The fourth quarter of 2011, the equipment manufacturing industry sold moderately

Core Tips In the fourth quarter of 2011, the economic prosperity index of the China National Equipment Manufacturing Industry was 99.5 points, and the early warning index of the medium-sized equipment manufacturing industry was 90.0 points. The analysis of the economy shows that under the dual effects of factors such as the weakening of export demand caused by the European debt crisis and the weakening of investment by domestic macroeconomic regulation and control, the production and sales of the equipment manufacturing industry declined moderately in the fourth quarter of 2011, and product prices have been adjusted back, but the industry remains strong. The profitability of the company, the demand for labor is stable, the investment confidence has not dropped significantly, and the industry as a whole is operating normally. From the perspective of future trends, the impact of macroeconomic regulation and control and the weakening environment of the international market on the equipment manufacturing industry will continue in the short term, and the possibility of a turning point in the boom of the equipment manufacturing industry is unlikely. In view of the fact that the “Twelfth Five-Year Plan” emphasizes transformation, the transfer mode and the adjustment structure are the main lines of China’s “Twelfth Five-Year Plan”. In the medium and long term, the development prospects of the equipment manufacturing industry are still very optimistic. The key to whether to seize opportunities and overcome challenges is to see whether the equipment manufacturing industry can achieve its own transformation, especially through innovation to improve the industrial structure and improve output efficiency. Equipment manufacturing enterprises should closely focus on the development plans of various industries, focus on the high-end, and look for opportunities and breakthroughs in the development of this enterprise. In addition, it is recommended that government departments increase the implementation of incentive policies and support and encourage them from various aspects such as import channels, finance, taxation, and fiscal specialties. Production and sales moderately fall back and the overall operation is normal China Economics Equipment Manufacturing Industry Climate Index 99.5 Boom: Continuously Declining In the fourth quarter of 2011, the economic performance index of the medium-sized equipment manufacturing industry was 99.5 points (2005 growth level=1002), a slight decrease of 0.4 points from the previous quarter, and moderate for seven consecutive quarters. Fall back. In the six indicators that constitute the middle-level index of the equipment manufacturing industry (excluding seasonal factors and retaining random factors3), compared with the previous quarter, profit and tax growth were basically flat, and exports, sales, employment and investment growth declined slightly. It is worth noting that after further eliminating the random factors, the equipment manufacturing prosperity index (see the blue curve in the economic performance chart of the equipment industry) is 0.6 points lower than the index value of the non-excluding random factors (see the red curve). The decline is relatively large. The above results show that the relevant stimulus policies have effectively eased the downward trend of the equipment manufacturing industry. Early Warning Index of China's Economic Equipment Manufacturing Industry 90.0 Early Warning: Maintaining the normal warning index of the equipment manufacturing industry in the fourth quarter of 2011 was 90.0 points, which was the same as that of the previous quarter and continued to operate in the “green light zone”, without further investigation. "Light blue light district". From the perspective of historical operation, it is still in the normal operating range. Judging from the 10 indicators that constitute the early warning index of the equipment manufacturing industry (excluding seasonal factors and retaining random factors), most of the monitoring indicators in the equipment manufacturing industry are in a normal state. In fact, even the production and profit growth indicators falling into the “light blue light district” are partly related to the high base of these two indicators in 2010. From the change of the signal, compared with the third quarter, the warning sign of the producer's ex-factory price index has been reduced from “red light” to “green light”, indicating that the inflation pressure is obviously weakened; the capital occupied by the finished product (reversed) is “deep blue light”. The promotion to the "green light" indicates that the inventory backlog has been alleviated. Production and sales: moderately adjusted by the initial season adjustment, in the fourth quarter of 2011, China's equipment manufacturing production composite index was 114.8 points (the same period last year = 100), down 1.0 percentage points from the third quarter, continuing a steady decline. The fluctuations in production growth rate of various sub-sectors have further narrowed, within 1 percentage point. Compared with the average growth rate of 14.0% of all industries, except for the growth rate of production in the transportation equipment manufacturing industry (12.1%), the growth rate of production in the other five sub-sectors is higher than the average growth rate. Among them, the production of special equipment manufacturing industry grew fastest, with a growth rate of 20.6%, followed by general equipment manufacturing, with a growth rate of 18.1%. From the sales situation, after the initial seasonal adjustment, the sales revenue of equipment manufacturing products in the fourth quarter of 2011 was 7,131.78 billion yuan, a year-on-year increase of 20.2%, and the growth rate dropped by 2.9 percentage points from the third quarter. The sales revenue growth rate of each sub-sector of the equipment manufacturing industry was lower than that of the third quarter, but the decline rate was within 2 percentage points. Compared with the average growth rate of 28.2% in all industries, the sales revenue of the general and special equipment manufacturing industry increased slightly above the average (2 and 2.5 percentage points respectively). Product price: A slight decline was affected by the weakening of market demand. The price of equipment manufacturing products continued to rise in the six quarters. In the fourth quarter of 2011, it fell back to the same period of last year, and the year-on-year growth rate fell by 1 percentage point from the third quarter. Inventory: The growth rate correction ended at the end of the fourth quarter of 2011. After the initial seasonal adjustment, the capital expenditure of finished products of the equipment manufacturing industry was 1010.26 billion yuan, a year-on-year increase of 18.4%, and the growth rate dropped by 5.4 percentage points from the third quarter. The increase in the growth rate of finished goods inventory of enterprises was related to the gradual increase of the base in the same period of last year. On the other hand, it was related to the destocking behavior of enterprises in the situation of weakening demand. Export: Maintaining stability through preliminary season adjustment. In the fourth quarter of 2011, China's equipment manufacturing export volume was 258.3 billion yuan, up 10.4% year-on-year, and the growth rate was 5.7 