Electrical Appliances Industry

Recently, the electrical equipment industry of major economic indicators improved compared with the beginning of this year, pick up signs of beginning to achieve. The industry believes that, although the situation is fairly good, but the whole industry a loss of increased profit margin continues to decline, the future situation is not optimistic.
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<br>Electrical Equipment Industry Association, according to the latest statistics: This year, a quarter of electrical industry, the growth rate over the previous two months were increased by 1 percentage point. 1 ~ 3 months to complete electrical equipment industry in total industrial output value reached 533.47 billion yuan, an increase of 6.37%, to achieve industrial sales output value reached 510.019 billion yuan, an increase of 5.26%.
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<br>Statistics show that 1 in February of this year, electrical industry, such indicators as industrial output growth rate fell substantially, new products, output growth is declining and export delivery value of negative growth year on year, import and export volume plummeted. Although overall, the current electrical industry, pick up signs of beginning to bear, but a loss of the whole industry continues to expand, business losses increasing industrywide profit margins decline, especially troubled by a variety of unfavorable factors are continuing.
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<br>Based on analysis of the situation is still not optimistic about the future of the industry.
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<br>Extraordinary performance of key projects
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<br>Electrical equipment industry brings together power generation, transmission, distribution, electrical equipment and electrical equipment manufacturing, a series of important industries are the main pillars of national economy, the equipment manufacturing industry is one industry for many years maintained a good development and the promotion of Machinery Industry play a positive role. Statistics show that industrial output value last year, electrical industry, machinery industry reached 27.5%.
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<br>In recent years, China's major engineering projects, the electrical equipment industry has played an important role, especially in the face of the Wenchuan earthquake disaster in Sichuan, the industry key enterprises Dongfeng company overcome the enormous grief quickly stood up from the ruins, only the just a few months time so severely damaged in the earthquake of wind power generation equipment production capacity has reached the level before the earthquake.
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<br>Meanwhile, freezing rain and snow in the south of serious disasters, more than a dozen provinces, municipalities and power transmission line towers dumping, damaged severely, in order to meet the emergency repair of damaged facilities, electrical production employees worked overtime to provide the fastest speed a highquality products for the rapid recovery of damaged lines and make a contribution.
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<br>In the construction of Olympic venues, many enterprises provide an important venue distribution facilities and equipment, these devices hold the process equipment in the Olympic Games has been tested, showing excellent performance and reliable quality levels and to protect the Olympic Games success.
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<br>Electrical industry's contribution to China's aerospace industry also praiseworthy. Shenzhou VII manned spacecraft into space and astronauts walk in space so that China's success inspired the world to marvel. Many of the aerospace engineering technology and equipment are provided by domestic electrical production enterprises, including the ground facilities, measurement and control systems, launch vehicles, as well as the spacecraft electrical installations and equipment.
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<br>Significantly improve the scale of strength
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<br>In recent years, China's electrical industry, industries have been expanding significantly improve overall strength. Last year, the industry realized an industrial output value, industrial sales output value, as well as the size of main business income and other economic aggregates have been breakthroughs "2 trillion yuan," the steps, and close to the "2.5 trillion yuan," a new high point. Following the annual output of power generating equipment in 2007 and again after more than 130 million kilowatts to reach 133 million kilowatts, becoming the world's power generation equipment manufacturer in the history of a miracle.
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<br>In the meantime, both the electrical equipment industry capacity, technical level, or the product quality and reliability of both a qualitative leap, the industry's international competitiveness greatly enhanced.
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<br>In order to power generation equipment manufacturing, for example. At present, the unit capacity has been a big step, largescale unit has entered the ranks of the world's advanced. Achieve not only from a small unit to 300,000 kilowatts, 60 million KW, the transition, and 600,000 kilowatts and above, largecapacity generating units are becoming the main models, in particular, of 70 megawatt hydroelectric units and one million kilowatts thermal power unit also has formed a batch capacity. From a technical level, the current thermal power devices from subcritical parameters to the supercritical, ultracritical parameters of the upgrade; hydropower equipment has been developed a worldlevel and independent intellectual property rights of the Three Gorges power station turbine 10 meters in diameter and application of the big wheel All aircooled technology, 700,000 kilowatts hydro, water, electricity equipment, the level of production technology has entered the world advanced level.
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<br>Particularly encouraging to note that the electrical equipment industry has developed a worldclass hightech new products are emerging. To power transmission equipment, for example, China has successfully mastered the exchange of special highvoltage 750 kV, ?500 kV UHV DC power transmission design technology and some of its key equipment manufacturing technology, and 1000 kV AC, ?800 kV DC Special highvoltage power transmission design and manufacturing technology breakthroughs, the world's first 1000 kV AC and ?800 kV UHV DC power transmission has been put into operation.
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<br>There are constraints
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<br>The rapid development of electrical industry in the face of adverse factors are still troubled. Since the third quarter of last year, the international financial crisis on the impact of China's electrical industry, is continuing.
