Although the transformer industry will still face severe cost pressures in the future. However, as the country's efforts to build power grid projects increase, it will also polish a number of high-quality transformer manufacturing enterprises. Technical advantages and scale advantages have become indispensable conditions for these advantageous enterprises.
The transformer manufacturing industry itself is characterized by a relatively long delivery cycle, generally 3 to 6 months, and even longer than 1 year. TBEA, Tianwei Baobian and other large enterprises even signed some contracts in 2007, another domestic transformer manufacturer Xidian Group Xibian Company production tasks are also very saturated. However, the prices of the products in the contract were calculated based on the prices of the raw materials at that time. Most manufacturers did not expect that the prices of raw materials would rise so rapidly. Therefore, its performance is not fully reflected.
With the transformation of power grids in the United States and Europe and the acceleration of power construction in India, the demand for cold-rolled oriented silicon steel sheets has greatly increased, and the Japanese market has reduced the proportion of exports. As a result, the output of cold-rolled oriented silicon steel sheets has been greatly reduced internationally. The import volume of rolled oriented silicon steel sheet declined for a while and increased. At present, the 80,000-ton oriented silicon steel sheet production line invested by Wuhan Iron and Steel Co., Ltd. is the only domestic oriented silicon steel sheet production line under construction. At that time, Wuhan Iron and Steel's oriented silicon steel sheet production capacity will reach about 200,000 tons, but relative to the rapidly growing demand, Wuhan Steel's new capacity cannot reduce the domestic supply and demand gap.
In the second half of the year or even longer, the cost pressure of domestic mining furnace transformer companies will not diminish, and there are even signs of increase. Under the heavy pressure, some companies that produce low-end products are bound to be difficult to sustain, and it is not surprising that the industry's restructuring and integration and even bankruptcy. Therefore, companies take the high-end product line and build their own core business as a way of development. Tianwei Baobian, Xibian, and other domestic large enterprises, through technology introduction and extensive absorption of high-tech talents and other means, will open up competition in high-end product development and production. And through mergers and reorganizations and other means, continue to expand the size of the company and market share. Larger companies have better bargaining power with raw material suppliers, which is conducive to reducing corporate costs.