Wire and cable "quality door" out of the haze

Wire and cable industry is expected to drive away the “mass haze”

Since 2010, AQSIQ has joined forces with the six departments of the Ministry of Industry and Information Technology, the China Federation of Machinery Industry, the China Electric Power Enterprise Association, the State Grid Corporation of China, and China Southern Power Grid Corporation to concentrate on accelerating the improvement of China's wire and cable product quality and industrial development. Level. In the past two years, China's wire and cable industry has gradually emerged from a “mass haze”. From May to September this year, the AQSIQ conducted supervision and spot checks on 1762 batches of wires and cables produced by 1,225 companies in 10 provinces (autonomous regions), and the product sampling pass rate 88.2%. Statistics show that in 2011 China's cable industry output value has exceeded one trillion yuan, reaching the world's largest scale. The pace of transformation and upgrading of the industry has been markedly accelerated and the industrial development has been robust.

“In recent years, wire and cable manufacturers have sprung up like mushrooms. It is understood that at present there are more than 8,000 wire and cable manufacturing companies in China, which are accompanied by increasingly fierce competition among enterprises, overcapacity, falling profits, and low prices. In order to seek more and more benefits, many companies choose unscrupulous business practices, resulting in the inflow of counterfeit and inferior products into the market, causing quality problems for the entire industry.” Xi’an West Dianguang Cable Co., Ltd. Zhang Yuxiang, deputy general manager, said in an interview with reporters that the six ministries and commissions will jointly rectify the wire and cable industry's chronic disease, will further standardize the market order, and the industrial concentration will be significantly improved.

Wire and cable repeatedly stuck in the "quality door"

In recent years, China's wire and cable industry has been immersed in the "mass" vortex because of inferior product quality, lack of integrity, and so on, and there has been a dilemma of "bad money drives out good money." Relevant investigations show that more than 40% of the companies in the industry have experienced bad competitions such as lower bids for costs and malicious price cuts by peers. The industry has even seen at least 2/3 of its products failing, or the period of inferior products. Extensive development model has made the industry turmoil.

"The overall level of China's wire and cable product quality is still not high. The qualification rate for product quality supervision and spot checks has been low for a long time. The quality of small and medium-sized enterprises has fluctuate greatly, and some enterprises have not carried out a strong sense of responsibility for the main part of product quality, and they have cut down on quality and made fake and fake sales. The phenomenon of dishonesty and violation of law is relatively prominent, and quality problems pose major hidden dangers to safety, environmental protection and health, said Chen Jinlong, senior marketing director of Far East Cable Co., Ltd. At the same time, the overall capacity of wire and cable is seriously excessive, and the utilization rate of general wire and cable production equipment is generally less than 40%; the industry concentration is not high, the development momentum of enterprises is insufficient, the independent innovation capability is not strong, and the homogeneity of medium and low-end products is highly competitive. Disorderly over-expansion, market competition is not standardized. These problems have been restricting the further improvement of the quality of wire and cable products.

“The output value of the wire and cable industry accounts for a quarter of the electrical appliance industry, and it is second only to the automotive industry. The cable production capacity is now 2 to 3 times the demand. This phenomenon has been a long time. Time, but some companies are still blindly expanding. The huge market demand brings opportunities to the industry, but it also brings disorderly competition.” Zhang Yuxiang said.

According to statistics, in the past 10 years, over a hundred major accidents have occurred in the power system due to fire and explosion of wire and cable cables. Accumulation of 320,000 meters of wire and cable has been destroyed, and the loss of power supply amounts to more than 10 billion yuan; China consumes 60 tons of copper annually. % The effective use rate of copper in wire and cable caused by unqualified and unsafe factors is only 30% to 40%.

Transformation and promotion have achieved initial success

In fact, some large-scale wire and cable companies that attach importance to brand building are not willing to compete with non-standard enterprises on the same stage. “Large enterprises have a certain brand effect and undertake certain social responsibilities. Vicious competitions often make these enterprises increase their investment in costs. Compared with the flexibility of private enterprises, large enterprises can't afford to hurt in low-price competition. "Zhang Yuxiang said that at this time, the state regulates the development of the industry, it becomes even more important.

