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Analysis of current situation of Yueqing Electric power fittings industry
Industry dynamic- 2022-04-15

Power fittings are metal accessories that connect and combine all kinds of devices, transfer machinery, electrical load and play a protective role in the power system, which play an important role in power transmission and transformation projects. Product quality is not only related to the safe operation of power grid, but also related to the safety of human life and property.  

Yueqing electric power fittings industry develops rapidly. After more than 20 years of development, sales volume has occupied 70% of the national market, forming a mode of production and sales. The industry in the eyes of many laymen is a lot of business opportunities to find the hot bun, but in the eyes of pedestrians, but each has a difficult to read. The author has made a detailed survey of enterprises of different sizes in Yueqing area. Different enterprises face different problems, some are common, some are different angles, different degrees of development and different problems.

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For small and medium-sized companies, the appliance industry is both a source of fascination and a source of grief. There are the following problems in the electric power metalware industry: 1. The threshold of metalware industry is relatively high, the fixed assets investment of metalware factory is high, and the investment of equipment mold is large; 2. It is difficult to enter the industry without a relatively large amount of capital when equipped with one-stop production line equipment. 3, the state monopoly is strong, the market as a whole has not been fully opened, the state regulation components are more. For some large projects, bidding requirements are strict and tests are numerous.4. It is greatly affected by the fluctuation of raw materials. The raw materials of electric power fittings include copper, iron, aluminum and plastic, among which the fluctuation of copper price is the most significant, which seriously affects the production and cost control of enterprises. 

 For enterprises that have developed into a certain scale, on the one hand, they spend a lot of energy and strength in the low-price and disorderly price war. Every year, new enterprises constantly enter the industry, in order to share their own land in the market, they do not hesitate to use low price as a weapon to try to expand their territory. Product positioning, on the other hand, death, everything must be done in strict accordance with the national standard, but if done according to the old standard, all products are the same, and the hardware product production process as much as 17 to 20 working procedure, and there is no outsourcing, a water line are enterprise yourself down, the overall rate of return on investment is lower, and the advantage of market is not big. 

 In the survey, the author found that enterprises in the electric power fittings industry generally feel that it is difficult to do, the particularity of products, the low rate of return on input and output, the imperfect market and other problems are still many factors restricting the development of the industry. However, although they feel the difficulties of the current development, they are still full of confidence in the prospects of the industry. There is a large space for the market to rise and for development. The future is bright, but the road is still tortuous.




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