With the rapid development of new technologies, a new generation of intelligent low-voltage electrical equipment—characterized by high performance, intelligence, strong breaking capacity, communication capabilities, miniaturization, modularity, and energy efficiency—is set to dominate the market. As a result, the market share of high-end low-voltage products is expected to grow significantly. The shift toward intelligent appliances requires the integration of advanced manufacturing technologies and automated systems, including production lines for key components, automatic testing facilities, and assembly lines tailored for low-voltage devices.
For private enterprises that lack independent innovation capabilities, this transition presents both an opportunity for growth and a challenge in the face of increasing market competition. However, the current low-voltage industry suffers from severe product homogenization, with fierce price and channel competition making it difficult for companies to stand out. Without significant investment in R&D and foundational technological research, many firms risk being left behind in an expanding but highly competitive market.
In recent years, several companies have recognized these challenges and taken proactive steps to improve their internal capabilities. They’ve managed rising material and labor costs, addressed financing issues, reduced operational expenses, upgraded their equipment, introduced new products, and implemented more effective cost management strategies. These efforts have created a positive environment that supports long-term sustainable development. Notable examples include Zhengtai Electric, Delixi Electric, and Daquan Group, which have emerged as leaders in the industry.
To successfully transform, low-voltage companies must identify their unique strengths and focus on becoming specialized manufacturers of specific product types. By gradually moving toward high-end offerings, they can break free from the cycle of product sameness. This could involve targeting niche markets, such as professional circuit breaker manufacturers or industrial electrical appliance producers. At the same time, the government should play an active role by encouraging enterprises and industrial clusters to extend their value chains, supporting the development of specialized, refined, and distinctive industries. This will help build strong, focused industrial chains that drive overall sector upgrades.
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