The market concentration of the automotive bearing industry will gradually increase

At present, automotive bearings are mainly used in motor vehicles such as automobiles and motorcycles. Automobiles have more demand for bearings. Key components such as automobile transmissions, engines, and axles need to use bearings. Although bearings are only small parts, they are closely related to the reliability, safety and comfort of the entire vehicle. An average of about 80 sets of various bearings for assembly and after-sales maintenance of a car. In terms of the number of supporting bearings, deep groove ball bearings, tapered roller bearings and needle roller bearings are the main ones, accounting for 21.32%, 34.36% and 30.42% respectively; in terms of size, medium and small and medium and large bearings are the main ones.

　　 Due to the relatively low barriers to entry in the bearing industry, Chinese bearing manufacturers are mainly small and medium-sized. There are more than 4,000 companies in the industry, of which about 1,700 have formed a certain scale. Due to the relatively high requirements for automotive bearings, there are currently 30-50 bearing companies in the country that can support the automotive industry. The bearing sector in the capital market has gradually grown, with more than 10 listed companies.

China's bearing industry is based on Kazakhstan, Wazhou and Luozhou. At present, China's bearing industry is led by six leading companies, namely Harbin, Wazhou, Luozhou, Tianma, Qianchao, and People-oriented. Qianchao mainly focuses on automobiles. The universal joint (usually including four sets of bearings) and automobile wheel bearing business in the field of universal joints are the country’s largest manufacturer of universal joints; automobile wheel bearings have entered the supply chain of joint venture cars.

　　 In addition to Wazhou, Tianma, and Wanxiang Qianchao, there are currently 9 bearing-related companies that have landed on the capital market. Among them, 4 companies are mainly engaged in automotive bearings, namely Xiangyang Bearing, which mainly engages in automotive bearings (mainly heavy-duty truck wheel bearings); Southern Bearings, mainly for automobiles and motorcycles, with the largest output of needle roller bearings in China; Excellent, its railway freight car bearings and miniature bearings are well-known in the country. The group also has steam turbine blades, cutters, fasteners and other businesses; Linyi Kaiyuan is mainly engaged in automotive bearings (heavy trucks, cars), metallurgical and mining bearings.

　　 In the future, more bearing-related listed companies will appear in the Chinese capital market. Among them, Changzhou Guangyang, Wuzhou New Year, Lixing Steel Ball, Xinxiang Risheng, Daye Axis are already operating and listed, and Waye Mine, MOS Group, and Dibang Samsung are also interested in listing. Among these companies, Changzhou Guangyang, Wuzhou Xinchun, and Lixing Steel Ball are mainly engaged in automotive bearings.

According to the "In-depth Investigation and Investment Strategic Planning Analysis Report of China's Automotive Bearing Industry" released by the Qianzhan Industry Research Institute, in 2016, the sales revenue of the bearing industry exceeded 280 billion yuan. Bearings for automobiles and motorcycles accounted for 28% of the industry. In 2016, the scale of the automotive bearing industry reached 79 billion yuan. Foresight Industry Research Institute predicts that by 2023, bearings for automobiles and motorcycles will exceed 110 billion yuan.

　　 2018-2023 automotive bearing industry market scale forecast (unit: 100 million yuan)

Source: Compiled by Qianzhan Industry Research Institute

As the country vigorously develops the equipment manufacturing industry and the process of economic globalization is further accelerated, the transfer of international industries to China provides a new development opportunity for the machinery manufacturing industry, and the bearing industry and machine tool industry as the foundation of the machinery manufacturing industry will also face With broader development prospects, high-end precision bearings and high-end CNC machine tools will become mainstream products in the future, especially key mechanical parts, such as wind power bearings. Under the background of vigorously developing green energy-wind energy in the world, and vigorously promoting low-carbon life in the country , It is a hot product in the next few years.

　　 At present, the concentration of China's bearing industry is relatively low, with the characteristics of large quantity, small scale, low product grade, and uneven quality. Take the needle roller bearing industry in which the company is located as an example. It is currently in the stage of competition and integration and has not yet formed an absolute advantage in brand division. In the future, industry competition will gradually move from a single product price competition to a comprehensive level of competition in terms of brand, network, service, talent and management, and enterprise scale. The industry concentration will gradually increase.

　　Because bearing applications are mostly in the industrial field, and reliability is one of the basic requirements of the industry, whether it is automobiles, machine tools, high-speed rail, home appliances and other industries, its reliability and stability are closely related to the brand of the host company. Because the majority of users have clearer requirements for the reliability and stability of bearings, as well as the improvement of the management and development concepts of various mainframe industries, they pay attention to cultivating their own brand names and brands, so the market demand is more toward excellent bearing brands and excellent bearing companies.