The market structure of the rise of China's national brand of inverter has been formed

Reading: The rise of national brands, Chinese companies are constantly moving toward the world, the competition in the inverter market will also become more international. The early inverter market was dominated by internationally-renowned brands. Today, national brands such as Senlan and Inventronics have made unremitting efforts to not only realize product bulk export, but also successfully landed on the European market, making domestic inverters Exports are no longer limited to developing countries and regions such as Southeast Asia, South Africa, and the Middle East.

The development of frequency converters in China has a history of more than 20 years. From 1993, the market capacity of China's inverter was less than 400 million yuan, and by 2008 it was close to 14 billion yuan. According to incomplete statistics, it has exceeded 20 billion yuan in 2010. . After such rapid development, there has been a quantum leap in the frequency inverter's functions, integration, and systemization, both in terms of industry scale and application fields. At the same time, we also see that more and more industry-specific frequency converters have emerged in the market to personally meet the special needs of users in different industries.

The domestic brands entered the market in the late 20th century. In the early 1990s, with the gradual deepening of the understanding of inverters by domestic companies and the entry of a large number of foreign inverter products, China's inverter market was able to start quickly. Chinese companies began to recognize the role of frequency converters. And try it out. In the past 20 years, the frequency converter has been recognized by a large number of enterprise users, and has been widely used in the metallurgy, petrochemical, building materials, machinery, electronics, paper, air conditioning, elevators, textiles and other industries, improving the production process, saving a lot of power. There will be a market demand, remove a large number of foreign brands will aim to China's inverter market, some domestic companies have begun to use "drive" to use their brains, so a large number of domestic inverter companies.

After 2003, with the accumulation and breakthrough in technology and talents of domestic enterprises, domestic inverters have increasingly exhibited local advantages in terms of product adaptability, production cost, and service response speed, and the market share of domestic companies has continuously increased. In 2008, China's inverter market witnessed the first time in the market structure with the top eight domestic and foreign brands, that is, since then, domestic inverter companies have officially entered the mainstream stage of China's inverter market. The brand has had a strong impact. At the beginning of 2010, several local inverter companies appeared on the “collective” market. Inventronics, Hekang inverter, and Kyushu Electric entered the capital market one after another and ushered in a new round of development.

In Europe, America, Japan, and domestic capital, the domestic market for three-phase inverters has originated with the entry of foreign brands. Foreign brands such as Siemens, ABB, Mitsubishi and Yaskawa have firmly grasped the market share, which also makes Chinese users predominantly for foreign brands. Until around 2000, almost 90% of the market share in the Chinese market was still occupied by foreign brands. However, with the increasing awareness of energy conservation and emission reduction of domestic enterprises and the relevant encouragement policies issued by the Chinese government, a good environment for the growth of domestic inverter companies has gradually emerged. Local brands continue to emerge and their strength has gradually increased. In recent years, the development has been even more rapid. According to statistics, more than 100 local inverter companies currently active have a market share of 20% to 25%, Japanese brands occupy 40% of the market, 30% are European and American brands, and another 10% are Taiwanese and Korean-owned. Brand occupancy. It can be seen that domestic brands have successfully surpassed Korean and Taiwanese capital brands through their efforts. The Chinese inverter market has formed a pattern of European and American brands, Japanese brands and domestic brands.

The gap still exists Although domestic-funded brands have achieved rapid development through their own efforts and a good market environment, we have seen that domestic-funded brands are currently concentrated in the middle and low-end sectors. In the high-end sector, the phenomenon of foreign monopoly is still evident. Compared with foreign brands, we still have many gaps.

The strength of China's inverter supporting industry is relatively weak. Overall, domestic brands have gaps with foreign-funded enterprises in terms of technology, manufacturing, industrial design, financial strength, and corporate management, especially with Siemens, ABB, etc. The gap between the giants is even more pronounced. Most of the local inverter companies are mainly V/F control products. For the products with superior performance and high technical content, such as vector inverters, most domestic-funded enterprises still have “little interest”. Although some well-established domestic-funded enterprises such as Senlan, Shenzhen Inventronics, and Shenzhen Huichuan have already come out with vector inverter products and achieved breakthroughs in some market applications, the types and specifications of the products still need to be further enriched and enriched.

How domestic brands break through The industry believes that China's inverter market will not reach saturation until the next 10 years, during which the annual growth rate of the market will remain at about 15%. It can be imagined that in the future China's inverter market will be filled with smoke and "cruel" cruel.

It is hoped that Du Junming, deputy chief engineer of Senlan Technology Co., Ltd., believes that China's inverter market is still full of opportunities. With the continuous deepening of globalization, information, and marketization, future competition will further deepen. In order to exceed the foreign brands and further expand the market share, manufacturers of domestic inverters should not only increase investment in technology research and development and applied research and development, but also pay attention to competition in more specialized market segments. To gain the initiative in the new competition, we need to focus on the individual needs of users as the starting point and win in the competition of new products and new solutions. Constantly breaking through the technical bottleneck and continuously expanding the application fields, the frequency conversion technology can be applied to the engineering site in a truly effective manner to meet the actual needs of users more rationally and efficiently. Infineon Low-voltage product line director Mou Mingzhe said, "domestic inverter manufacturers only through the status quo to sell only a single product, to the development of industry solution providers, through the integration of product advantages and ultimately provide high value-added to protect the company's development momentum."

With the rise of national brands, Chinese companies are constantly moving toward the world, and competition in the inverter market will also become more international. The early inverter market was dominated by internationally-renowned brands. Today, national brands such as Senlan and Inventronics have made unremitting efforts to not only realize product bulk export, but also successfully landed on the European market, making domestic inverters Exports are no longer limited to developing countries and regions such as Southeast Asia, South Africa, and the Middle East. Entering the birthplace of frequency conversion technology to compete with internationally renowned brands, domestic inverter manufacturers may be able to achieve greater value through such real-world learning.

However, it is worth noting that due to the involvement of the capital market, domestic inverter companies are also facing the risk of mergers and acquisitions. In the automation industry, it is not uncommon for some “giant” companies to rely on adequate funding and choose to make acquisitions to expand their own product lines. Therefore, when domestic inverter companies are impacting the capital market, they should also try to prevent the occurrence of these phenomena.

China is in the process of transition from extensive growth to technology-based growth that is under the control of energy conservation and precise control. With the promotion of energy-saving and energy-reduction-related technologies, China's inverter is under the background of policy support and economic drivers. Market growth is unlimited. Although local companies have the advantages of weather, geography, and human resources, if they want to continue to grow in this crowded market, they still need time to test, especially to seize high-end market share, will be the biggest challenge facing local companies in the future; In the same way, foreign brands that possess congenital advantages must not “undermine the enemy”, but must continue to develop and innovate on the basis of ensuring product performance and quality in order to “stabilize the country”.