Wire and cable industry is expected to usher in a broad market

A huge rock falls in a pool of lake water, destined to set off ripples, whether this lake water is dirty or clear water.

In the cable market in China, which has always been called "scattered, disordered, and poor," when ABB and other foreign electric companies shouted "Can't sell cables in China", the American cable giant U.S. General Cables turned against the trend, in 2012. At the end of the year, it successfully entered China through the acquisition of Alcan Cable. What exactly do you think of embracing China?

The aluminum alloy cable is becoming a blue ocean in China's cable companies. As the originator of the aluminum alloy cable, the U.S. universal cable of the aluminum alloy cable brand Shide Alloys will be the integrator of the cable industry while pushing the large-scale China wire and cable market into the “standard era”?

With the development of urbanization in China, the construction of smart grids has been put on the agenda. The 9th Shanghai International Exhibition on Electric Power Equipment and Technology and the 8th Shanghai International Electrotechnical Equipment Exhibition (hereinafter referred to as “Shanghai Power Exhibition”) is the theme of “New opportunities for smart energy conservation”. The related technologies and future of smart grid construction Development trends for extensive exchanges and discussions. As the most important supporting industry in power grid construction, the wire and cable industry has ushered in a broader market prospect and unprecedented new opportunities. How should China's cable companies share this opportunity?

Low price bidding?

As a leader in the power industry, ABB China has established a strong manufacturing base in power transmission and distribution, automation products and systems. At present there are only 37 ABB joint ventures in Beijing, from panel switches to 800 dc transmissions, but there is no one production cable. With respect to cable business, only cable accessories are produced and sold.

"The ABB cable was not bought and no one sold. Why? Because the price is too high." Ouyang Jianming, technical service engineer of the Cable Accessories and Surge Arrester Business Department of Beijing ABB High Voltage Switchgear Co., Ltd., said in an interview with reporters that ABB cable missed earlier years. The opportunity to come in can no longer come in now. In Yixing, Jiangsu, there are hundreds of cable factories and thousands of cable factories. Nowadays, cable companies are bidding at the lowest price, and ABB cables cannot enter China.

In China's cable industry, where there is a serious overcapacity and a large number of companies, "the winner of the low price" has become a well-known "industry standard" in the industry. The pure price war directly led to the cable market becoming one of the hardest ways to make money in the machinery industry.

This "distorted" industry development has also contributed to the world's unique "miraculous" industry. The total output value of China's cable industry exceeds 1.2 trillion yuan. It is the largest market in the world and accounts for more than 30% of the global market share. However, there are more than 7,000 enterprises participating in the competition. The largest output value is only about 10 billion yuan, and the majority Companies are madly playing a price war in the low-end areas, and the overall industry average profit margin is less than 5%.

In this industry atmosphere, unlike ABB, U.S. General Cable resolutely chose to enter China and delivered its confidence in the Chinese market with a flash “stronger” at the Shanghai Power Exhibition.

"This song is not my choice, but the message we want to convey is that although U.S. General Cable is a company with a 170-year history, we are full of vitality; although U.S. GM cables, including the predecessor of Alcan, did not enter China at the same time. It is long, but we will bring more advanced and more creative solutions to the Chinese market.” Tan Bingwen, President of U.S. General Cable (China), said with a smile during an interview with reporters.

Although it is a latecomer, strength cannot be ignored. In 2012, U.S. General Cable achieved a total sales of US$6 billion, ranking third in the industry in terms of scale. Compared to the Chinese cable companies of the same period, even the largest players, such as the Far East and Shanghai, did not exceed two billion U.S. dollars.

While seeing the low price of China's cable prices, Tan Bingwen is more concerned with the shift in demand in the Chinese market. “We talked to the CEOs of the developers a few years ago about the cable, and they told me that this real estate has already been sold, and now it means that you can give what kind of best price. But now, many companies are also stressing How brands can better enter the market. Like Vanke is our customer, they do not want a low-cost supplier, but want a long-term partner.” Tan Bingwen, for example, so the demand of this market is also In terms of change, for us, our concern is that for this huge market to grow rapidly, it creates a lot of opportunities for companies, and what we are aiming at is how we can develop together with our customers as they change with this industry as their long-term one's business Patner.

It must be admitted that, from the internal development trend of the wire and cable industry, although the total output value of China's wire and cable industry in the world, but the industry concentration is extremely low, the top ten companies accounted for only 7% -10% of the domestic market share. And the rapid development of previous years, from the first to the world, naturally there are many companies born out of market demand, the main purpose is to meet this market, which is a development trend before.

“But from the historical development experience of developed countries, the trend of integrating the cable industry in China in the next few years is unavoidable. Wang Jian, an industry researcher at China Business Intelligence Industry Research Institute, also pointed out in an interview with reporters. In addition, consumers and various fields The customer’s demand for wire and cable product quality is getting higher and higher, and the price is no longer the only preferred condition.So, in the process of washing the market time and time again, only those companies that tirelessly carry out technological innovation and marketing innovation can stand firm for a long time. inverted.

Sharing opportunities?

Unlike the Shanghai Power Exhibition, which was featured in this high-profile appearance, U.S. General Cable did not immediately carry its “leading technology, high-end products” in the Chinese market since it entered China, but began in mid-July. Organize a series of tour forums with the theme of "security and innovation". In addition, in collaboration with the Shanghai Cable Research Institute and other leading cable companies in the industry, they jointly drafted the “energy rating for 0.6/1kV aluminum alloy conductor XLPE insulated cables”. The current standard has been submitted for review and approval. Release implementation.

