¥3,600 per year infant subsidy: The Link Between Polypropylene Raw Materials and the Infant Products Industry

Lead-in: On July 28, 2025, a significant livelihood policy was unveiled. The implementation plan for the national childcare subsidy system clearly announced that starting from January 1, 2025, families with children under the age of 3 who are legally eligible for childbirth will receive an annual childcare subsidy of 3,600 yuan until the child reaches the age of 3. This policy is expected to benefit over 20 million families with infants and toddlers each year, playing a positive role in reducing the cost of childbearing and upbringing. Meanwhile, what role does polypropylene play in the infant and toddler products industry? What kinds of products related to infants and toddlers are associated with polypropylene? How will the implementation of this policy promote the consumption of polypropylene materials?

I: Polypropylene: Excellent Product Characteristics Help It Become the Cornerstone of the Infant Industry

From the comparison of the characteristics of the five major general-purpose plastics, different products have varying characteristics, resulting in their application in different fields of infant products. Polypropylene is mainly used in products that can be in direct contact with infants, such as baby bottles, tableware, and baby diapers. The main reason is that polypropylene is non-toxic, odorless, and heat-resistant, making it highly favored in the field of infant products.

Polypropylene Products Vary: Infant Products Account for Over 30% of Its Applications

Data source: Longzhong Information

From the tracking of downstream applications of polypropylene, homopolymer injection molding accounts for as much as 16.7%. Its downstream applications include infant toys, supplementary food tools, and disposable tableware. Due to its characteristics of being wear-resistant and capable of high-temperature sterilization, it has become an ideal choice for raw materials used in infant utensils.

Baby diapers account for a large proportion of polypropylene raw material consumption. According to tracking data from Longzhong Information, fibers account for 9% of downstream applications of polypropylene, among which spunbond nonwoven fabric is the main raw material for baby wipes and diapers. Due to its softness, breathability, and good liquid permeability, it can effectively keep a baby's skin dry and comfortable, making it the preferred choice for infant hygiene products.

In addition, 80% of baby bottles worldwide are made from polypropylene (PP) materials. PP bottles include various types such as standard, wide-neck, anti-colic, and leak-proof, meeting the needs of different consumers. With technological advancements, new PP bottles with added antibacterial agents and anti-drop materials are continuously emerging, in addition to traditional PP materials. Transparent polypropylene, as an important modified variety of polypropylene, is particularly suitable for baby bottles and other utensils that require high transparency and need to be used or sterilized at high temperatures due to its excellent heat resistance.

3: Conversion of Finished Products to Polypropylene Raw Material Consumption - Nearly One Million Tons of Polypropylene Consumed Annually for Baby Products

Hygiene products: Taking diapers as an example, children under one year old consume about 10 diapers per day, totaling around 3,000 diapers per year. Each diaper contains approximately 20 grams of non-woven fabric, of which 80% is polypropylene fiber material. Therefore, each child uses approximately 0.048 tons of fiber material per year. Based on the newborn birth rate calculation, 0.048 * 9.6 million equals 460,000 tons. Hence, the annual consumption of polypropylene fiber material for newborn diapers is roughly 460,000 tons. In addition, the consumption of polypropylene materials for disposable underpads, sanitary wipes, etc., exceeds 100,000 tons annually.

Daily necessities Due to the wide variety of products such as toys and complementary food utensils, it is impossible to estimate their raw material consumption directly. Therefore, we deduce it from the downstream applications of homopolymer injection-molded polypropylene. Among the downstream products of homopolymer injection molding, toys account for about 30%, of which infant products make up approximately 20% of the entire toy industry. Thus, the annual consumption of polypropylene raw materials for this sector is: 3.566 million tons (actual downstream consumption of polypropylene raw materials) * 16.7% * 30% * 20% = 357,000 tons.

Baby bottle The consumption proportion of polypropylene raw materials for infant feeding bottles is relatively low. The weight of a single bottle is about 140g. Based on an estimate of 3 bottles per child per year, 0.00014*3*9.6 million = 4,032 tons. Therefore, using the highest bottle conversion rate, approximately 4,000 tons of transparent polypropylene are consumed annually.

Overall, In the downstream industries of polypropylene, baby products account for a relatively low proportion, consuming about 3% of polypropylene raw materials. However, the number of newborns and the purchase of newborn products involve various aspects of society and the economy.

4: Interpreting Subsidy Policies from a Policy Perspective to Stimulate Demand for Infant Products

The implementation of the national childcare subsidy system has directly increased the disposable income of families with children. For many families, although the annual subsidy of 3,600 yuan may not seem like a large amount, over time it can play a certain role in the purchase of infant and toddler supplies.

On one hand, for families already struggling with childcare expenses, the subsidy is like a "timely rain." They may use this funding to purchase essential infant products such as baby formula, diapers, and bottles. Take diapers as an example; a baby might need approximately 200-300 diapers per month. Based on a moderate price range, monthly diaper expenses could be around 200-500 yuan. A portion of the childcare subsidy can be directly used to cover these expenses, allowing some families more options in choosing diapers, and potentially prompting some families to switch from lower-end products to higher-quality, more comfortable ones.

On the other hand, for families with relatively better economic conditions, subsidies may make them more willing to try some high-end and new types of infant products. As consumers' demands for the quality and safety of infant products continue to rise, many products with innovative features and environmentally friendly characteristics have emerged in the market. These products have indirectly or directly promoted the consumption of polypropylene materials and the upgrading of products.

In summary, the "annual subsidy of 3,600 yuan for each child under three years old" forms a close industrial link with polypropylene raw materials through the infant products industry. This connection not only promotes the development of the infant products industry and increases the consumption of polypropylene raw materials but also injects new vitality into social and economic development. In the future, with the continuous advancement and deepening of policies, the industry will also upgrade and innovate to adapt to this change. The synergy of industrial linkage will play a greater role, bringing more positive impacts to families, society, and the economy.