2020 China Foundry Industry Data Release

2020 is an extraordinary year. Under normal circumstances, epidemic control and resumption of work and production are speeding up the restoration of economic order. At the same time, various national ministries and commissions have successively introduced a number of preferential business policies such as fee reduction and tax reduction. At the end of 2020, some of my country's economic indicators have returned to pre-epidemic levels, and the machinery industry has also recovered rapidly. Driven by the downstream host industry, my country's total casting output will reach 51.95 million tons in 2020, a year-on-year increase of 6.6%.

From the perspective of changes in downstream industry demand:

1. In 2020, automobile production and sales were 25.225 million and 25.311 million, down 2.0% and 1.9% year-on-year. Among them, the annual production and sales of passenger vehicles dropped significantly year-on-year, with a decline of 6.5% and 6%; driven by factors such as the elimination of National III vehicles, stricter regulations, and infrastructure investment, the production and sales of commercial vehicles in 2020 will show a substantial increase, becoming 2020 An important driving force for the recovery of the auto market this year; driven by the substantial growth of commercial vehicles, the output of auto castings in 2020 will increase by 5.6%.

2. Due to the growth of large and medium tractors and other agricultural machinery, commercial vehicles, and construction machinery in 2020, the output of agricultural machinery and internal combustion engine castings will increase by 4.9%; construction machinery continues to maintain a strong growth momentum in recent years, with castings increasing by 11.4%; power generation equipment castings (mainly concentrated In wind power generation equipment), an increase of 19.1%.

3. Mining and metallurgical heavy machinery castings, machine tool castings, and pipes and pipe fittings maintained a certain degree of positive growth, respectively 2.2%, 0.9% and 2.8%; rail transit and ships remained stable, general machinery products and strategic emerging industries in 2020 The relatively strong growth of castings (such as robots, etc.) has also driven the growth of castings.

From the perspective of material:

1. In 2020, the growth of commercial vehicles, construction machinery and internal combustion engines will drive the growth of gray cast iron, which accounts for 41.9% of the output.

2. The output of ductile iron (including vermicular graphite cast iron) increased from 13.95 million tons in 2019 to 15.3 million tons in 2020, an increase of 9.7%, and the proportion of the output 29.5%.

3. In 2020, the mining and metallurgical heavy machinery, construction machinery and power generation equipment industries will grow, and the output of steel castings will increase to 6.35 million tons, accounting for 12.2% of the output.

4. In 2020, new energy vehicles, 5G and motorcycles will drive the growth of aluminum alloys. However, due to the combined impact of the decline in passenger car production and the sharp decline in exports of aluminum wheels, aluminum (magnesium) alloy castings will decline in 2020, with an output of 6.8 million Tons, the proportion of production is lowered to 13.1%.

5. Malleable cast iron and copper alloys increased slightly, and overall output remained relatively stable.