Experts talk about China's low-voltage electrical appliance market
Oct 25, 2022
Industry Concentration and Enterprise Economic Scale
Low voltage electrical apparatus manufacturing enterprises in China are mainly concentrated in Beijing, Tianjin, Liaoning, Shanghai, Jiangsu, Zhejiang and Guangdong, and the distribution of enterprises is generally reasonable. There are several problems in the economic scale of enterprises:
(1) The enterprise organization is small and scattered. Lack of competitive strength and advantages. At present, there are few manufacturers of low voltage electrical appliances in China that have entered the national large enterprises, and the small and medium-sized enterprises account for more than 90% (large enterprises with annual sales revenue and total assets of 500 million yuan or more; medium-sized enterprises with annual sales revenue of 50 million yuan or more; and small enterprises with annual sales revenue of 50 million yuan or more).
(2) Regional structure convergence fails to reflect comparative advantage and collaboration benefits. In the 20 years since the 1980s, the number of low-voltage electrical appliance plants has increased from more than 600 to more than 1000. As a result of blindly going to projects and shops, there is a serious phenomenon of regional industry convergence, low economic benefits, low-level repeated construction, resulting in product backlog, waste of energy and materials, and low economic benefits.
(3) The technical structure is unreasonable, and the technical equipment level of major industries is low. According to statistics, among the main technical equipment of the enterprise, only 1/3 of them have advanced technical and economic performance. Only about 18% of the leading products of key enterprises reached the international technical level in the 1990s.
Market sales volume structure
The sales market of low-voltage electrical appliances in China is mainly in China, supporting power generation equipment, automatic control equipment, etc. According to statistics, for every 10000 kW of new power generation equipment, about 40000 pieces of various low-voltage electrical appliances are required to support it, including about 230 frame type air circuit breakers and about 2200 molded case circuit breakers. In addition, the ratio of total installed capacity of low-voltage apparatus and motor is about 0.5 piece/W. That is to say, a set of 300000 kW power generation equipment needs 1.2 million pieces of various low-voltage electrical components, including 6900 frame type low-voltage circuit breakers and 66000 molded case circuit breakers.
Product import and export trade structure
Low voltage electrical appliances are not imported in many varieties and quantities, which are restricted by relevant government policies. In general, only low-voltage electrical components required in key projects that cannot be produced domestically can be considered for import, and in another case, products of a large foreign company must be selected as designated by foreign investors.
The number of low-voltage electrical appliances exported is not large and the amount is not high
(1) Processing with foreign materials and exporting products.
(2) Introduce foreign technology or equipment, and sell the products back to the other party -- compensation trade.
In recent years, the State Economic and Trade Commission and the State Machinery Industry Bureau have formulated measures to support and encourage the export of mechanical and electrical products. In 1999, the Ministry of Foreign Trade and Economic Cooperation (MOFTEC) put forward 9 suggestions on this issue, and the export volume of low-voltage electrical appliances in that year has increased significantly.
