Machinery industry: connectors, large companies small business growth opportunities
Connector is essential for the development of modern industrial base components: connector circuit is the electrical system of electrical connections essential core components, widely used in automotive, communications, aerospace, military equipment, computers, industrial, household appliances and other fields ; In the information technology, electronic high-speed development of the industrial process, the connector because it can simplify the assembly process of electronic products, improve design and production flexibility, enhance the automation of the whole system and so on, play an increasingly important role .
The connector industry space, the rapid growth of the Chinese market: in 2015 the global connector market size of more than 300 billion yuan, the Chinese market more than 80 billion yuan, the global industry leader Tyco electronic connectors revenue of more than 600 billion market value of more than 120 billion yuan; China's connector industry in the domestic leading enterprises under the leadership of sustained and rapid growth in 2010-2015 industry growth rate of 12.5%, far more than the global 2.6% over the same period, the industry leader (top5) compound growth over the past five years is more than 30% ; Chinese competitive enterprises in the connector industry competitiveness is outstanding, the future still has broad space for growth.
Domestic connector industry has developed rapidly, providing opportunities for domestic connector manufacturers: 1) The market for new energy vehicles and charging piles has broken out, and the demand for connectors has continued to expand. The overall demand for automotive connectors is relatively large, and the market share of domestic enterprises Lower, there is still much room for improvement in the future. 2) Base station construction investment peak is not retreated, 5G construction has been gradually carried out, import substitution and the extensive use of optical fiber products will further enhance the demand for communication connector. 3) The construction of the national defense will continue, the military expenditure will increase year by year, the electronic equipment and electronic components will be upgraded, and the military connectors will keep about 20% growth in the next three years. 4) the state to develop a variety of standard rail transportation, higher gross margin of the rail connector will gradually enlarge the demand. 5) consumer electronics is transformation and upgrading, product intelligence level, wearable equipment will become a long-term Aspect.
Investment advice: connector industry is developing rapidly, the domestic enterprises with their own advantages and disadvantages, and actively layout of the sub-areas, a number of high-quality enterprises will lead the development and transformation of the industry. We highlight the connector industry in the rapid development of the sub-areas have obvious advantages, while both growth companies, the proposed focus on the Air Optoelectronics, Yonggui Electric, Connie mechanical and electrical, aerospace appliances.
Risk Tip: connector downstream industry demand affected by the global economy, manufacturers of mergers and acquisitions there is uncertainty.
