Analysis of the current situation of China's motor industry
Electric motors are the source of power in the industry. The mutual conversion between electrical energy and kinetic energy is achieved through the interaction of electricity and magnetism. The motor in the narrow sense mainly refers to the electric motor, and in the broad sense, it can include the electric motor and the generator. Motors occupy a pivotal position in the global industrial automation market and are widely used in metallurgy, electric power, petrochemical, coal, mining, building materials, papermaking, municipal, water conservancy, shipbuilding, port handling, and other fields.
After decades, the development of China's motor industry has made great progress, but there are still many problems in the industry. The output of the basic series of small and medium-sized motors in my country is relatively large, and the high-tech and high-value-added products are few in variety and small in output. There are many manufacturers of basic series products with large outputs, forming a situation of competition between each other to seize the market and reduce prices.
Motors are mainly divided into generators and motors. In 2018, China's motor industry experienced large-scale losses and plummeting profits. The decline of subsidies for new energy vehicles is an important factor in the decline of corporate profits. Data show that in 2018, the cumulative output of my country's generator sets (power generation equipment) was 106.005 million kilowatts, a cumulative decrease of 9.3% over the previous year.
Figure 1: 2016-2018 China generator set production. (Data source: collation of public information)
In 2018, the motor segment achieved an operating income of 37.244 billion yuan, a year-on-year increase of 0.35%; net profit attributable to the parent was -2.715 billion yuan, a year-on-year decrease of 201.89%, and the gross profit margin was 23.09%. In the first quarter of 2019, the motor segment achieved an operating income of 9.353 billion yuan, a year-on-year increase of 12.84%; net profit attributable to the parent was 535 million yuan, a year-on-year decrease of 1.77 percentage points, and the gross profit margin of sales was 23.14%. The overall gross profit margin of the industry is basically maintained. fluctuated within a narrow range.
In the past year, the operating income of the motor segment has shown a decline in growth rate, and even a large loss in net profit attributable to the parent company. The decline in profitability has reduced the overall profit of the segment. The expansion of new fields is the main direction for companies in the segment to improve their performance. In the future, this sector will be integrated into the new energy vehicle supply chain to achieve renewed growth.
Figure 2: The operating income and operating income growth rate of the motor sector in recent years. (Data source: collation of public information)
Figure 3: In recent years, the motor sector's net profit attributable to the parent and the growth rate of the net profit attributable to the parent.
Figure 4: Motor industry gross profit margin (unit: %). (Data source: collation of public information)
Under the influence of many market factors, the profit margins of most motor companies in my country have been compressed again. Under the background of constant cost and strengthened environmental protection supervision, high-efficiency, and energy-saving motors are the inevitable directions for the development of the motor industry. The previously released "13th Five-Year Plan for Industrial Energy Conservation" and "13th Five-Year Plan for Energy Conservation and Environmental Protection Industry Development" clearly listed motor system energy saving as one of the nine key energy-saving projects, and clearly proposed the demonstration and promotion of rare earth permanent magnet ironless cores. High-efficiency and energy-saving motor technology and equipment such as cast copper rotor technology for motors and motors.
The high-efficiency and energy-saving motor industry chain has upstream raw material suppliers such as copper, aluminum, silicon steel, permanent magnet materials, downstream channel distributors, and high-efficiency motor application manufacturers. The huge market demand space will make the upstream and downstream of the industrial chain make certain adjustments around "high-efficiency and energy-saving motors", the upstream supply structure will be adjusted, and enterprises with advantages in the production of special raw materials and parts for high-efficiency motors will gain more. market share and higher yields. With the large-scale mass production of high-efficiency motors, its supply will be enlarged, and costs and prices will be relatively reduced. Downstream manufacturers will also more widely use high-efficiency motors to upgrade their original products.
Forecasting the growth prospects of the global electric motor industry
Due to the introduction of strict electricity consumption standards and rising electricity prices, the global demand for high-efficiency and energy-saving motors has continued to rise, and the rising production of drive systems in the downstream market has also increased the demand for motors. In addition, global manufacturers are encouraged to develop high-efficiency and energy-saving motors and follow strict standards in the design and manufacturing process to improve the efficiency of motors. Motor demand trends are steadily shifting from standard efficiency motors to energy-efficient motors, however, a lack of awareness of the benefits of energy-efficient motors and high initial purchase costs are inhibiting the growth of energy-efficient motors.
The global industrial motor market is recovering. It is predicted that in the next five years, the global industrial motor market is expected to develop at a compound annual growth rate of 7%-7.5%. It is expected to exceed US$800 billion in 2020 and reach US$950 billion by 2023.
Figure 5: Market size forecast of the global industrial motor industry. (Data source: collation of public information)
Development opportunities in the motor industry
1. New energy vehicles drive the development of permanent magnet motors
In recent years, national policies have strongly supported the development of new energy vehicles, and the new energy vehicle industry has flourished. The motor application technology in the field of new energy vehicles is becoming more and more mature, and permanent magnet synchronous motors are widely used. Rare earth permanent magnet materials are the preferred materials for driving motors, which can greatly reduce the weight of the motor, reduce the size of the motor, and improve work efficiency. The establishment of an upstream and downstream cooperation mechanism will help to break through the development obstacles between industries such as new energy vehicles, drive motors, and rare earth permanent magnet materials, and achieve mutual benefit and win-win results for the entire industry chain.
2. Energy saving
High efficiency and energy saving is the development trend of the entire motor industry. In recent years, the key content of the Chinese government's work is energy conservation and emission reduction. Among them, industrial energy conservation is the top priority of energy conservation and emission reduction work, and motor system energy conservation is an important content of industrial energy conservation.
3. Manufacturing Services
"Made in China 2025" proposes many development directions, the main direction is to promote intelligence, refinement, green, service, branding, etc., thereby enhancing the added value of the manufacturing industry. While promoting the transformation and upgrading of traditional industries, the development of new technologies, new formats, and new products is crucial. China's Internet, big data, artificial intelligence, sharing economy, and other fields have great potential for development and have developed rapidly in recent years. This is an important factor in the gradual stabilization and recovery of China's economy in recent years.
4. Analysis of the development trend of the motor industry-smart motor
A number of motor control units MCC constitute a conventional motor control center (CMCC). Each MCC includes circuit breakers, contactors, thermal relays, motor starters, frequency converters, monitors, and other equipment. These devices are connected to the detection instruments through a large number of hardware wiring, and the meter is read by the instrument engineer on site, and then the control staff checks the collected motor operating parameters, decides the next operation of the motor, and finally sends the operation instruction to the MCC for execution.
Informatization and automation of modern industrial production are getting higher and higher, and traditional motor control centers have been unable to meet users' requirements for motor control and protection. The intelligent motor is produced by the integration of the industrial drive control field and the big data platform. It integrates the motion, diagnosis, protection, control, communication, and other functions of the motor, and can realize the self-diagnosis, self-protection, self-speed regulation, and remote control of the motor system. control and other functions. In addition, if big data technology and cloud computing technology are combined, it can realize the prediction of motor failure and life in advance, and the self-adaptive management of the energy efficiency of the motor, so as to accurately meet the development direction of high efficiency and energy saving and intelligent manufacturing.
With the development of China's equipment manufacturing industry in the direction of high, precise, and advanced and the integration of industrialization and informatization, the development of intelligent motors will become an inevitable trend.
AIP focuses on global motor testing, keeps up with the market pace, is committed to motor testing, and provides effective guarantees for the stable operation of motors.