Exporting of Valves Needs Benign Development

It is estimated that from January to June, 2013, exporting of valves in Wenzhou, the main valve manufacturing base in China was 8109 batches, increased by 0.61% over the same period. Amount of export was 260 million USD, decreased by 2.98% over the same period. It has seen negative growth. While from January to June 2012, the amount of export was raised by 42%.

Experts consider that competition in China valve market is more and more fiercer, especially in low-end universal valve products. More and more corporations join in low-end valve products market for its low technology threshold, causing serious homogenization of products, excess capacity and decreasing profit. Valve manufacturers expand exporting to survive. The exporting amount of valves increases annually.

However, expanding export is not solutions. Some problems have come out. Valve manufacturers still follow price war, causing malignant competition aggravating constantly. Exporting valves uses the U.S. Dollar for balance accounts. Otherwise, appreciation of RMB causes exchange rate risk. Parts of valve manufacturer have low quality, damaging the profit and impression of China valves. Those reasons result to profit reducing.

Recovery of global economy is slow. International economic environment has great influence on the demands for valve. China valve manufacturers should strengthen resilience for international trade risks. Large scale corporations can upgrade industry and enter into high-end valve products market. Small scale corporations can strengthen engineering corollary and increase added value on products.

In 2014, China valve manufacturers face with increasing pressure for exporting. Valve manufacturers should strengthen innovation, in pursuit of quality and efficiency, instead of