The cost of corrosion in China

Abstract

Corrosion is a ubiquitous and costly problem for a variety of industries. Understanding and reducing the cost of corrosion remain primary interests for corrosion professionals and relevant asset owners. The present study summarises the findings that arose from the landmark “Study of Corrosion Status and Control Strategies in China”, a key consulting project of the Chinese Academy of Engineering in 2015, which sought to determine the national cost of corrosion and costs associated with representative industries in China. The study estimated that the cost of corrosion in China was approximately 2127.8 billion RMB (~ 310 billion USD), representing about 3.34% of the gross domestic product. The transportation and electronics industries were the two that generated the highest costs among all those surveyed. Based on the survey results, corrosion is a major and significant issue, with several key general strategies to reduce the cost of corrosion also outlined.

Economics: What corrosion cost China in 2014

It is estimated that the effects of corrosion in China cost approximately $310 billion USD in 2014. Corrosion is a costly issue, justifying substantial expenditure into techniques to protect and mitigate susceptible metals from its effects, and research investment. China has seen rapid growth in its economy in recent times, driven in part by investment in industry. In order to understand the monetary impact of corrosion in China, The Chinese Academy of Engineering instigated a nationwide study led by the Institute of Oceanology, Chinese Academy of Sciences. It estimates that approximately $310 billion USD was lost to the consequences of corrosion and money spent addressing it in 2014, accounting for 3.34% of GDP. Transportation and electronics industries generated the highest costs. Several recommendations are made, including the need for a government-coordinated national strategy.