In the United States, Canada, and most of Europe and other regions, aluminum alloy cables have been used for more than 40 years, and the application rate of aluminum alloy cables in many developed countries has even reached 40%. In China, aluminum alloy cables have just emerged, according to 2012 According to statistics, over 90% of the cable market in China is actually a copper cable. Product standards and standardized production systems have not yet formed, and there have been cases where dealers have mixed their eyes. Therefore, Wang Jian said that as soon as possible to develop national standards and industry standards for aluminum alloy single-wire and aluminum alloy power cables and encourage enterprises to carry out product and technological innovation is the solution.

In the 1960s and 70s of the last century, the southern cable and Alcan cable of the United States (now a member of the General Cable) was the earliest inventor of aluminum alloy cables and began to vigorously promote aluminum alloy cables in the North American market. Nowadays, U.S. General Cable also vigorously promotes aluminum alloys in the Chinese market, and is pushing the “most standard-free” Chinese wire and cable market into the “standard era”. And will this allow local companies in more than 7,000 companies in this field to lose directly to the starting line? Does U.S. General Cable compete for more "speech rights"?

Perhaps it is too early to conclude. Jiangsu Changfeng Cable Co., Ltd., as the exhibitor of the power exhibition, told the reporter that Chen Xuexiang, the commercial manager of the marketing department, said that the aluminum alloy cable has developed very rapidly in China in the past two years. Now many businesses have the ability to produce. The Changfeng alloy cable is relatively early in the country. In 2009, Changfeng Cable and Shanghai Cable Research Institute and North China Cable University jointly developed alloy materials. “We have now produced aluminum alloy cables that not only have complete monitoring reports, but also have at least Alcan's standards in core technology. We fight for safety and quality, not prices.”

Although Changfeng cable sales this year were only 80 million, Chen Xuexiang admitted that Changfeng cable has invested about 2 billion in aluminum alloy cables, which is promising for the development prospects of China's cable market. Especially the construction of smart grids is an opportunity for cable companies.

March 16, 2011,

The State Council promulgated the "Twelfth Five-Year Plan Outline for the People's Republic of China on National Economic and Social Development" and put forward the requirement of adapting large-scale cross-regional transmission and new energy generation to grid connection, speeding up the construction of a modern power grid system, and further expanding the transmission of power from the west to the east. Scale, improve the regional backbone network, develop high-capacity, high-efficiency, and long-distance advanced transmission technologies such as UHV, rely on advanced technologies such as information, control, and energy storage to promote the construction of smart grids, effectively strengthen the construction and transformation of urban and rural power grids, and enhance grid optimization. Configure power capabilities and power supply reliability."

The report “Analysis on the Development Trend of China's Wire and Cable Industry” written by the Organizing Committee of the 2013 China Asia Wire and Cable International Summit puts forward “The golden age of the power grid is a good time for cables”. As national policies and the State Grid Corporation’s investment in smart grids are becoming increasingly significant, in order to tie in with the implementation of national West-to-East power transmission and power grid reconstruction projects and the gradual progress of urbanization construction, it will be closely related to transmission and distribution in the next five years. The relevant wire and cable market capacity will maintain an impressive growth rate of 8%-9% per year.

Wang Jian pointed out that it can be predicted that China's power grid construction will usher in a golden period, which will bring new round of development opportunities for the entire wire and cable industry, especially the backbone enterprises in the industry. “In the past six or seven years, as international copper prices have continued to climb and alloy technology has continued to increase, aluminum alloy cables have continued to develop. As we continue to promote urbanization and smart grid construction, our country has gradually increased its investment in power grids in recent years. As soon as possible, improve the construction of the power grid.In the construction of the power grid, the main grids are mainly overhead conductors (including aluminum alloy conductors), and the urban distribution grids mainly include high-voltage/ultra-high-voltage cables and medium- and low-voltage power cables.”

“Chinese companies’ learning ability is very strong and they learn quickly. I think this is a good phenomenon. More companies are joining us, not for the sake of short-term interests, but only for the sake of the long term. To have good products, I think This is good for the industry and it is good for the customers. Because only more companies go in this direction, everyone will come together.” Tan Bingwen pointed out that when it comes to aluminum alloy cables, there are many companies in the country that are developing. But we need more and better companies to develop aluminum alloy cables more continuously. "This market is big, but we have to develop it."

In perfect binding, adhesive alone is used to attach the pages of a book together and attach the book`s cover. 

If only one adhesive application is used to construct the book, it is called a [one-shot process." 

When two adhesive applications are required, it is a [two-shot process."

In the latter process, the first application of adhesive binds the bases of the book together. This adhesive is sometimes referred to as [primer" glue. 

The second application of adhesive is used to attach the book`s cover to the side of the book spine. This adhesive is referred to as the [cover" glue.  

Light Yellow Side Glue has good flexibility and strong adhesion.it can be used to attach the book's cover to the side of the book spine.

Good adhesion,weathering resistance and impact resistance.

Light Yellow Side Glue

Light Yellow Side Glue,Light Yellow Hot Melt Glue,Waterproof Glue,Stronger Glue

Taixing Chaobang Adhesive Co., Ltd. , http://www.cb-adhesive.com