Machinery industry will slow down significantly

In the second half of the year, as the impact of the deceleration of investment in fixed assets shows, the growth rate of the machinery industry will obviously drop, and at the same time, the sub-sector will be divided.

Among them, sub-sectors such as containers, bearing valves, electric motors, and boiler manufacturing continued to operate at a high level in the first half of the year, and the cumulative total profit growth rate remained at over 40%; and special instrumentation, electronic measurement, measuring instruments, construction machinery, etc. appeared. The decline in sales revenue and the apparent decline in profits; however, railway transportation equipment and shipbuilding industry are not many bright spots in the machinery industry.

Under the background of the overall growth of the industry, the sub-sectors of the machinery industry have been divided. According to the statistics of the first five months, containers, bearings and valves, agricultural machinery, metallurgical and mining equipment, electrical machinery, general instrumentation, and boiler manufacturing industries continued to maintain a high degree of prosperity. The cumulative total profit growth rate remained at 40% or more; Several sub-sectors such as instrumentation, electronic measurement, measuring instruments, and construction machinery have seen a decline in sales revenue and a significant decline in profits. Under the background of declining overall economic performance of the machinery industry, there are two sub-sectors: railway transportation equipment and shipbuilding industry. From the past losses to profits, the industry has shown signs of recovery.

Within the machinery industry, basic components such as bearings, valves, and general-purpose components are the upstream industries of most mechanical equipment. The deceleration of macroeconomic or fixed asset investment will lead to the deceleration of demand for large-scale mechanical equipment, and then affect its upstream. The basic parts industry, therefore, in general, the changes in the basic components of the economy will lag behind the economic changes in mechanical equipment.

Under the background of the slowdown in the growth rate of the machinery industry, it is expected that the special equipment manufacturing industry, instrumentation manufacturing industry, and transportation equipment manufacturing industry, which experienced a sharp fall in the first half of the year, will tend to be stable in the second half of the year; Manufacturing industry (including boilers, metal processing machinery, general equipment, bearings and valves, and other general parts and components) will increase in the second half of the year and will exceed the industry average.

Some sub-sectors such as containers, bearings, valves, motors, and general instrument and meter manufacturing industries, which are still in a high economic climate due to lags and other reasons, are cautious in the early stage, and it is expected that the above sub-sectors may reach a high point in the short term, and will then appear certain The degree of decline. Sub-sectors with large declines in the previous period, such as construction machinery, may experience a certain degree of recovery due to the smaller base. The railway transportation equipment and shipbuilding industry are expected to continue to increase.