Pump and valve industry: low-end product surplus high-precision products rely on imports

After several decades of development, China's pump and valve industry has basically achieved self-sufficiency in its main products and exported some products. At the same time, the valve and valve industry has also witnessed serious competition in the low-level homogeneity of enterprises, relatively low-end generic products, and some high-precision and special pump and valve products such as large-scale nuclear power and large-scale oil and gas pipelines, which still rely on imports. The entire industry is facing the 'shuffle' and integration of quantitative expansion to qualitative development and sustainable development. This is the information that the reporter obtained from the 2006 Second China (Yongjia) Valve & Valve Expo and Technology Innovation Report held in Yongjia County, Zhejiang Province, China's hometown of pumps and valves on May 16-18.

As an important general-purpose mechanical product, pump valves are widely used in power, chemical, iron and steel industries. According to statistics, the pump and valve industry accounts for more than 5% of the total output value of the machinery industry. At present, there are nearly 10,000 pump and valve manufacturers in China, and the turnover of the pump and valve market exceeds 50 billion yuan each year. China's pump and valve industry has now formed a relatively concentrated regional industrial belt in Yongjia, Zhejiang, Longwan, Wenzhou, Suzhou, Jiangsu, and Xinyang, Henan. Taking Zhejiang Yongjia as an example, it is the advanced manufacturing base for pump valves with the largest output, most varieties and most complete specifications in the country. In 2005, it achieved an output value of 8.5 billion yuan and exports 150 million US dollars, accounting for more than 25% of the domestic market share.

Despite this, China's pump and valve industry still has a large number of companies, a small scale, a low degree of specialization and differentiation, a low contribution rate of technological innovation, unsatisfactory product quality and stability, and unreasonable industrial and product structure. Problems, the integration of the industry is imperative. According to Wang Hanzhou, vice president and secretary-general of the Yongjia County Pump Valve Industry Association and chairman of Zhejiang Chaoda Valve Co., Ltd., after years of rapid development, the Yongjia valve industry is currently facing four major bottlenecks: First, the shortage of land resources, The space for expansion of enterprises has been inhibited, and some companies have chosen to move out; second is the lack of talents in technology, management, and foreign trade; third is the convergence of products, the proportion of products with high technological content and high added value; and fourthly, the convergence of industrial chains is not satisfactory. Supporting industries such as raw materials and casting and forging processing are not of high grade. To overcome these bottlenecks, one of the most important ones is to play a role in the organization and coordination of the government and industry associations, increase the integration of the industry, develop a number of famous pump valves, and cultivate a number of well-known corporate brands.