Market scale gradually rising, Signal relay dominate future market
The rapid spread of information technology takes human into a new era. The technology from analog to digital will become the mainstream of electronics products. Hence, relays are continuous to be expanded with risen technology.
Relay is an element of automatic switching with isolation function, widely used in remote control, telemetry, communication, automation, electromechanical integration and power electronic devices and one of the most important control elements.
Our market scale of relay growing
It was reported that the application scale of intermediate relays in OEM market is USD$7.35 billion in 2011. Between the market, applications with intermediate relays in machine market are USD99 million and occupy 14 % of the whole market to be ranking first. The demand of intermediate relays in machine market is expected to increase slightly.
According to information from the National Bureau of Statistics : the industrial output value of machine is totally USD$660.65 billion during January ~December of 2011, increases 32.1% more than before; product sales value is USD$642.49 billion, increases 31.1% more than before; product sales rate is 97.3%, decreases 0.8% lower than before.
Problems in our relay industry
Now the relay industry primarily has following problems during developing period:
Technological backwardness: mainly produce those relays of which patent is overdue, imitation instead of innovation, almost without breakthrough.
Product development is uneven: high-tech and high value-added is less, lots of products are ordinary electromagnetic and non-sealed; less products with investment, more products used in consumer.
Enterprise development is uneven: enterprises with high technical ability have lower economic efficiency; assembling enterprises with labor-intensive but without self-development capacity still keep obtaining benefits by mass production due to lower costs of labors and other factors.
Lower added value of exported products: exporting volume is large but with low-tech; due to having cheap cost of labors, export manufacturers compete to make prices down and squeeze the market, to earn money hard.
Above of problems has hindered the development of relay industry. However, some visionary manufacturers have been standing in this business and actively seek a breakthrough to open a new path for the development of domestic enterprises.
Signal & automotive relays, the main development in future
Signal and automotive relays will be the main direction of development. Signal relays become the first major application in market; the third-generation signal relays have been widely used; solid state relays are used microelectronics technology with intelligent and modular direction to increase demand steadily in market. Automotive relays are the second applications largely in market; the using amount of bicycles are increasing continuously with rapidly expanded species; especially the automotive power systems transformed from 14V to 42V will promote technology innovation; electromagnetic latching relays become the preferred home appliance products due to low-power consumption. Relay manufacturers continue to introduce new products so that the new varieties of domestic relays have reached the global level of the mid-1990s and gradually reduced the distance from other foreign advanced level.
In the future, our relay will rapid develop in the market. We are not still sure how domestic enterprises will develop to in China market, but with upgrade of manufacturing in China industry, domestic relays will be promoted with higher and faster development, high-end market for domestic enterprises is not a dream.