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Second Generation ID Card Sparks Chinese RFID Market

Thanks to the arrival of the second generation ID card in China, the sales revenue of China's domestic RFID market rose from CNY226 million in the second quarter to CNY568 million in the third quarter of the year, an increase of 151.13%.

Analysys' latest report "Consumer Electronics – 2005 Third Quarter China RFID Market Statistics" says that the second generation ID card is the main application market for RFID in China, and the enrolling of new students at college was a major drive for the increase in the quarter.

The report also cites the factors that limit RFID's application in China, saying that the first factor is the high cost, and the second one is that there is no unified standard, which as a result makes some of RFID functions not deployable.

In consideration of China's overall national status quo, analysts from Analysys suggest that China push the development of RFID through its manufacturing industry instead of through its retailing industry.

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