When thinking of products typically associated with China, sex toys may not be the first thing that comes to mind. However, more than 95 percent of the world’s sex toys are manufactured in China and the country’s market share is only expected to grow.

Distrust of Chinese goods abroad has ensured that the US, Europe and Japan continue to dominate the lucrative world of “high-end” adult products. Yet according to Lin Degang, CEO of adult product manufacturer, Chunshuitang, the company expects to sell 30 million yuan ($4.6 million) worth of products this year, with an aggressive plan to expand into the US and European markets.

Lin expects that within two years, even the “high-end” market will be completely dominated by Chinese companies. “Chinese firms have advanced industrial design and high-tech development abilities, as well as relatively low talent cost,” he said.

Lin is not the only CEO looking to capitalize on the lucrative US and European markets. At the recent China Adult-Care Expo a number of Chinese companies were keen to show-off new cutting edge adult technologies such as wireless connections, automatic vibration, and virtual reality.

There is a certain sense of irony in China’s global domination of the sex toy industry, however. Pornography remains illegal in China, with strict regulations preventing depictions of nudity and sex. Because the country does not have a rating code for different age groups, culture or art must be made appropriate for all ages.