Is the bearing industry a bleak prospect or a promising future?
In the period of planned economy, the bearing industry in China is mainly distributed in the heavy industrial agglomeration areas in the north of China. Harbin, Wafangdian and Luoyang have become the bases for the development of bearing industry in China.
At the end of last century, the reform and opening-up has brought vitality to our private economy, and promoted the rapid development of the bearing industry in southern China represented by Jiangsu and Zhejiang.
In 2017, China's bearing industry as a whole showed a medium-high-speed growth, the main business revenue of the bearing industry completed 178.8 billion yuan ($26.5 billion), an increase of 10.2%, of which 124 billion yuan ($18.4 billion), an increase of 10.7%.
From July 28 to 30, 2018, the National Bearing Market Conference sponsored by the Central Axis Association Market Committee was held in Harbin.
The theme of the conference is "forty years of reform, great development of the market, and the upgrading of new marketing in the new era".
This article extracts the main points of the conference report.
Output of finished products of bearing steel production enterprises
According to the statistics of the Special Steel Association, the output of bearing steel in China's main special steel enterprises from January to June 2018 was 2.0979 million tons, an increase of 16.69% compared with the same period last year.
From January to June 2018, the output of bearing steel in China's major special steel enterprises was 1.966 million tons, an increase of 17.13% compared with the same period last year.
As can be seen from the following figure, the current large production of bearing steel are: CITIC Special Steel (Xinye Steel, Xingcheng Special Steel, Qingdao Steel), Zhongtian and Juneng, accounting for 57% of the total output.
From January to June, the overall output of bearing steel increased. The output of Zhongte, Zhongtian, Nangang, Shagang and Sugang increased compared with the same period last year, but the output of Xinggang, Bent, Jianlong, Xining, Beiman and other steel plants decreased slightly.
The proportion of bearing steel output of main enterprises in total production in 2018 1-6
Status of China's bearing industry
According to the statistics of the State Statistical Bureau, the five major industrial agglomeration zones and bearing industry agglomeration zones have been formed in China.
The main features of the product are large and extra large bearings. Typical enterprises include: tile axis, Daye axis, tile smelting shaft and so on.
The products are mainly medium-sized, large and extra large bearings. Its typical representative enterprises are Luoyang LYC, Luoyang axle science and technology, ten aircraft and so on.
The products are mainly small and medium-sized bearings. Its representative enterprises are: Jiangsu Lixing, Changzhou Guangyang, Changshu the Great Wall and so on.
The main features of the products are small and medium-sized bearings, miniature bearings and bearing parts. The main enterprises are: Wuzhou new spring group, the Xing Xing group, the ring group and so on.
The main products are bearing cage, steel ball and general bearing. Its main representative enterprises are: Dong'e steel ball, Liaocheng golden emperor, Shandong bode bearing and so on.
In addition, there are a number of specialized, refined, special and new enterprises all over the country. Such as: Xiang axis, new torch, Chongqing Yangtze River, Longxi bearing, Dongguan TR and so on.
Global bearing industry and market capacity
In addition to China, the world's major bearing producers are Japan (five big companies), Germany (Schaeffeler FAG and INA), Sweden (SKF) and the United States (TIMKEN).
In 2017, China's bearing business income will be about 124 billion yuan, excluding foreign-funded enterprises of 33 billion yuan, China's domestic enterprises of bearing business income is about 91 billion yuan, equivalent to 13.5 billion U.S. dollars, accounting for 16.9% of the world's total sales of bearings.
In 2017, world bearing business revenue was about $80 billion, and there was still a $62 billion 500 million market in the Chinese market.
In 2017, China's bearing exports (including foreign capital exports) amounted to US $4.04 billion, accounting for only 6.59% of the world's external market; if the export of foreign-funded enterprises was excluded, the real domestic enterprises'exports accounted for only 4% of the world's external market.
Therefore, to enhance the quality and brand awareness of bearing products in China, and to increase the market share of bearing export is a huge market for our future development.
Note: 1, this table is 1 yuan =6.153 yuan. 2, The Timken Company's main business income does not contain iron and steel.
The impact of US tariffs on China's bearing industry
In 2017, the import and export trade volume of bearings reached 8.906 billion US dollars, an increase of 11.48% over the same period of the year; of which, the export earned foreign exchange of 5.23 billion US dollars, an increase of 9.8%, the bearing earned foreign exchange of 4.05 billion US dollars, an increase of 9.3%; the import used foreign exchange of 3.68 billion US dollars, an increase of 14%, and the bearing used foreign exchange of 3.13.6% over the same period of the year.
According to the development of bearing industry and statistics of bearing import and export in 2017, direct products of US $804 million will be affected, accounting for about 3% of the total revenue of bearing industry.
The Sino-US trade dispute from the proportion of bearing exports to the United States, the overall impact is limited, but also will lead to the overall speed of development of the bearing industry will decline.
10 countries and regions in China before and after the import and export of foreign exchange in 2017
Future market trends and Prospects
At present, the international situation continues to undergo profound and complex changes. The uncertainty brought about by Sino-US trade frictions has accelerated the adjustment and evolution of the international pattern and order. Sino-US trade frictions will have a negative impact on US exports and indirect exports by 8% on China's bearing industry.
After the 19th National Congress, revitalizing the manufacturing industry has become a national strategy. Implementing Made-in-China 2025, implementing strong industrial foundation projects, developing new modes and forms of business, and realizing the conversion of new and old kinetic energy are important tasks facing the bearing industry. This is both an opportunity and a challenge for the bearing industry.