As the economic downturn has caused consumers to look for lower-end and more cost-effective products, the local independent producers have thus won the development momentum and successfully increased their market share in the consumer, industrial and commercial sectors.
In 2017, the domestic lubricants market grew rapidly
Domestic large companies that once provided low-, medium-, and high-end lubricants will mainly provide high-end products by 2020. This makes the market's low-end lubricants mainly provided by local small businesses.
Multinational companies have begun to sell more directly to major customers, and local giants do so. They provide direct customers with more direct sales and personalized services, while multinational companies are more adept at technology, such as lubricants management projects.
However, the economic slowdown has not prevented the government from passing regulations to promote the evolution of products in the automotive and industrial sectors. The Chinese government has issued a policy requiring the replacement of existing obsolete equipment with higher speed and more durable modern equipment. The automotive industry is also evolving for product evolution. To cater to global trends, China's automotive lubricant marketers are committed to producing products that can help vehicles improve fuel economy and meet more stringent emission standards.
In 2016, China’s auto sales exceeded 28 million, an increase of approximately 15% over the previous year, exceeding the US’s sales of over 10 million vehicles. A growing middle class, western urbanization and government stimulus policies have all helped to increase car ownership. Since 2003, the growth rate has reached double digits. The increase in urbanization clearly has a direct impact on the Chinese lubricants market.
Traditionally, China's coastal areas represent a large part of the demand for lubricants, with a share of more than 50% in 2015. However, the central and inland regions have the largest GDP growth, which also increases the demand for lubricants in the region. Of course, coastal areas are expected to still account for a considerable proportion of lubricants.
Although market demand is expected to shrink to 6.9 million tons by 2020, the Chinese market will remain one of the world's largest lubricants markets. It is estimated that China’s current market value is about 26 billion U.S. dollars. In terms of quantity, industrial lubricants dominate, with a market share of close to 50%. In terms of currency value, the dominant consumer goods sector accounts for about the same percentage.
After the merger, the demand for lubricants in the commercial and consumer goods segment was approximately 3.9 million tons. Engine oil accounted for about 70% of the total demand, of which heavy duty diesel engine oil accounted for less than 50%, passenger car engine oil is about 25%. The portion of industrial oil, mainly processed oil, totaled 3.1 million tons. The consumer goods sector has seen the fastest growth. This trend will continue into 2020.
Commcrcial Vchicle Nylon PA Tube
Changchun FAW Sihuan Automobile Pipeline Co., Ltd
The original intention drives us to persist in innovation and achieve transcendence;
Our mission is to promote our continuous progress and excellence.
We will make our products to the extreme, and the Viewport Monument is the life of the enterprise,
Become a reliable one-stop professional supplier of automotive pipeline products.
Rooted in the northeast, it radiates across the country.Sihuan Pipeline Company, integrating R&D, design, production, experiment and testing, has been specialized in producing nylon gas transmission pipeline, fuel pipeline and high-pressure pipeline products for 20 years.At present, the enterprise has nearly 40000 square meters of modern production workshops and business office buildings, more than 200 senior employees, and an annual output of 56 million automobile
pipeline products.Its subsidiaries are located in Chengdu, Qingdao, Ma'anshan, Jinan, Foshan and other cities. Yuncheng Branch is under preparation to meet the needs of customers in different regions.
Innovative fusion, leading technology
<R&D>
Sihuan Pipeline Co., Ltd. takes technological innovation as its eternal pursuit, and has accumulated profound technical information through 20 years of scientific research, providing the most advanced technical support for each product project.The company has been recognized by the municipal technology center and participated in the revision of several national standards and industrial standards.The scientific research team has reached cooperation with Changchun Institute of Applied Chemistry, Chinese Academy of Sciences, Changchun University of Technology and other scientific research institutes, jointly developed a number of provincial science and technology department projects, and achieved a number of technical achievements.The testing laboratory has passed the ISO17025 laboratory management system certification. It has more than 40 sets of tube performance testing equipment and raw material testing instruments, and the testing means are
internationally leading.
Lean production, better quality than gold
<Production>
Sihuan Pipeline Company, based on the industry trend, formulates equipment procurement plans every year and continues to introduce world-class production equipment. Now, it has several automatic extrusion production lines in Merafil, Switzerland, as well as international top equipment such as Clarke bellows molding machine in France, Opel shrink pipe machine in Italy, which are stable, efficient, highly accurate, meet the diversified needs of the main engine factory, and achieve the brand charm of Sihuan.
Scientific management, safeguard quality.The production department implements a quality control system higher than the national standard, adopts 6S management on the site, regularly carries out personnel training, and constantly improves the process procedures.The quality inspection department must inspect every product and every process, resolutely put an end to the delivery of substandard products, and strive to promote product quality to the highest standards in the industry.
Four ring quality, famous throughout the country
<Products>
The products produced by Sihuan Pipeline Company are related to brake systems (including vacuum brake pipes, air brake pipes, spiral pipes, rear axle brake pipes);Fuel system (cover to atmospheric ash filter pipe, fuel pipe, crankcase vent pipe, vacuum pipe);New energy thermal management system and industrial energy storage water inlet and return pipeline assembly integrate safety functions such as check valve, flow regulating valve and exhaust valve, which directly affect vehicle performance and are prerequisites for safe driving;SCR system (including electric heating urea pipe, cooling water pipe and gas pipeline);High pressure pipeline products are used in clutch power assist system and hydraulic lifting pipeline. Excellent performance, stable physical performance, excellent chemical resistance, good processing performance and long service life.All products have passed the CQC certification, and all parameters tested in the laboratory are far higher than the national standards and industry standards.
After 20 years of hard work, Sihuan Pipeline Company has won recognition from all walks of life. It has successively won honorary titles such as "Jilin Province Small Giant Enterprise in Science and Technology", "High tech Enterprise Certificate", Changchun "Specialized, Special and New" SMEs. Its products are
now available to FAW Jiefang, FAW Pentium, Heavy Duty Truck Group, CIMC, Rolls Royce, Yapu, Sany Heavy Industry, GeelyContinental Group and other well-known enterprises are A-level suppliers of FAW Jiefang and other OEMs, and excellent suppliers of Anhui Valin.
In the future, Sihuan Pipeline Co., Ltd. will cater to the national carbon peak strategy, research and develop low emission pipeline manufacturing technology in a forward-looking manner, provide customers with high-quality products and services with innovation and quality, and create a better future for the automotive industry!
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