3. Poor ratio structure, lack of capacity for independent innovation. China's electronic information industry is also faced with some problems, mainly reflected in the disproportionate proportion of the industrial structure, the low proportion of integrated circuit industry, software and information services, and the lack of core technologies. , independent intellectual property rights and world-famous brands, key technologies, patents and standards are subject to people; low-end products exceed supply, high-end products rely on imports; production is at the low end of the industry chain, the industry's profit margin is low; product aging and new product development lags behind Intensified, high-tech, basic products such as integrated circuits, new types of components, and software are still the bottlenecks that restrict the independent development of the industry. In addition, large companies are not strong, small businesses lack specialization, and the current situation of small-scale and decentralized operations is still not fundamentally changed. The lack of a large number of large companies with international competitiveness has a wide gap with similar multinational companies.
In terms of core technologies such as software, integrated circuits, new types of components, electronic materials, and special equipment and instruments, there is still a large gap between Chinese companies and multinational companies, which leads to a weak international competitiveness of products. Due to the mastery and monopolization of the design and production of core software and key infrastructure components, developed countries such as the United States and Japan occupy a dominant position in the manufacturing of electronic information products. The United States has monopolized the core microprocessor system chip technology; Japan has advantages in semiconductor memory, electronic production equipment, flat panel displays, hard disk drives, and printers.
Most of the innovations of electronic information companies in China are focused on applications, appearance, and functions. In addition to a few enterprises such as Huawei and ZTE, there are only a few companies with comprehensive innovation capabilities. In addition to the lack of core key technologies and basic tool products, Chinese enterprises generally lack product definition capabilities and are another important reason for the lack of independent innovation capabilities. Therefore, they can only take steps to imitate and copy the specifications and design plans of other people's products.
Without core technologies and intellectual property rights, it will not be possible to develop upstream of the highly profitable industrial chain. It will be difficult for Chinese enterprises to truly realize independent innovation, fail to create brands and products that are internationally competitive, and cannot escape the situation of being controlled by others in certain fields.
4. Huge cost pressures and increasing international trade protection At present, most of China's electronic information companies lack core technologies and brands. They are in the middle and low end of the industrial value chain, and they mainly rely on low-end products and can only passively accept cross-border products. The company's division of labor and pricing, many domestic export companies think that foreign suppliers of processing and assembly services, mainly to earn a small amount of processing services. Even if Haier, Hisense, Datang Telecom and other complete machine companies with certain technological capabilities, the profit rate is only 3% to 4%, while Intel's profit rate is generally 20%. With the rising costs of labor, raw materials, environmental resources, land, and other factors, coupled with the steady appreciation of the renminbi against the US dollar, China's processing and manufacturing companies are facing greater and greater cost pressures, and profits have decreased and then decreased.
This increase in costs is almost rigid and irreversible. The rising cost of food, housing, medical care, and education has caused labor costs to rise. The aging of the population has gradually reduced the supply of labor in China; the extensive development model that relies heavily on land, minerals, and environmental resources has been difficult to sustain and long-term resources have been depressed. And environmental costs will continue to rise. Under the pressure of cost, some electronic manufacturing industries have begun to transfer to Southeast Asian countries with lower manufacturing costs, such as Vietnam, Myanmar and India. China's electronic information industry is in danger of becoming hollow.
Since the outbreak of the financial crisis in 2008, all countries in the world have implemented large-scale economic stimulus plans. However, such stimulus measures to increase debt and overdraw the future cannot be sustained. Since 2011, Greece, Ireland, Portugal, Spain, and Italy have successively erupted debt crisis, and they have become increasingly fierce. There are no signs of ending. Countries have successively implemented fiscal austerity policies to withstand the crisis. Therefore, the long-term external demand market in which China's electronic information manufacturing industry depends on rapid growth will gradually shrink, and the growth momentum will no longer be maintained.
Under such circumstances, the protection of trade in various countries has come one after another. The United States’ special tire protection case, European punitive tariffs on China’s ceramic products, and other countries’ high tariffs on our footwear, textiles and other products all remind us that global trade protection measures may be only the beginning. In order to protect domestic industries, trade protection measures such as tariffs, quotas, product standards, and intellectual property rights will continue to emerge.
5. The overall domestic economic environment urgently needs to be improved With the continuous expansion of manufacturing capacity, China's electronic information products have entered a stage of surplus, especially in the low-end products, in a bloody price war in a vicious cycle, the Blue Ocean market has become the Red Sea market. Many SMEs have become accustomed to paying for premiums, relying on massive consumption of resources to achieve growth, and lacking the ability and willingness to rely on internal R&D, management, and marketing to improve their competitiveness.
Blindly pursuing the output value and scale leads to excessive competition among enterprises, short-sighted behavior is widespread, and making quick money has become the first choice for most companies. This is the actual choice of manufacturing enterprises in China, and there are institutional factors in it. China's processing and manufacturing enterprises have low technical barriers, weak research and development capabilities, and similar product types and functions, resulting in low levels of product differentiation, weak competitiveness, and facing very severe pressures for survival. Under such pressure, plagiarism, imitation, making quick money, and earning hard money have become natural choices for companies.
On the other hand, under the temptation and demonstration of real estate, finance, online games and other profit-making industries, more and more private capital and state-owned capital have swarmed in, and they have speculated on the mentality of the gamblers who took away and made speculation. Real estate, stocks. Entrepreneurs are no longer at ease with product R&D, services, and marketing; researchers are thinking of bringing products to market sooner, earning money to buy a house early, instead of making quality products; ordinary employees frequently switch jobs, labor experience, and The accumulation of skills does not result in a steady increase in the technological level of the company.