In 2011, the six departments jointly promulgated and implemented the "Guiding Opinions on Promoting the Quality Improvement of Wire and Cable Products"; in early 2012, AQSIQ formally established a joint working group of 6 departments for quality improvement of wire and cable products, and established and implemented a series of favorable wires. The system measures for the improvement of cable quality and industrial development, government supervision and social supervision continue to increase, and the policy traction and guiding role continue to show; the company’s product quality subject responsibilities have been fully implemented, and the market environment conducive to the healthy development of the industry has been continuously optimized and severely cracked down. Punished a batch of illegal and irregular enterprises, established a group of outstanding enterprises with the image of quality and honesty leader, and the quality self-discipline level, government supervision level, industry development level and overall quality level of China's wire and cable enterprises have been significantly improved.

Chen Jinlong believes that the industry consolidation “forces” the user to reform the game rules, and at the same time, the market concentration is further enhanced, and the stronger ones are stronger and the survival of the fittest. However, the transformation and upgrading of enterprises must be a long-term process, and they will surely encounter many obstacles in the implementation process. This has slowed down the intensity and progress of rectification to some extent.

To some extent, there is still a big gap between the current level of China's wire and cable industry and the important position of the wire and cable industry. The long-term accumulation of contradictions in the process of industrial restructuring and transformation will continue for some time.

"Unblocking and Bonding" Further Remediation of Industrial Chaos

If market economy is likened to a free competition, disorderly competition is the price paid for freedom.

To some extent, the chaos that appears today in the wire and cable industry may be the "tuition fee" that must be paid on the road to growth, but it is not a blessing. Macroscopically, although the total scale, output, and growth rate of China's wire and cable have ranked first in the world for many years in a row, the immature industrial development, low concentration, lack of development stamina, and lack of industry self-regulation are still constraining its further development. . The necessary rectification and integration in the industry when problems arise are for better and faster development in the future.

In fact, after nearly two years of baptism in the wire and cable industry, although the effectiveness is obvious to all, the complexity and arduous nature of industrial quality upgrading and industrial transformation still exist. This includes a series of upstream and downstream industry chain reactions such as institutional limitations, local protectionism, customer conflict, employment pressure, and social issues. On the one hand, relevant departments must formulate various policies to channel and coordinate relevant interest chains, including the entry threshold, industry standards, and bidding methods; on the other hand, they should also consider companies that are not standardized and have serious quality problems. Conduct mandatory punishments and earnestly perform supervisory functions.

In recent years, the six departments have adhered to the principles of government promotion, enterprise orientation, market guidance, and social participation. They have fully mobilized and mobilized all aspects of society, formulated prevention and control of risks, promoted comprehensive improvement, promoted quality improvement through comprehensive improvement, and improved quality. To promote the development of the industry's working ideas, and effectively take effective measures to increase comprehensive efforts to rectify, for the wire and cable industry to lay a solid foundation for sustained and healthy development.

As Wu Shimin, deputy secretary-general of the Electric Wire and Cable Branch of the China Electrical Equipment Industry Association, said, go deep into the industry and step into the business, get to know the appeals of the interest parties in the industrial chain, find the problems behind the quality, and then solve the problems gradually, and do not engage in a gust of wind. The law enforcement supervision of this type, this practice, than the quality of the quality of the past, to supervise the supervision of the practice, it should be said that a type of innovation and breakthroughs with the times, is a progress. The six departments link together to connect all parties in the industry chain and make the industry move toward a healthy development.

It should be said that changing the excessively extensive development of China's wire and cable industry and the difficult situation of “big but not strong” is not a one-day situation. “Relief and integration” still has a long way to go in rectifying and integrating the industry. In the very long period of time in the future, the wire and cable industry still needs to further fully implement corporate product quality main responsibilities; strengthen the role of industrial policy constraints and guidance; accelerate the implementation of wire and cable enterprise product quality classification supervision system; increase wire and cable manufacturing enterprises and products Quality law enforcement supervision; strict inspection and supervision of export wire and cable products; improvement of product quality control system in key areas and key links; establishment of quality credit information sharing and sharing mechanism; intensification of technical problems that are conducive to quality improvement; perfection of industry self-discipline mechanisms, etc. To completely change the embarrassing situation of China's wire and cable industry to "take measures to win."