Zhejiang Wuzhou Valve is one of the leading enterprises in the domestic valve industry. The export of this company in 2006 rose from more than 23 million yuan to more than 48 million yuan, an increase of more than 100%. However, it is such a rapid growth, but let Longwan District Valve Industry Association, Wuzhou Valve General Manager Chen Jinfa worried that what exactly is the reason?
Pump valve product export "blowout"
There are two major pump and valve bases in Wenzhou, “Hometown of Chinese Pump Valves†in Oubei Town, Yongjia County, and “China Valve City†in Longwan District. In recent years, Wenzhou’s pump and valve companies have continuously increased their efforts in technological transformation, and there have been a large number of valve companies with high technological content, such as Zhejiang Wuzhou Valve successfully developed the largest diameter ball valve in China, and Global Valve Group developed the second-level nuclear power. Valves, etc. The emergence of a number of high-tech valve products has made Wenzhou's valve industry more and more famous. In addition, the individual scale of Wenzhou valve and valve companies has grown in recent years, and companies frequently appear in the tendering and biding sites of major domestic projects, making Wenzhou pumps Valve products are increasingly recognized by the market, and annual sales have increased significantly.
With the rising popularity of regional brands, the export volume of pump and valve products has also experienced unprecedented growth. Especially in the past year, Wenzhou’s pump and valve companies have experienced a “blowout†phenomenon. According to statistics of the Wenzhou Longwan Valve Association, in the past 2006, the Longwan valve industry as the “China Valve City†achieved a total annual industrial sales of 8.7 billion yuan, an increase of more than 30% over the previous year, of which the increase in export trade was much higher. With the increase in domestic trade, the growth rate of many enterprises’ exports has reached more than 100%, and the growth rate of the export of the two major pump and valve production bases is far higher than that of the entire industry.
Foreign trade barriers may cause a substantial increase in the volume of exports of industrial products. It was originally a good thing, but recently, Chen Jinfa is worried about this matter.
This has to start with Chen Jinfa going abroad. In the second half of last year, Chen Jinfa was on a business trip to Europe. A local customer reported that the quality of valve products in Wenzhou was not good. Chen Jinfa later learned that those products that have been questioned by customers for quality problems are the hands of individual companies in Wenzhou. After returning home, Chen Jinfa, president of the Longwan Industry Association, began thinking about valve exports.
Chen Jinfa said that in recent years, with the continuous improvement of the brand awareness of Wenzhou Pump Valve Industry, foreign orders have also flown to Wenzhou enterprises. Many small businesses have played a "price war" in the industry in order to win international orders. However, some small businesses relying on price advantage to get orders from abroad, in order to reduce costs, often cut corners, resulting in substandard products, affecting the reputation of Wenzhou valve industry. The most frightening thing is that in the long run, the Wenzhou valve industry is also likely to encounter trade barriers in the international market.
The two major bases have joined hands to achieve a smooth transition. To avoid the potential for international trade barriers caused by an increase in export volume, Longwan Industry Association has intended to negotiate with related departments to invest funds in the purchase of product testing equipment to strengthen the inspection of export products within the industry. It will also begin to formulate self-discipline provisions for industry companies to strengthen the quality management within the industry.
Chen Jinfa said that hidden hidden troubles in the valve industry should not be underestimated. The Longwan valve industry and the Yongjia Pump & Valve Industry Association have joined hands to ensure that the “price war†within the entire domestic industry will inevitably be achieved. However, this can better preserve the reputation of the Wenzhou valve industry and avoid foreign “barriers†to China’s pump trade enterprises. Occurs, so that the Wenzhou valve industry to achieve a smooth transition.
Pump valve product export "blowout"
There are two major pump and valve bases in Wenzhou, “Hometown of Chinese Pump Valves†in Oubei Town, Yongjia County, and “China Valve City†in Longwan District. In recent years, Wenzhou’s pump and valve companies have continuously increased their efforts in technological transformation, and there have been a large number of valve companies with high technological content, such as Zhejiang Wuzhou Valve successfully developed the largest diameter ball valve in China, and Global Valve Group developed the second-level nuclear power. Valves, etc. The emergence of a number of high-tech valve products has made Wenzhou's valve industry more and more famous. In addition, the individual scale of Wenzhou valve and valve companies has grown in recent years, and companies frequently appear in the tendering and biding sites of major domestic projects, making Wenzhou pumps Valve products are increasingly recognized by the market, and annual sales have increased significantly.
With the rising popularity of regional brands, the export volume of pump and valve products has also experienced unprecedented growth. Especially in the past year, Wenzhou’s pump and valve companies have experienced a “blowout†phenomenon. According to statistics of the Wenzhou Longwan Valve Association, in the past 2006, the Longwan valve industry as the “China Valve City†achieved a total annual industrial sales of 8.7 billion yuan, an increase of more than 30% over the previous year, of which the increase in export trade was much higher. With the increase in domestic trade, the growth rate of many enterprises’ exports has reached more than 100%, and the growth rate of the export of the two major pump and valve production bases is far higher than that of the entire industry.
Foreign trade barriers may cause a substantial increase in the volume of exports of industrial products. It was originally a good thing, but recently, Chen Jinfa is worried about this matter.
This has to start with Chen Jinfa going abroad. In the second half of last year, Chen Jinfa was on a business trip to Europe. A local customer reported that the quality of valve products in Wenzhou was not good. Chen Jinfa later learned that those products that have been questioned by customers for quality problems are the hands of individual companies in Wenzhou. After returning home, Chen Jinfa, president of the Longwan Industry Association, began thinking about valve exports.
Chen Jinfa said that in recent years, with the continuous improvement of the brand awareness of Wenzhou Pump Valve Industry, foreign orders have also flown to Wenzhou enterprises. Many small businesses have played a "price war" in the industry in order to win international orders. However, some small businesses relying on price advantage to get orders from abroad, in order to reduce costs, often cut corners, resulting in substandard products, affecting the reputation of Wenzhou valve industry. The most frightening thing is that in the long run, the Wenzhou valve industry is also likely to encounter trade barriers in the international market.
The two major bases have joined hands to achieve a smooth transition. To avoid the potential for international trade barriers caused by an increase in export volume, Longwan Industry Association has intended to negotiate with related departments to invest funds in the purchase of product testing equipment to strengthen the inspection of export products within the industry. It will also begin to formulate self-discipline provisions for industry companies to strengthen the quality management within the industry.
Chen Jinfa said that hidden hidden troubles in the valve industry should not be underestimated. The Longwan valve industry and the Yongjia Pump & Valve Industry Association have joined hands to ensure that the “price war†within the entire domestic industry will inevitably be achieved. However, this can better preserve the reputation of the Wenzhou valve industry and avoid foreign “barriers†to China’s pump trade enterprises. Occurs, so that the Wenzhou valve industry to achieve a smooth transition.
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