Since 2011, with shrinking monetary conditions and weak external demand, more and more small and medium-sized processing and manufacturing companies have fallen into a situation of meager profit, loss, and bankruptcy. Unusual financial activities such as loan sharks make SMEs worse.
In terms of core technologies such as software, integrated circuits, new types of components, electronic materials, and special equipment and instruments, there is still a large gap between Chinese companies and multinational companies, which leads to a weak international competitiveness of products. Due to the mastery and monopolization of the design and production of core software and key infrastructure components, developed countries such as the United States and Japan occupy a dominant position in the manufacturing of electronic information products. The United States has monopolized the core microprocessor system chip technology; Japan has advantages in semiconductor memory, electronic production equipment, flat panel displays, hard disk drives, and printers.
Most of the innovations of electronic information companies in China are focused on applications, appearance, and functions. In addition to a few enterprises such as Huawei and ZTE, there are only a few companies with comprehensive innovation capabilities. In addition to the lack of core key technologies and basic tool products, Chinese enterprises generally lack product definition capabilities and are another important reason for the lack of independent innovation capabilities. Therefore, they can only take steps to imitate and copy the specifications and design plans of other people's products.
Without core technologies and intellectual property rights, it will not be possible to develop upstream of the highly profitable industrial chain. It will be difficult for Chinese enterprises to truly realize independent innovation, fail to create brands and products that are internationally competitive, and cannot escape the situation of being controlled by others in certain fields.
4. Huge cost pressures and increasing international trade protection At present, most of China's electronic information companies lack core technologies and brands. They are in the middle and low end of the industrial value chain, and they mainly rely on low-end products and can only passively accept cross-border products. The company's division of labor and pricing, many domestic export companies think that foreign suppliers of processing and assembly services, mainly to earn a small amount of processing services. Even if Haier, Hisense, Datang Telecom and other complete machine companies with certain technological capabilities, the profit rate is only 3% to 4%, while Intel's profit rate is generally 20%. With the rising costs of labor, raw materials, environmental resources, land, and other factors, coupled with the steady appreciation of the renminbi against the US dollar, China's processing and manufacturing companies are facing greater and greater cost pressures, and profits have decreased and then decreased.
This increase in costs is almost rigid and irreversible. The rising cost of food, housing, medical care, and education has caused labor costs to rise. The aging of the population has gradually reduced the supply of labor in China; the extensive development model that relies heavily on land, minerals, and environmental resources has been difficult to sustain and long-term resources have been depressed. And environmental costs will continue to rise. Under the pressure of cost, some electronic manufacturing industries have begun to transfer to Southeast Asian countries with lower manufacturing costs, such as Vietnam, Myanmar and India. China's electronic information industry is in danger of becoming hollow.
Since the outbreak of the financial crisis in 2008, all countries in the world have implemented large-scale economic stimulus plans. However, such stimulus measures to increase debt and overdraw the future cannot be sustained. Since 2011, Greece, Ireland, Portugal, Spain, and Italy have successively erupted debt crisis, and they have become increasingly fierce. There are no signs of ending. Countries have successively implemented fiscal austerity policies to withstand the crisis. Therefore, the long-term external demand market in which China's electronic information manufacturing industry depends on rapid growth will gradually shrink, and the growth momentum will no longer be maintained.
Under such circumstances, the protection of trade in various countries has come one after another. The United States’ special tire protection case, European punitive tariffs on China’s ceramic products, and other countries’ high tariffs on our footwear, textiles and other products all remind us that global trade protection measures may be only the beginning. In order to protect domestic industries, trade protection measures such as tariffs, quotas, product standards, and intellectual property rights will continue to emerge.
5. The overall domestic economic environment urgently needs to be improved With the continuous expansion of manufacturing capacity, China's electronic information products have entered a stage of surplus, especially in the low-end products, in a bloody price war in a vicious cycle, the Blue Ocean market has become the Red Sea market. Many SMEs have become accustomed to paying for premiums, relying on massive consumption of resources to achieve growth, and lacking the ability and willingness to rely on internal R&D, management, and marketing to improve their competitiveness.
Blindly pursuing the output value and scale leads to excessive competition among enterprises, short-sighted behavior is widespread, and making quick money has become the first choice for most companies. This is the actual choice of manufacturing enterprises in China, and there are institutional factors in it. China's processing and manufacturing enterprises have low technical barriers, weak research and development capabilities, and similar product types and functions, resulting in low levels of product differentiation, weak competitiveness, and facing very severe pressures for survival. Under such pressure, plagiarism, imitation, making quick money, and earning hard money have become natural choices for companies.
On the other hand, under the temptation and demonstration of real estate, finance, online games and other profit-making industries, more and more private capital and state-owned capital have swarmed in, and they have speculated on the mentality of the gamblers who took away and made speculation. Real estate, stocks. Entrepreneurs are no longer at ease with product R&D, services, and marketing; researchers are thinking of bringing products to market sooner, earning money to buy a house early, instead of making quality products; ordinary employees frequently switch jobs, labor experience, and The accumulation of skills does not result in a steady increase in the technological level of the company.
Since 2011, with shrinking monetary conditions and weak external demand, more and more small and medium-sized processing and manufacturing companies have fallen into a situation of meager profit, loss, and bankruptcy. Unusual financial activities such as loan sharks make SMEs worse.
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