Wires and cables are the supporting products of the power industry, which are used in the fields of electric power, coal, petroleum, metallurgy, communication, transportation, national defense and so on. The development of wire and cable industry depends on the development of national economy, especially the development of power industry and communication industry. In 2006, China's wire and cable industry continued to maintain a good development trend, with a total industrial output value of 456.978 billion yuan, a year-on-year increase of 46.8%, and a total profit of 15.979 billion yuan, a year-on-year increase of 34.70%.

1、 General situation

From 2001 to 2006, China's wire and cable manufacturing industry maintained a rapid growth trend, and the year-on-year growth rate accelerated. Its development trend mainly has the following aspects.

1. Fast growth of industry scale

From January to November 2005, China's power cable production reached 6.7078 million km, a year-on-year increase of 58.77%, and from January to November 2006, a year-on-year increase of more than 40%. From January to September 2007, the total industrial output value of wire and cable industry was 4395.09 billion yuan, with a year-on-year increase of 38.37%.

① According to the industry classification of the National Bureau of statistics, the wire and cable industry is defined as the manufacturing of wires and cables used in power transmission and distribution, power transmission, sound, text, video and other information dissemination, as well as lighting and other aspects. Wire and cable manufacturing belongs to the electrical machinery and equipment manufacturing industry, the main product categories include: power cable, bare wire, winding wire, electrical equipment cable, communication cable and optical cable.

② The original data came from the National Bureau of statistics.

2. Low market concentration

By the end of 2007, there are about 2800 Enterprises above the designated size in China's wire and cable industry, while there are countless smaller enterprises. According to the "2007 Top 100 industrial output value (current price) of key enterprises of all branches of China Electrical Appliance Industry Association" issued by China Electrical Appliance Industry Association (CEEIA), 19 wire and cable enterprises entered the top 100. The list is shown in Table 1

Table 1 total industrial output value of 19 listed enterprises in wire and cable industry in 2007

Cable ranking total ranking enterprise name annual total industrial output value (ten thousand yuan)

19 Wuxi Hu'an wire and cable Co., Ltd. 652217

215 Tianjin plastic cable group Co., Ltd. 526534

316 Jiangsu Shangshang cable group 521851

433 Shandong Yanggu Cable Group Co., Ltd. 315162

534 Qingdao Hanyuan Group Co., Ltd. 305861

Guangdong Nanyang cable group Co., Ltd

764 Guangdong Cable Factory Co., Ltd. 207438

872 Guangdong new Yaguang cable industry Co., Ltd

973 Zhejiang Wanma group Cable Co., Ltd. 185527

1077 Tongling Jingda special electromagnetic wire Co., Ltd. 172197

1179 Yangzhou Shuguang Cable Co., Ltd

1281 Wuxi Cable Factory Co., Ltd. 166934

1384 Jiangsu Jinniu cable group company 163155

1487 Chongqing Yuneng Taishan wire and cable Co., Ltd. 157759

1589 Shandong Wanda Cable Co., Ltd. 155258

1690 Zhejiang Walda Cable Co., Ltd. 154739

1796 Fujian Nanping sun Cable Co., Ltd. 139646

1897 Tianjin Youhui wire and cable Co., Ltd. 135866

1999 Kunming Cable Co., ltd.133468

According to statistics, the market share of the enterprises with the highest sales revenue in the wire and cable industry in 2005 was no more than 2.81%, and the cumulative share of the top 24 leading enterprises was only 23.17%. Compared with other industries, the market concentration of wire and cable industry is low. The global wire and cable market has formed such brands as nexen, birrelli and Sumitomo, which are super powerful and can maintain a dominant position for a long time. However, at present, there are no enterprises and brands with outstanding advantages in China.

3. Obvious regional distribution of the market

The regional distribution of enterprises in China's wire and cable industry is obvious. It can be seen from table 2 that the total industrial output value of the top five provinces with the highest market share exceeds 70%. East China and South China account for the majority, while the central and western regions account for a small proportion.

Table 2 total industrial output value and market share of China's wire and cable industry from January to November 2005

Ranking regional total industrial output value (100 million yuan) market share ranking regional total industrial output value (100 million yuan) market share

1 Jiangsu 527.4022.62% 16 Jiangxi 16.840.72%

2 Guangdong 398.4317.09% 17 Guangxi 15.530.67%

3 Zhejiang 286.47l2.29% 18 Shaanxi 13.620.58%

4 Shandong 278.5711.95% 19 Beijing 10.530.45%

5 Shanghai 177.787.62% 20 Yunnan 9.150.39%

6 Liaoning 97.984.20% 21 Gansu 8.780.38%

7 Anhui 97.094.16% 22 Heilongjiang 7.380.32%

8 Hebei 91.073.91% 23 Shanxi 4.860.21%

9 Sichuan 65.772.82% 24 Guizhou 4.800.21%

10 Tianjin 54.382.33% 25 Xinjiang 2.720.12%

11 Henan 47.222.02% 26 Hainan 2.620.11%

12 Hubei 33.571.44% 27 Jilin 1.740.07%

13 Fujian 31.021.33% 28 Inner Mongolia 0.880.04%

14 Hunan 26.791.15% 29 Ningxia 0.590.03%

15 Chongqing 17.800.76% 30 Qinghai 0.380.02%

(source: National Bureau of Statistics)

With the acceleration of power grid construction during the "Eleventh Five Year Plan" period and the rare development of China's wire and cable industry in recent years, it has shown certain development characteristics in policy, economy, technology, social security and other aspects.

2、 Analysis on development environment of wire and cable industry in China

1. Policy environment

In order to ensure the safety of electric power operation, the State implements the production of wire and cable products