On the Precautions in the Development of International Trade in Chinese Valve Enterprises

I. Present and future of the international valve market, current status and future of valve international trade

Valves as a production and living material equipment are widely used in various aspects of the national economy, national defense and people's lives. Valves as small as nanometer scale and industrial valves as large as hundreds of tons all show the importance of valves. Irreplaceable.

In today's economic globalization, we must look at each issue with a global perspective. The total annual volume of valve use in the world has reached more than 1,100 billion US dollars, and the annual total market demand for replacement of valve products has reached more than 50 billion U.S. dollars, far exceeding the number of new construction projects worldwide. The total market demand is 30 billion U.S. dollars. In addition, the total volume of valve inventory and semi-finished products in the world is about 70 billion U.S. dollars, and the total annual production volume is about 57 billion U.S. dollars.

From the above data, we know that the global demand, production volume, and inventory of valves are very large and surprising; and as the world economy grows and speeds up, with the acceleration of global economic integration, and with the global The acceleration of the transmission speed of valve market demand information and the symmetrization of market demand information will surely accompany the global valve market demand increasing year by year, and the global valve production capacity and total volume will expand and increase; at the same time, it will accompany the world. Valve inventory and total reduction of semi-finished products.

The world economy is growing at a rate of 3% each year, and at a rate exceeding double digits in individual regions. The global demand for valve products must also increase at a certain rate.

Similarly, as the global economy becomes more and more integrated today, the global valve market's international trade and transactions are more sensitive and leading in the development and promotion of the development and change of the world economy. The international trade of global valves is currently limited to a large degree and relies on fluid technology, engineering consulting and service in developed countries in Europe and the multinational corporations and groups of well-known valve brands, and with the acceleration of world economic integration, with the European countries. Fluid technology, engineering consulting and service in developed countries, multinational companies and groups of well-known valve brands have accelerated and expanded the development and promotion of valve markets in other regions of the world, market demand and distribution of global valves, and international products of valve products. Trade, there is the formation of the situation and pattern of fluid technology, engineering consulting and service, well-known valve brands of multinational corporations and group cohesion and monopoly in developed countries in Europe.

Second, China's valve companies to develop the necessary preparations for international trade

The increasing integration of the global economy will inevitably accompany the global transfer of international capital, especially the transfer of international capital, which is intensive in the international labor capital, and the international capital of equipment and equipment production.

The rapid development of Asia’s economy, especially the two countries with different social systems and institutions, China and India, is rapidly developing and growing. The preferred regions for the global transfer of global capital are Asia and China and India.

However, India, which is a template engineering and comparative engineering at the entrance of the western capitalist world, India's annual production capacity and total quantity of valves, as well as the construction and quantity of valve products for export and valve national brands, are far away in China. On top of that, China's total valve exports in 2006 were less than US$1.2 billion.

With the deepening and development of the reform and opening up in Mainland China, with the rapid development of the national economy in mainland China, with the formation of the valve market and production capacity in China's mainland, and the formation of a qualified labor force in the valve industry, the scale of international capital has shifted. The great transfer of international capital for the production of valve equipment and equipment has just arrived in China. In 2006, the total number of China's valve exports was less than 2 billion U.S. dollars, which is far from China's status as a “valve production factory in the world” and a “big power equipment and equipment country”, and the normal level of valve exports from the country should not exceed 17 billion U.S. dollars. Water.

In the face of the fact that most Chinese valve companies want to develop international trade, we are less optimistic because Chinese valve companies need many necessary preparations to develop international trade.

The most important points in summarizing and summarizing the necessary preparations for Chinese valve companies to develop international trade are:

1. Understanding and mastering foreign valve standards, and obtaining necessary certifications and certificates.

2. The satisfaction, establishment, development and maintenance of domestic valve companies' own production factors.

3. The maturity and scale of international trade employees in the domestic valve industry.

4. The domestic valve companies' grasp of international trade methods and their understanding of international law.

The specific analysis of the above points is explained in the following sections.

III. Precautions in the Development of International Trade in Chinese Valve Enterprises

The process time for China's valve companies to develop international trade has been around for 20 years. During this time of about 20 years, there are too many things to summarize and review. From the macro perspective of the industry, two points need to be highlighted: From the corporate microscopic point of view, there are also seven points that need to be highlighted:

From the macro perspective of the industry:

1. Blindly advertising, blindly believe that the media promoted the effect

When many Chinese valve companies developed international trade, they did not have a set of scientifically and rigorously demonstrated media placement and advertising programs from the outset, plus no peers’ generally successful media placement and advertising programs could learn from, Interpreting and explaining the business people of media advertising promotion companies every other day, many valve companies have invested huge amounts of money in different media advertising and promotion from the very beginning.

However, with the advent of capital investment and media advertising and promotion, almost all companies find that the funds they invest are actually the accumulation of the original capital of the media companies. It is no wonder that the meticulous valve practitioners will find that several well-known domestic companies with successful international trade in valves can not find shadows in media that are generally considered valuable. why? Because they have already discovered this falsehood and bubble.

2. Insufficient understanding of the difficulties in the development of international trade, and excessive expectations for short-term gains

When many valve companies develop international trade, they believe that the development of international trade is easy, generally successful, highly profitable, has a high rate of return on investment and yields quickly, while ignoring the self-development and development of international trade in enterprises. The formation of ancillary services led many valve companies to lose their “market rationality” and “patience” when developing international trade, the short-term replacement of international trade leaders, and the development of international trade business leaders’ leadership. Hot and cold, intermittent, and some companies quietly gave up their efforts in the international trade business in the last few years.