Market situation of downstream industry of automation equipment

The downstream applications of automation equipment mainly include consumer electronics manufacturing, new energy industry, home appliance manufacturing, etc. Automation equipment is the basic equipment for the production and operation of these downstream enterprises. Considering the "customization" characteristics of automation equipment, the product demand of the downstream industry has a direct impact on the automation equipment industry, and the rapid growth of the downstream industry will significantly promote the expansion of the industry's market capacity.

(1) Consumer electronics manufacturing

The consumer electronics industry covers a wide range, including not only relatively traditional televisions, desktop computers, digital cameras, CD players, audio systems, etc. It also includes smart phones, tablets, wearable devices and other emerging smart electronic products. With the continuous progress of Internet technology and mobile communication technology, the market scale of consumer electronics products has been expanding, and the growth rate of intelligent electronic products is the fastest.

Consumer electronic products have the characteristics of fine processing technology, high technical requirements, fast update speed and continuous innovation. Consumers "like new products but hate old ones" faster. The life cycle of consumer electronic products usually does not exceed 12 months. Due to the rapid upgrading of consumer electronics, the production line cycle is generally about 1.5 years. Smart electronic products represented by smart phones will undergo large-scale performance and function updates every one and a half to two years. The rapid updating of products directly affects the updating speed of production equipment in the consumer electronics manufacturing industry, increasing the updating frequency of fixed assets investment in the industry. According to the data of the National Bureau of Statistics, from 2012 to 2021, the fixed assets investment in China's electronic information manufacturing industry will continue to grow, and the growth rate will reach 22.30% in 2021. The continuous expansion of fixed assets investment in the industry has created extensive and continuous market demand for the application and upgrading of automation equipment in the consumer electronics manufacturing industry.

(2) New energy industry

In the medium and long term, China's industrial policy supports and encourages the development of the new energy vehicle industry chain, which is a national strategic industry. According to the New Energy Vehicle Industry Development Plan (2021-2035) formulated by the State Council and the Ministry of Industry and Information Technology, the sales of new energy vehicles will reach about 20% of the total sales of new vehicles by 2025; After 15 years of continuous efforts, China'snew energy vehicle core technology has reached the international advanced level, and high-quality brands have strong international competitiveness.

Pure electric vehicles have become the mainstream of new sales vehicles, and vehicles in public areas have become fully electric; Pure electric vehicles, plug-in hybrid vehicles and fuel cell vehicles are considered as "three vertical"; Implement battery technology breakthroughs and carry out research on key core technologies such as positive and negative electrode materials and electrolyte; Promote the development of the whole value chain of power batteries, and encourage enterprises to improve the supporting capacity of lithium, nickel, cobalt, platinum and other key resources; Vigorously promote the construction of charging and switching network; Strengthen international cooperation, actively participate in international competition, cultivate new advantages in the new energy automobile industry, and deeply integrate into the global industrial chain and value chain system. Driven by various industrial policies, the electric vehicle industry has developed rapidly since 2015. The production and sales of new energy vehicles in China have both increased, including 3.521 million new energy vehicles in 2021, with a year-on-year increase of 157.6%; China's output of new energy vehicles was 3.545 million, up 159.5% year on year.