What are the development advantages of the domestic circuit protection components industry?
In recent years, electronic information technology has flourished, and the upgrading of electronic products is changing with each passing day. With the concept of "green, environmental protection and energy saving" deeply rooted in the hearts of the people, governments of various countries in energy conservation and emission reduction continue to make efforts, hybrid vehicles, smart grid technology, new energy power generation and other fields have been vigorously promoted in developed countries and high-growth developing countries such as China, India and Brazil. This trend not only promotes the further innovation of electronic information technology, but also brings huge market demand and development opportunities for the circuit protection components industry.
The domestic circuit protection components industry has emerged in the market and achieved remarkable results by virtue of the following advantages:
First, the downstream market demand is strong
The rapid development of electronic information technology has led to a continuous increase in the production and sales of consumer electronic products, mainly flat-screen TVs, laptops, digital cameras, smart phones and other products. The speed at which these products are being replaced is increasing, and the demand for circuit protection components is increasing. In the next few years, these industries will continue to maintain a strong growth momentum, providing a huge market space for the circuit protection components industry.
At the same time, with the concept of "green, environmental protection, and energy saving" deeply rooted in the hearts of the people, the vigorous development of hybrid vehicles, smart grid technology, new energy power generation and other fields will further promote the market demand for circuit protection components. These emerging fields have put forward higher requirements for the performance and quality of circuit protection components, providing more development opportunities for enterprises in the industry.
Second, the industry has high technical content
Circuit protection components are high-tech products in the world, and have high requirements for manufacturing equipment, raw materials, and process technology. In order to meet the needs of multi-functional, miniaturized and portable downstream products, manufacturers need to continuously increase technology investment, develop new materials, new technologies, and produce new products.
Through the development of new products, leading technology manufacturers can obtain a higher level of profit margins, ensure continuous investment in R&D and equipment, and thus maintain a dominant position. At the same time, the improvement of technical content has also raised the entry threshold of the industry, reduced the vicious competition in the industry to a certain extent, and ensured the healthy development of the industry.
Third, the production area is concentrated in China
In recent years, with the rapid development of the global electronics industry, China has become the world's production base for electronic products. More and more electronics production bases, such as laptops, digital cameras, refrigerators, washing machines, air conditioners, etc., are moving to China on a large scale. This gives China the advantage of the cost of production factors such as primary labor, technology and R&D talents, land, and capital.
More and more circuit protection component suppliers are expanding their production scale in China and bringing advanced technology to China. This not only expands the market size of the industry, but also rapidly improves the overall level of China's circuit protection components industry, and drives the rapid growth of the industry. After fierce market competition, domestic circuit protection component manufacturers have formed a group of enterprises with strong market competitiveness, and these enterprises will continue to grow and develop with the development of the industry.
Fourth, the national industrial policy support
Circuit protection components belong to new electronic components and are industries encouraged by the state. The National Development and Reform Commission's "Catalogue for the Guidance of Industrial Structure Adjustment" clearly focuses on basic core industries such as integrated circuits, software and new components. At the same time, the company's products also belong to the new electronic components category in the "National Key Support for High-tech Fields" issued by the Ministry of Science and Technology, the Ministry of Finance and the State Administration of Taxation.
These policy supports not only provide a good development environment for the circuit protection components industry, but also promote the technological innovation and industrial upgrading of enterprises in the industry. Under the guidance of the policy, the domestic circuit protection components industry will achieve a more rapid and healthy development.
To sum up, the domestic circuit protection components industry has made remarkable achievements in the market by virtue of the strong demand in the downstream market, the high technical content of the industry, the concentration of production in China and the support of national industrial policies. In the future, with the further development of electronic information technology and the continuous promotion of energy conservation and emission reduction, the domestic circuit protection components industry will usher in a broader development prospect.
