Security cable outlook is highly anticipated

As the security industry has flourished in recent years, industry applications have gradually evolved from government units to businesses, communities, and in-depth families. As an important connection and transmission medium for security systems, security cables have also been greatly developed following the full application of security systems in social life.

National Policy Brings New Opportunities for Cable Industry Development The wire and cable industry is the basic industry in China. In recent years, the national government has successively issued important documents concerning the national grid infrastructure construction. A number of UHV projects have been put into construction one after another. The wire and cable industry in China has been steadily developing. Large-scale enterprises have obvious advantages in terms of market competitiveness and strong profitability; small and medium-sized enterprises have better asset operating capabilities; private enterprises have flexible market-based operating mechanisms and rapid development, and their advantages in wire and cable manufacturing enterprises in developed coastal regions are obvious. In terms of assets, the current state-owned economy accounts for only 15%, the foreign-funded enterprises account for nearly 25%, and the private economy accounts for more than 60%. East China is the most important manufacturing area in the wire and cable industry, accounting for 50% of the country's assets and output value, forming 60% of sales, and winning 70% of the industry's profit.

On March 16, 2011, the State Council promulgated the "Twelfth Five-Year Plan for National Economic and Social Development of the People's Republic of China" and put forward the requirement of accelerating the grid connection of large-scale cross-regional transmission and new energy generation to accelerate the construction of a modern power grid system. Expand the scale of West-to-East Power Transmission Improve the development of regional backbone power grids and other high-capacity, high-efficiency, and long-distance advanced transmission technologies Relying on advanced technologies such as information, control, and energy storage, promote the construction of smart grids, and strengthen the construction and transformation of urban and rural power grids. Power capacity and power supply reliability." In the next 10 years, the construction of China's power grids will enter a new phase of comprehensively promoting the optimization of deployment of resources from the west to the east, the north and south mutual supply, and the nationwide networking.

As the construction of China's power grid has accelerated and UHV projects have been put into construction, a huge market has been created for the wire and cable industry. Relevant sources pointed out that the wire and cable industry will remain in the best period of historical development, but at the same time it also faces the challenges of intense competition and homogenization. Experts predict that in the next few years, the development speed of China's wire and cable industry will be higher than the national economy, and it is expected to reach more than 10%. At the same time, it can be predicted that China's power grid construction will usher in a golden period, which will bring a new round of development opportunities for the entire wire and cable industry, especially the backbone enterprises within the industry.

The domestic market is the biggest advantage of security cables due to the low barriers to entry in China's wire and cable industry, the uncontrolled investment in production scale, the serious phenomenon of low-level redundant construction, and the low degree of concentration. Many simply do not have the necessary means such as production capacity, quality control and testing. The "workshop-style enterprises" have also been removed from them. Coupled with the operating pressure caused by the continuous rise of raw materials, counterfeiting, shoddy work, cutting corners, and shoddy products continue to ban, "non-standard" products are prevalent. As a result, not only is there a huge hidden security risk, but also the enterprises and distributors that are legally produced are struggling. At the same time, foreign-funded enterprises are eager to enter the Chinese market and occupy an absolute dominant market share in the high-end market. However, only a few cable varieties in China can meet the level that the international market can accept and can participate in competition, in high-performance, high-quality, There is still a big gap between high-value-added cables and international brands. In addition, with the promulgation of European Union WEEE Directives, ROHS Directives, and EUP Directives, a wave of greenery has been set off across the globe, which has caused many Chinese wire and cable manufacturers to encounter a trade barrier in the export process, and the competitiveness of the international market has been met. weaken.

The biggest advantage of Chinese cable companies lies in the impressive domestic demand market. With the growth of the national economy, it is only a matter of time before China creates a world-class cable company. In the past 30 years of reform and opening up, China's wire and cable industry has continued to grow and develop. It has made important contributions to the development of the national economy and scientific and technological advancement. At the same time, cable companies with production and sales scales of up to 10 billion yuan have emerged. The basics of cable companies. To become a truly world-class enterprise, Chinese cable companies must not only pursue quantitative expansion, but also pay more attention to comprehensive development in the aspects of global brand image, business model, technological innovation, and social responsibility.

The diversified development prospects of the security cable product market can be expected in China. With the rapid development of the national economy and information technology, the country’s investment in power grid construction has increased, coupled with the rapid development of the domestic security industry, which requires a lot of wires. Cables, which have stimulated the tremendous development of the domestic wire and cable industry. According to incomplete statistics, the cable market is increasing at an annual rate of 8% to 12%, and the security cable is rapidly growing at a rate of 15% to 20%. Compared with electric power, telecommunications, radio and television and other industries, the security cable industry has objective conditions such as late start-up, backward technology and equipment, and small industrial scale. The major manufacturers of domestic cables mainly focus on the Yangtze River Delta and the Pearl River Delta. According to the scale of the company and the characteristics of the company, it is generally divided into: foreign-funded enterprises, domestic professional companies, and general small-scale enterprises.

Foreign-funded enterprises also look to the huge potential of China's wire and cable industry and set up factories in China in order to break into the Chinese cable market. Such as the United States Belden, Italy Pirelli, France Nexans, and other famous cable brands. These companies' products cover almost all wire and cable product areas, ranging from 220 to 500 kV high-voltage and ultra-high-voltage cross-linked cables to tiny electronic cables. The size of the factories is very large or small. However, due to relatively high prices, these branded products are generally used in high-demand professional markets, so their market share will not be too high.

Domestic security cable leading enterprises, such as Shenzhen Lianjiaxiang, have good product quality and reasonable prices. At present, the company is also developing on a large scale; Guangzhou Yuedao is a weak cable company that has developed rapidly in recent years in China; It is a joint-stock company that produces high and low voltage electrical complete control equipment, ship (ship) cables and weak cables; Epson is jointly invested by Wharton International (Hong Kong) Investment Co., Ltd. and Shanghai Aipu Electronic Cable System Co., Ltd. The high-tech enterprise established has a high technological content of cable quality; Ningbo Zhouzhou is one of the largest professional intelligent building system engineering design and product manufacturing enterprises in China. These companies have advanced professional equipment, have professional R & D and production technology, product quality is stable and up to standard, they occupy 70% of the domestic security cable market share.

Private small businesses are mostly small companies that invest in individuals. Although some companies have a certain level of production capacity, most companies still stay in the small workshop-style production stage, investing only a few hundred thousand yuan to purchase a few necessary production equipment. For processing and production, most of their production processes need to be completed manually. There are no professional testing equipment and testing methods, and production process management is confusing. On-site production workers are both manufacturers of products and inspectors of products. Such non-standard production will result in the emergence of inferior cable products such as counterfeiting, cutting corners, and low performance, affecting the operation and development of the cable market.

Although China's security cable companies are experiencing mixed results, there are backbone forces that have been advertised as Lian Jiaxiang, Yindao, Diyi, Akihabara, Unicom, Epson, and Tiancheng. With a certain amount of R&D and production strength, they stand out in the competition of security cable disorder, which promotes the continuous advancement of security cable technology.