive industry. Compared with the developed countries, China has relatively low labor costs and products with obvious price advantages. Compared with other developing countries, China's condom manufacturers have obvious advantages in terms of manufacturing technology and prices. Therefore, the export value of condoms by China every year reaches tens of millions of dollars. The condoms are mainly exported to South Africa, Russia and other countries, and some of the condoms are purchased and distributed to the countries having projects by the World Health Organization and United Nations Population Fund.

Since some Chinese people consider that the quality of the imported condoms is superior to that of the domestic products. Therefore, China imports condoms in large volumes every year, mainly from Malaysia, Thailand, Japan and other countries.

Since 1980, premarital sex and commercial sex have presented the rapid growth trend, which increases the demand for condoms. Although the Chinese government cracks down the commercial sex, the Chinese government has begun to require that nightclubs, hotels and other public places set up condom distribution machines to reduce the transmission of AIDS and other venereal diseases in the case that they are not eliminated.
With the rise of consumption level of Chinese people, the number of married women at reproductive age who have given up contraceptive drugs and intrauterine devices but chosen condoms as contraceptive measure will continue increasing.

Combined with various factors, it is predicted that the demand for condoms in China will continue increasing in the next few years.

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