Machinery / Industrial Parts & Tools

Although the new crown pneumonia epidemic is still repeated around the world, China's mechanical and electrical products benefited from the increase in global demand for mechanical and electrical products and the supply guarantee under the domestic epidemic prevention and control dividend. The first year of the "14th Five-Year Plan" achieved a good start. According to data from the General Administration of Customs, the import and export volume of China's mechanical and electrical products in 2021 will be US$3.13 trillion, exceeding US$3 trillion for the first time, a year-on-year increase of 25.5%.

In the past year, China exported 12.83 trillion yuan of mechanical and electrical products, an increase of 20.4%, accounting for 59% of the total export value. The export value of key electromechanical industries has generally increased significantly. The data shows that in 2021, the export value of China's automobiles (including chassis) increased by 119.2% year-on-year to US$33.46 billion, the most significant increase. The export of traditional key products such as computers, communication products, household appliances, and lighting equipment continued to grow steadily thanks to the increase in global demand. The export of electric vehicles, lithium batteries, integrated circuits, photovoltaics and other emerging products has grown rapidly. Exports of upstream components such as printed circuits, connectors, transistors, and capacitors have also grown significantly, driven by overseas production and deeper integration into the global industrial chain.

In terms of imports, in 2021, China will import 7.37 trillion yuan of mechanical and electrical products, an increase of 12.2%, accounting for 42.4% of the total import value. As China's imports of mechanical and electrical products are mainly used for various intermediate products such as electronic information and automobiles, the import of intermediate products supports the overall steady growth of imports of mechanical and electrical products. Among them, integrated circuits are the single electromechanical product with the largest import value in China, and it is also the main driving force driving China's electromechanical imports. Data show that China's integrated circuit imports in 2021 will increase by 23.6% year-on-year to US$432.55 billion. China's import and export of electromechanical products Gao Shiwang, director of the Industry Development Department of the Chamber of Commerce, believes that there are two main reasons for the high growth of China's integrated circuit import trade. One is that the digitalization and intelligence of various industries drive the demand for upstream semiconductors; the other is the repeated overseas new crown pneumonia epidemic and Sino-US trade frictions The unstable supply chain of China has exacerbated the global semiconductor production capacity shortage and supply shortage. In order to avoid production interruption, Chinese companies, which play an important role in the global supply of mechanical and electrical products, have increased the inventory of key components such as integrated circuits.

From the perspective of the market, in 2021, the export growth rate of China's mechanical and electrical products to Europe, America, Japan, South Korea and other regions will be higher than the overall growth rate of imports. The United States is still the largest single country market for China's mechanical and electrical products exports. The data shows that in the first 11 months of 2021, China's exports of mechanical and electrical products to the United States increased by 26.7% year-on-year. The main commodities with increased exports, and the top two mechanical and electrical products exported to the United States are notebook computers and computers that have not yet been subject to tariffs. The export value of mobile phones increased by 18.6% and 17.5% year-on-year respectively, accounting for 22.1% in total.