A hydraulic system is a transmission system that uses liquid as the working medium and utilizes the pressure energy within the liquid for power (or energy) transmission, conversion, and control. Compared with mechanical transmission and electrical transmission, hydraulic systems have advantages such as large power capacity, easy speed regulation, rotational advantages, easy operation, and stable operation.
Market Scale
Since the 21st century, as China has gradually increased its emphasis on the development of the hydraulic industry, listing it as one of the strategic priorities for industrial development and including it in multiple national development plans, China's hydraulic industry has entered a stage of rapid development. Over the past decade, the compound annual growth rate of the market scale of China's hydraulic industry has reached 5.82%, which is higher than the global level. In 2020, the total revenue of China's hydraulic components industry reached 10.06 billion euros, a year-on-year increase of 5.67%. It is expected that the market scale of China's hydraulic industry will reach 11.204 billion euros in 2023.
Proportion of Core Components in Hydraulic Systems
A hydraulic system mainly consists of hydraulic valves, hydraulic pumps, hydraulic cylinders, hydraulic motors, pipelines, and connectors. In terms of value, hydraulic valves and hydraulic cylinders account for the largest proportion at 19%, followed by hydraulic pumps at 18%, while pipelines and connectors, and hydraulic motors account for 15% and 9% respectively.
Development Trends
1. The trend of import substitution for high-end products is emerging
Although China's hydraulic industry is developing rapidly, for a long time, most hydraulic component manufacturers have been small in scale and have limited innovation capabilities. Hydraulic products are mainly concentrated in medium and low-end products, with a large surplus in the production capacity of ordinary hydraulic components, and fierce competition in low-price and low-level products. Due to the lag in the development of high-end hydraulic components compared to the downstream equipment manufacturing industry, domestic main engine manufacturers have long relied on imports for the high-end hydraulic components they need.
In recent years, with the development of the industry and technological innovation of enterprises, domestic hydraulic component manufacturers have made successive breakthroughs in technical processes, and product performance has been improved. With guaranteed quality, lower prices than similar products, good after-sales service, high cost performance, and geographical advantages, they have gradually broken the dependence of domestic main engine manufacturers on international brands and continuously expanded their market share. For example, in the variable pump industry, the domestic proportion is now higher than that of imported variable pumps. The closed-type piston pumps with 13-28 displacement produced by Huaqin Hydraulics have even occupied a large domestic market share of similar products.
2. Integration of hydraulic technology with high-tech achievements
In recent years, the integration of hydraulic technology with new technologies such as computer information technology, microelectronics technology, and automatic control technology has promoted the improvement of the development level of hydraulic systems and components.
