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China is the world’s largest tomato paste and purée exporter, with 2004 exports of 438,192 tons. China continues to make inroads in the world market. In the last few years, China has bought major tomato processors in the EU. As a result, European exports of tomato paste and purée have declined. From 2002-2004, EU25 exports of paste and purée decreased 23 percent, while China’s rose 34 percent. China continues to expand tomato production and processing capacity. In marketing year (MY) 2005/06, fresh tomato production was 34.9 million tons, 2 percent more than the previous year. Additionally, tomato paste production for the same year reached 722,500 tons, a 6-percent increase over MY2004/05. Chinese exports of fresh tomatoes and processed products are also expected to grow. Currently, China exports small quantities of fresh tomatoes to neighboring countries. However, stringent pesticide residue requirements have recently restricted Chinese vegetable exports to Japan and other major importers, but this is expected to change since China plans to tighten its pesticide requirements. Additionally, Chinese tomato exports for processing are likely to expand as China continues to purchase processing plants in France and other key countries.