Foreign companies in wind power subdued to force state-owned enterprises to prepare for war

Just as wind power equipment giants such as Goldwind Technologies, Huarui, and other companies in China are busy expanding their international markets, many international giants of wind power equipment have begun to focus on the Chinese wind power market. China's domestic wind power equipment manufacturers may launch face-to-face market grabs with outside competitors. The current market situation of “delicious and low porridge” may force domestic wind power equipment companies to step up preparation for war, and the low cost and high quality of equipment products need to be taken into account.

In recent years, the rapid development of China's wind power market has attracted many international wind power equipment vendors. Wind turbine manufacturing giant Vestas Wind Energy Systems stated that the company has received orders of 400 megawatts between 2011 and 2014.

Tanti, chairman of Suzlan Energy Ltd., one of the world's largest wind energy companies, said on September 12 that it plans to establish an R&D center in China and will export turbines for the first time from its Chinese factory. On September 14th, George Caffert, chairman and president of Spain’s Gamesa, announced that it will invest 90 million euros in China in the next three years, more than double its total investment in China in the past, making its cumulative investment in China exceed 130 million euros.

International wind power equipment manufacturers have taken the Chinese market and accelerated the localization of equipment. For domestic wind power equipment manufacturers, this means that the original wind power equipment market, in which competition has become increasingly fierce, will face a more brutal "survival of the fittest." It is understood that in recent years, the localization rate of domestic wind power equipment continues to increase. Local wind turbines and parts manufacturers have also been springing up. The market competition has become increasingly fierce, and the overall gross profit margin of wind power equipment has declined to varying degrees.

The local wind power equipment industry originally faced the pressure of mergers and reorganizations and industry consolidation. Today, increasing international counterparts' investment in the Chinese market will stimulate the early arrival of the industry consolidation wave. For local equipment manufacturers, the original rapid development model that depends on capacity expansion and scale production will face the pressure of optimization and upgrade. Even if it is a leading domestic equipment company, it will have to fight against international counterparts in advance.

In the contest between domestic and foreign wind power equipment manufacturers, product quality and technology are still the key factors that determine the outcome. It is worth noting that, in the past, domestic wind power equipment manufacturers generally have obvious cost advantages compared with their foreign counterparts. Today companies including Vestas have production bases in China, which means they can also share low costs. Advantage. Therefore, in the competition, domestic equipment manufacturers need to consolidate the advantages of the existing sales network, on the other hand, they need to focus on improving the quality, technical level and brand advantage.

It is understood that the products produced by international wind power equipment manufacturers are mostly based on uniform standards and have significant advantages in quality and technology. The domestic production rate of wind power equipment in China still has room for improvement, and quality and efficiency are still difficult to achieve. At present, the cost per kilowatt of wind power equipment is still as high as 8,000 to 10,000 yuan, and the maintenance cost remains high.

Now China's first round of 1 million kilowatts of offshore wind power concession projects has been tendered and will follow the bidding rules of equal quality and price. Therefore, for domestic and foreign wind power equipment vendors, this round of competition is bound to be the competition of quality and cost.

In addition, Gemeji Company is also joining forces with domestic electric power central enterprises to enter into the development and operation of wind farms, which means that international wind power giants are trying to fully support the growth of China's wind power market. If the above cooperation method is replicated, it means that in the future wind power industry in China, especially in the new offshore wind power concession bidding project, the possibility of foreign wind giants and central enterprises joining hands to win the bid will also be greatly enhanced. How to minimize costs while maintaining high quality will be a key lesson for domestic wind power equipment manufacturers in responding to industry consolidation “tests”.