Wire and cable market prospects to accelerate industry integration

Although the wire and cable industry is only a supporting industry, it occupies a quarter of the output value of China's electrical industry. At present, the development and large-scale adoption of eco-friendly wires and cables has become an international trend. At present, the application of flame retardant and fireproof wire and cable at home and abroad has been expanded to many fields. The wire and cable industry is the second largest industry in China after the automobile industry. The satisfaction rate of wire and cable products and the domestic market share are both over 90%.

 

Statistics from the Prospective Industry Research Institute show that China exported 530000 tons of wires and cables in the first quarter of 2018, an increase of 3.9 percent over the same period last year. Looking at the export volume of China's wires and cables from 2013 to 2017, the export volume has been increasing in the past five years, with an average annual compound growth rate of 5.44.

 

TMR, an international market research organization, recently released a cable market research report, saying that the annual compound growth rate of the global cable market in 2018-2026 is close to 4.1. By 2026, the global cable market will continue to be influenced by a range of macroeconomic and industry-specific factors. The Asia-Pacific region is likely to continue to be at the forefront of global demand, with the region's market expected to grow at a CAGR of 4.8 percent through 2026, higher than the global average.

 

Future Trend Forecast of Wire and Cable Industry

 

Since 2017, my country's quality inspection department has increased the supervision of the wire and cable industry. Under the heavy pressure of policies, the wire and cable industry will accelerate integration in the future, and industry mergers and acquisitions will continue to deepen. As an industry with full competition, there will eventually be several Leading companies stand out. In addition, the rise in the prices of copper, aluminum and other major raw materials makes it difficult for small and medium-sized enterprises to meet the needs of the new situation, and increases the difficulty of enterprise capital management and the demand for hedging. Enterprises with backward management level will be eliminated at an accelerated pace. With the high-end of China's power grid construction and construction projects, the market's preference for product quality is becoming stronger than the preference for price, only a few high-quality large enterprises will grow faster than the average growth rate of the industry, thus eventually growing into the industry leader.

 

The national "the belt and road initiative" strategy brings great opportunities for the cable industry to "go global"

 

The "the belt and road initiative" national strategy brings rare opportunities to the wire and cable industry. From a domestic perspective, the "Belt and Road" covers 16 provinces. At present, various provinces and cities are actively responding and launching some key projects one after another. Xi'an City alone has launched 60 "Silk Road projects". From an international point of view, the six major corridors are even more exciting, and the construction of high-speed rail alone will reach 81000 kilometers. The continuous acceleration of the export of power and railway transportation equipment will drive the rapid development of the regional economy along the line, and the demand for power construction in relevant countries will continue to grow. These will have a profound impact on the wire and cable industry "going out" and major development opportunities.

 

At present, the domestic market in urgent need of development of product varieties are:

 

(1) Special overhead line

 

Special overhead lines with special requirements can be produced in China, but there is still a big gap compared with foreign advanced level in terms of technical performance such as high heat resistance, high corrosion resistance, creep resistance, flexibility and high conductivity. Another example is the split overhead line, in corrosion resistance, anti-vibration, anti-ice and snow, low corona loss, low arc halo loss, low arc volume, double capacity and other technical performance indicators there is a gap. In order to meet the needs of the Three Gorges and other major projects, special overhead lines need to be vigorously developed and improved in product varieties and product performance.

 

(2) Nuclear power plant cables

 

Nuclear power plant cables are distributed in the nuclear island, conventional island and BOP parts of the nuclear station for power transmission, control, computer, instrumentation, etc. The type of cables required for a nuclear station is basically the same as that of a thermal power station. However, due to the strict technical performance requirements of nuclear power plant cables such as halogen-free, low smoke, and low toxicity, my country can only produce and manufacture wires and cables for the periphery of nuclear islands, and most of the rest can only rely on imports. There are 276 nuclear power plants in the world, generating 343792MWh, accounting for 17% of the world's total power generation, and more than 10 countries have nuclear power generation accounting for 25% of their total power generation. It is estimated that by 2010, China's nuclear power installed capacity will reach 20000MW, accounting for 17% of China's total power generation, with great potential for development. Therefore, cables for nuclear power plants have good market prospects.

 

(3) low smoke low halogen, low smoke halogen-free flame retardant cable

 

This product is mainly used in some important places such as subways, tunnels, oil platforms, ships, power stations, etc. The above-mentioned related industries are currently in a stage of rapid development, which will further stimulate the demand for this product.

 

(4) Wiring for automobiles

 

"During the Ninth Five-Year Plan period, China's automobile industry will maintain sustained and rapid development. In 2000, the annual output of cars and trucks is expected to reach 3 million, so there is a great demand for this product. The future development trend of the product is high temperature resistance, high damping, thin-walled and shielded.

 

(5) High flame retardant cable

 

At present, the domestic mass production of flame retardant cables are mostly C- grade, B- grade, A- grade is still in development, which is still a big gap with the current requirements of many high-quality engineering projects in China, the development direction during the "Ninth Five-Year Plan" period is to achieve A- grade flame retardant complete supporting a variety of cables.

 

Conclusion: Wire and cable as one of the main supporting industries established in China's national economy, with the progress of the country's industrialization level, the perfection of the foundation and the progress of urbanization, the cable industry will surely mature, and the "new look" cable industry will inevitably welcome the arrival of the era of power intelligence with a more calm posture. With the extensive use of the skills and continuous improvement, the cost of the system will also be significantly reduced, will become an important industry in the 21st century, for the national economic growth to bring great contribution.

Article link: China Security Exhibition Network http://www.afzhan.com/news/detail/68197.html