The valve industry is an important branch of our general machinery. As key equipment for fluid control, its products are widely used in petroleum, chemical industry, metallurgy, electric power, urban construction, environmental protection and other industries. Currently, the valve production industry is in a very favorable development opportunity.

(1) Sustainable economic development. Fixed asset investment gradually expanded. In particular, the start of several century projects such as the "West-to-East Gas Transmission", "West-to-East Electricity Transmission" and "South-to-North Water Diversion" projects require a large number of valve products;

(2) With the accession to the WTO, the lowering of international trade thresholds and the adjustment of product structure in developed countries, China is gradually becoming the world's largest processing plant. The processing and manufacturing of valve products faces greater development space.

So how to seize this strategic opportunity and accelerate the development of the valve industry. Industry professionals made analysis from the following aspects:

1. Actively promote joint reorganization among enterprises and create a number of large-scale and high-grade enterprise groups as soon as possible.

There are currently more than 5,000 manufacturing companies in the valve industry. Only 7 companies have annual sales of more than 50 million yuan, 3 companies have annual sales of more than 100 million yuan, and none have annual sales revenue of more than 200 million yuan. Only one company, CNNC Suva, has a domestic market share of more than 2%, and the rest are below 1%. It is difficult for an enterprise of this size to create a shock in the market, and it is even more difficult to compete with internationally renowned enterprises in the same industry. To change this situation as soon as possible, in addition to the growth factors of the enterprise itself, the most effective method is to realize the capital expansion of the enterprise through alliances, mergers, and reorganizations among enterprises to further expand market share and remain invincible in the competition. This is a popular practice in today's international economic field, and it is also a directional issue for the development of the valve industry in the future. On this issue, we must emancipate our minds and break regional boundaries, ownership boundaries, and traditional professional divisions of labor in accordance with the requirements of the 16th National Congress of the Communist Party of China that "reform must have new breakthroughs and development must have new ideas." As long as there is a possibility of alliance between enterprises, they can boldly try to do so and strive to create several enterprise groups with an output value of more than 500 million or even 1 billion yuan in 3-5 years.

2. We must pay attention to the adjustment of product structure, be brave in technological innovation, and develop high value-added and internationally leading products.

my country's valve industry is currently able to produce more than a dozen major categories of products. Such as gate valves, globe valves, ball valves, butterfly valves, safety valves, check valves, throttle valves, plug valves, pressure reducing valves, diaphragm valves, traps, emergency shut-off valves, etc., with a maximum operating temperature of 570°C and a minimum of -196°C. The maximum pressure is 600MPa and the maximum diameter is 5350MM. Although these products have strongly supported domestic economic construction, we should be soberly aware that most of our products are of general technical content or labor-intensive products, and few of them are of international leading level. It is a regrettable fact that all our valve companies failed in the recent bidding for the West-East Gas Pipeline.

It’s a painful lesson. To revitalize the national industry and develop the valve industry, we must implement technological innovation, adjust product structure, and have the courage to develop valve products with high technical content, high labor added value, and internationally leading levels, such as control valves and automatic valves. Three Wide converging and three-way diverter valves, safety valves; metal hard-sealed fully welded ball valves, high-parameter large-diameter valves; and supercritical C12-A alloy steel valves for power stations. There are several ways to implement technological innovation to research and develop new products. One is to cooperate with academic research institutions. For example, the main steam regulating valve for power station boilers recently developed by Kaifeng High Pressure Valve Factory and the "Three Dimension" Company under the Chinese Academy of Sciences is at an internationally leading level. The product, whose "pressure drop" is much lower than the international standard, has great prospects in the power station industry; the second is the form of foreign cooperation or technology introduction. The cooperation between Zigong High Pressure Valve Co., Ltd. and the Italian Cinbillon Company has shortened our production of ball valves. The gap between products and foreign countries. In addition to the above practices, qualified enterprises can independently research and develop.

3. Implement a diversified sales strategy, strive to open up international markets, and expand product exports.

According to statistics from the China Valve Association, there is currently a serious overproduction capacity in our valve industry, with about 40% of the production capacity being emptied. Faced with such a huge overcapacity, the most effective way is to implement a diversified sales strategy and vigorously explore the international market. . At present, the international market exports about 6-7 billion valves each year, and China's annual exports are 150 million, which is less than 2%. There is great potential here. To open up the international market, we must first pay attention to the cultivation of foreign trade talents, and have a group of foreign trade professionals who can operate and understand foreign languages; secondly, we must learn to use the Internet and information technology to make customers and capture business opportunities; thirdly, we can cooperate with some domestic foreign trade companies to use their channels to expand Export; fourth, qualified enterprises can set up sales points or open factories overseas. In recent years, Shandong Yidu Valve Factory and Suzhou 526 Factory have achieved market diversification relatively well. The proportion of export products has increased significantly, which has alleviated the problem of insufficient domestic orders. To open up the international market, we must also focus on leveraging our own advantages and selecting the right export products. Currently, we are mainly exporting labor-intensive products such as general valves. In addition, the export prospects of rough castings and semi-finished products are also very good.

4. Improve the level of enterprise management, implement management innovation, deepen enterprise reform, and implement system innovation. my country's valve industry is currently in a new round of alternation and reorganization period.

The proportion of state-owned enterprises has been declining year by year, while private and foreign-funded enterprises have developed rapidly. According to incomplete data estimates, the proportion of assets in my country's valve industry at this stage is 40% privately owned, 30% state-owned, and the rest is occupied by foreign-funded and military enterprises. It is expected that the share of private and foreign-funded enterprises will further expand in the next few years. Nowadays, private enterprises in Wenzhou are developing rapidly, and a considerable number of enterprises have a certain scale and strength, such as Bethel, Yongyi, Zhejiang Viduli and other enterprises. At present, most state-owned enterprises in the industry have heavy burdens, inactive mechanisms, and operating difficulties due to historical reasons. However, many enterprises still have advantages in equipment, talents, technology, brands, etc.; it is necessary to solve the current difficulties through deepening reforms and system innovation, and fully revitalize existing assets. Diversify property rights and establish a modern enterprise system. For private enterprises that are developing rapidly, although there are no institutional shortcomings and historical baggage, their development process must focus on improving the level of corporate management, implement management innovation, and avoid falling into the "family-style" and "paternalistic" management conventions. In short, the valve industry is full of hope.