Five development directions of valve market in China

The direction of valve market is closely related to our life, petrochemical industry, power sector, metallurgical sector, chemical industry and urban construction departments control the development of valve market. Mainly according to the construction of the project, control the maximum user of the valve. The petrochemical industry mainly uses API standard gate valves, Globe valves and check valves; The Power department mainly adopts high temperature and high voltage gate valve, globe valve, check valve and safety valve and part of the water supply and drainage valve of low pressure butterfly valve, gate valve, chemical industry mainly uses stainless steel gate valve, globe valve, check valve; Oxygen cutoff valve and oxygen ball valve; The Urban construction department mainly adopts the low pressure valve, such as the urban water pipeline mainly adopts the large caliber gate valve, the building building mainly adopts the midline butterfly valve, the city heating mainly uses the metal seal butterfly valve; The pipeline mainly adopts the flat gate valve and the ball valve; the pharmaceutical industry mainly adopts the stainless steel ball valve; The food industry mainly uses stainless steel ball valve and so on.

Faced with this unhealthy growth environment, we believe that enterprises should focus on independent innovation and establish their own brand value. Existing valve manufacturers are mainly from overseas competition threats. China's valve manufacturing industry is facing fierce market competition pressure from foreign multinational companies. After China's economy has gradually improved, foreign multinational companies have entered the valve market and become existing competitors. Faced with some new enterprises entering the industry to participate in competition, new production capacity and demand for resources and markets will be brought. As a result, the production cost of the industry will rise, the market competition will intensify, the price of products will fall, and the profit of the industry will decrease.

As for the market trend of valve products, according to the analysis, the main trends in the future are as follows:

1. For the need of complete engineering, the supply of valves has developed from single variety to multiple varieties and specifications. There is a growing trend that all valves required for a project are supplied by a valve manufacturer.

2. Urban construction systems generally use a large number of low-pressure valves, and develop to environmentally friendly and energy-saving type, that is, from the low-pressure iron gate valves used in the past to environmentally friendly rubber-plate valves, balance valves, metal-sealed butterfly valves and mid-line sealed butterfly valves. Pipelining is the direction of oil and gas transmission projects, which requires a large number of flat gate valves and ball valves.

3. The construction of power plants is developing towards large-scale, so large-caliber and high-pressure safety and pressure relief valves are needed, as well as fast-opening and closing valves.

4. The other side of energy development is energy saving, so in terms of energy saving, steam traps should be developed and developed to high parameters of subcritical and supercritical.

5. With the transfer of petroleum development to inland and offshore oilfields, and the development of power industry from thermal power below 300,000 kW to thermal power, hydropower and nuclear power above 300,000 kW, the performance and parameters of valve products should be changed accordingly according to the changes of equipment application fields.

Potential threats to potential competitors depend on the degree of barriers to entry and the response of existing enterprises within the industry. The higher the barriers to entry, the more intense the response of existing enterprises, the harder or unwilling potential competitors to enter, and the less the threat to the industry.