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<br>According to the survey, this year, product sales to exportoriented exportoriented enterprises generally have been a very big impact, a significant reduction in orders, following its impact is still increasing since last year. The first is mainly reflected reduced orders, corporate sales atrophy; 2 because of the euro, the dollar exchange rate changes is too large, the trend is difficult to predict, companies can not rush orders, resulting in import and export business is greatly affected.
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<br>According to all products of export products accounted for more than 90% of the power tools industry, reflected in production and operation since the end of last year, and export situation was alarming, many companies fell by more than 35%, some enterprises have even greater decline. According to common lowvoltage electrical industry, reflected by the European, American and Japanese economic downturn and the appreciation of yuan depreciation of the euro and other affected companies export business has also been significantly affected. In addition, small and medium sized motors, fractional horsepower motor, micro motor and wire and cable and other industries have reflected the global financial turmoil is still a tremendous shock to electrical products export business.
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<br>The export tax rebate on exports of electrical products a significant impact on business. Raw materials, fuel prices spike to the healthy development of enterprises and industries is extremely unfavorable, and because the impact of the export tax rebate policy, while also lowering some of the international competitiveness of electrical products.
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<br>Such as power tools industry, since the first half of 2007 state departments of electric machine tools export tax rebate rate from 17% a significant reduction of 9%, the electric tool export machine has been a great influence on exports for 12 consecutive years significant increase in the number of the situation suffered a serious setback. In addition to foreigninvested enterprises, domestic electric tools business volume of exports that year actually decreased by nearly 10%. Machine in the first half last year, export volume reduced 14.05 percent year on year, so the economic benefits of electric tools industry have fallen sharply, nearly 50% of the enterprises are losing money, and even the largest enterprises in Jiangsu Power Tools Electric Tools Group Co., Ltd. is also one in nearly 15 years for the first time a loss.
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<br>Due to rising raw materials, appreciation of the yuan, labor costs increased, as well as international nontechnical barriers to trade factors, leading to power tools a substantial increase in the cost of export enterprises, international competitiveness has slipped further in the international market its share of further reduced.
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<br>According to a survey by the export tax rebate rate dropped significantly mainly affect the domesticfunded enterprises, that is commonly referred to as "national electric tools manufacturing", while for foreignfunded enterprises were basically no effect or little effect. Because many of which are foreignfunded enterprises electric tools built in the export processing zones, free from the impact of export tax rebate rate.
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<br>After nearly 30 years since reform and opening efforts, China's national electric tools manufacturing industry is no longer the kind of early start for foreign "processing" or "OEM" and "factory", and has grown into a certain self design capability, high productivity, a considerable number of independent brands, and products with certain technical content of the independent industry. Accordingly, the industry fear of the impact of export tax rebate policy, the domestic electric tools business after 20 years of efforts to open up access to the international market share in other neighboring countries will be replaced by risk. It is understood that some enterprises of the order has also spread to India, Vietnam and other countries.
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<br>In addition, our parts and components for electric tools once the export tax rebate rate of export tax rebate rate higher than the machine, so exporters have to replace machine parts and components exports exports, contributed to a significant increase in the number of parts and components exports. These parts are mainly exported to Southeast Asian countries, these countries imposed on the production machine is to encourage preferential treatment, compared to China's machine manufacturing enterprises are heavier tax burden, just because of the export tax rebate rate is less than machine parts the export tax rebate rate, the domestic producers put into the whole machine assembled from parts and components of this growth in part to hand over the value for the relative surplus labor force in our country is, there are policy failures at risk.
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<br>According to the survey, lead acid battery industry is also greatly affected. In recent years, lead acid batteries to adjust export rebate policy from the original 13% straight down to zero, for lead acid battery industry has a huge impact: a sharp decline in exports, domestic competition is more intense, hundreds of small and medium enterprises severely losses or converting; in particular the U.S. subprime crisis, the international environment has worsened, making the already struggling exporters of lead acid battery is worse, the further decline in competitiveness in the international market share shrink further.
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<br>Customs statistics show that: in 2007 and 2008, exports of lead acid batteries still maintains a certain level of growth. The reality is that due to soaring prices of raw materials, metals lead to sharp price increases caused by leadacid battery products. Excluding this factor, since 2007, the annual export value is a negative growth rate per year decreased by 20% to 30%. Furthermore, my lost market has been Asia's emerging countries, such as India, Vietnam and other Southeast Asian countries is divided.
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<br>In the meantime, part of the electrical equipment industry of finance for SMEs is still very tense. The policy of expanding domestic demand to bring good news to enterprises, but part of the small and medium enterprises are still subject to financing difficulties, difficulties in getting loans, business cash flow and increase the production and management difficulties. According to electric porcelain industries and enterprises reflects the current enterprise funds are very tight, resulting in even if there are orders can not expand production of the passive situation.
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<br>SMEs bear the heavy responsibility of Labor and Employment has a vital role in the practical problems of these enterprises have a negative impact on social stability can not be ignored. Therefore, the problem of the shortage of finance for SMEs need to focus and quickly solve them.
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