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China Variable Frequency Drive Suppliers developing status

(The terms, variable frequency drive, also can refer to variable speed drive, frequency inverter, AC drive and in abbreviation VFD in this paper.)

China Variable frequency drive market


China total potential market capacity of variable frequency drive (VFD) should be 120 to 180 billion Yuan, which accounted for about 60% of low voltage VFDs, middle voltage and high voltage VFDs share 40 % market. variable speed driveCurrently, high-voltage VFD's applications include: metallurgy, petrochemical, power plants, urban water supply system, most use for fans and pumps. Due to the high-voltage power electronic devices constraint, high voltage VFDs have not been used widely which is less 20%, it needs the suppliers make further marketing promotion.

Currently, Chinese local market maintains a 25% -35 % annual increase rate, the increase rate is in the first place among other electrical products, which is far beyond the GDP increase level of China. In forecast, the annual increase rate will remain at 25% or more for at least 10 years, according to this increase speed, it needs at least 15 years for Chinese VFD manufacturers to reach the market saturation.

China variable speed drive manufacturers developing path


China industrial development and automation level started later than developed countries. From Chinese current economic developing towards a good situation, variable speed drive (VSD) industry will also enter a rapid development stage, and the market demand will continue to expand, China domestic VSD manufacturers should take advantages from their accumulation in the market, brand influence, technology, and other aspects of the industry, to expand low-voltage and high voltage VFD business, besides their own domestic markets, expand its market share in the foreign countries.

Technology is always the basic of a brand to survive in the market. China domestic manufacturers should establish their own research and development efforts to improve the VFD technology level, creating new drives to adapt to market demand. For a long time, China VFD suppliers are in the low-end technology level among the global markets, but in recent years, the manufacturer realizes it's better to improve their own R & D abilities and production lines capabilities, rather than to emulate someone's technology. China variable frequency drive manufacturers establish their own R&D teams base on domestic market demand, build their own brand and increase market share, thus, compete with foreign VFD brands in near future.

Don't sell a VFD as an individual product, but a solution


From product-oriented to customer-oriented (solutions) is an inevitable trend in automation industry by competition driven. For the VFD is the same, it should be used as part of the solution rather than as an individual product.

From current market situation, such changes have more or less to penetrate in the company strategy, which may show in different ideas and options.

For large capacity VFDs, it's making sales as a solution already. The technical staffs of the suppliers provide direct support, or serviced by an industry professional integrators. The technical and industrial knowledge requires very professional and comprehensive to customize individual business features. Sales are basically industry-oriented, such as iron and steel projects, cement projects, pipeline pumping stations and other projects are involved in this field. First, it needs the right product which is an insurmountable challenge in most of the VFD manufacturers. Second, understanding the industries, to establish an own or systems integrator based technical team, which also requires a huge investment in capitals and labors.

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