The current situation facedby the plastics industry in Guangdong Province is that the industry ishighly concentrated in the narrow Pearl River Delta region. Insufficient landand rising land prices are irreversible factors, which increase the cost ofbusiness operations or expansion. The international oil price fluctuatesviolently under the influence of the financial crisis, making it highlydependent on oil and has been at high prices for many years. The price ofsynthetic resins in the industry fluctuates sharply. The plastic productmanufacturing industry at the end of the petrochemical industry chain willcontinue to face this Kind of situation. For most time of 2008, the price costsof energy and raw materials squeezed most of the company’s profits.