"Made in China" power equipment expands overseas market

The increase of overseas orders of power construction and power equipment enterprises confirms the judgment of market participants to a certain extent. Opening up overseas markets is an important development direction of domestic mainstream power equipment manufacturers. Whether it is a power generation equipment host manufacturing enterprise, or a power transmission and transformation and power station auxiliary equipment enterprise with technical strength and cost advantage, its export business or overseas capacity expansion in the next few years deserve attention.

It is reported that the three major domestic power generation equipment groups Shanghai Electric Group, Dongfang Electric Group, Harbin power station equipment group and China national technology import and Export Corporation recently jointly initialed a memorandum with Indonesia‘s State Power Corporation, which is to build a 10 million KW thermal power project for Indonesia within 36 months, with a total amount of US $7 billion. The formal contract will be signed in August.

In fact, the recent news about domestic enterprises obtaining overseas orders is not only here, but the large-scale project in Indonesia has attracted more attention. For example, China National Machinery and equipment import and Export Corporation has won 2 Malaysian wooden cards since this year × Other power engineering companies have also gained a lot from the general contracting contracts of three thermal power stations: 135000 kW power station, Sarawak power station and 300000 kW kaptalam power station in Sri Lanka. According to the Export Import Bank of China, which usually provides export credit support to Chinese enterprises, the total amount of power station projects being tracked recently is more than US $2 billion. In these projects, engineering design and equipment procurement are based on domestic enterprises.

From the situation of the Indonesian project, there are several points worthy of attention: first, the technical strength and price advantages of domestic power equipment enterprises are obvious. The production technology of 600000 kW and 300000 kW thermal power units of domestic enterprises has been very mature, and there are no technical obstacles. Secondly, for equipment enterprises, the profitability of foreign orders may be higher than that of domestic orders.

At present, the main engine manufacturing enterprises of power generation equipment have significantly enhanced the overseas export trend. However, from a broader perspective, several power transmission and transformation and power station auxiliary equipment enterprises with technical strength and cost advantages, such as TBEA, Harbin air conditioning, Guodian Nari, Tianwei baobian and other enterprises, have strength in this regard. Their export business or overseas capacity expansion in the next few years are worthy of attention.