percentage points lower than that in the third quarter. The export value of equipment manufacturing industry accounted for equipment manufacturing. The proportion of sales revenue of industrial products was 24.7%, down 0.6 percentage points from the previous quarter. The decline in the price of export products in the fourth quarter has affected the growth of export value to some extent. Given the relatively high base in 2010, the current export growth rate is not too low. In fact, the international market demand for some sub-sectors is still considerable. The data shows that China's construction machinery overseas exports increased by 51% in the first 10 months of the previous year, which is about 20% higher than the domestic market sales growth in the same period; the automobile export volume was nearly 760,000 in November, up 57% year-on-year. It is expected to break through 800,000 vehicles, and domestic independent brand cars have achieved remarkable results in opening up overseas markets. Profit: Stopping and stabilizing After initial seasonal adjustment, in the fourth quarter of 2011, the equipment manufacturing industry realized a total profit of 445.17 billion yuan, a year-on-year increase of 13.4%. The year-on-year growth rate rebounded by 2.0 percentage points from the third quarter, showing a steady trend; Equipment manufacturing profits accounted for 37.3% of total manufacturing profits, up 0.2 percentage points from the third quarter. The sales profit margin of the equipment manufacturing industry was 6.2%, which was 0.5 percentage points higher than that of the third quarter and was at a relatively high level in recent years. The sales profit margin of most sub-sectors in the equipment manufacturing industry was flat with the previous quarter, while the sales profit margins of the electrical machinery and equipment manufacturing industry and communications equipment, computers and other electronic equipment manufacturing industries increased by 0.26 and 0.24 percentage points respectively. According to the production, sales and benefit data, it can be seen that the sales profit rate of the equipment manufacturing industry has remained stable with the slowdown in production and sales and profit growth, especially the profit rate of the electrical and electronic industries has risen against the market. On the one hand, the fall in the price level of raw materials has caused the cost. Pressure reduction is not unrelated. On the other hand, it shows that the industry has achieved certain results by adjusting product structure and increasing product added value in the fierce competition. Relatively good profitability is bound to promote the further strengthening of innovation and structural adjustment in the equipment manufacturing industry. Employment: Steady growth After the initial seasonal adjustment, at the end of the fourth quarter of 2011, the number of employees in the equipment manufacturing industry was 30.833 million, a year-on-year increase of 10.0%, and the number of new employment exceeded 3 million. The growth rate dropped by 1.5 percentage points from the third quarter. But it is 0.9 percentage points higher than the average growth rate of 9.1% in all industries. Among them, the general and special equipment manufacturing industry grew rapidly, 11.46% and 11.97% respectively. The above results show that the equipment manufacturing industry is still an important industry to absorb employment. Investment: Moderately regressed After the initial seasonal adjustment, in the fourth quarter of 2011, the total investment in fixed assets of the equipment manufacturing industry was 977.04 billion yuan, a year-on-year increase of 27.3%, which was 11.4 percentage points slower than the third quarter. The growth rate of investment in various sub-sectors of the equipment manufacturing industry has declined to varying degrees. Despite the decline in the fourth quarter, the cumulative year-on-year growth of the equipment manufacturing industry in 2011 was 10 percentage points higher than the growth rate of the whole society. Among them, the growth rate of investment in electrical machinery and equipment manufacturing industry still ranks first, with a growth rate of 46.6%. The growth rate of investment in other sub-sectors also significantly exceeds the average growth rate of the whole society. The decline in investment growth in the equipment manufacturing industry in the fourth quarter was related to the higher base year on the one hand and the tight liquidity under the influence of macroeconomic regulation on the other hand. Notes: 1 According to the opinions of relevant industry departments, the industry caliber of the equipment manufacturing industry in this quarter has been adjusted. Now it includes general equipment manufacturing, special equipment manufacturing, transportation equipment manufacturing, electrical machinery and equipment manufacturing, communication. Equipment, computers and other electronic equipment manufacturing and instrumentation and culture, office machinery manufacturing and other six industries, covering more than 80,000 enterprises. Due to changes in caliber, the changes in the equipment manufacturing industry are incomparable with the past analysis of the equipment manufacturing economy. 2 In 2005, the warning lights of the equipment manufacturing industry were basically in the green light area, which was relatively stable, so it was set as the base year of the economic prosperity index of the equipment manufacturing industry. 3 Seasonal factors refer to the impact of seasonal changes on the data. For example, the market sales of cold drinks vary with the temperature of the four seasons year after year. Random factors are also called irregularities, such as macro-control, natural disasters and other factors affecting the data. The warning light chart of the equipment manufacturing industry ★ The warning light chart is a way of dividing the state of some important indicators describing the development of the industry by means of traffic lights: red light means too fast (overheating), yellow light means quick (Partial heat), the green light indicates normal stability, the light blue light indicates slow (cold), the blue light indicates too slow (too cold), and the individual indicator lights are given different scores, which are combined into a comprehensive The warning index is also displayed by five light zones, with the same meaning as above. Interpretation by experts: Accelerating adjustment and upgrading to adapt to market changes In 2011, under the severe challenge of the obvious slowdown of investment, export and consumption in China's equipment manufacturing industry, the overall economic benefits of the industry remained stable, and the production capacity of major products was rationally regulated. The industrial economic structure adjustment effect is remarkable, high-end equipment and major technical equipment continue to make new breakthroughs, and the emphasis on mechanical basic parts, basic processes and basic materials is further enhanced. Taking stock of the 2011 data, the machinery industry's revenue growth of more than 25%, profit growth of nearly 20%, and export growth of 25% is not easy. This growth is especially valuable, especially when the production of cars with a heavy weight in the industry is basically the same as that of the previous year. However, in the past 10 years, 25% of production and sales growth is a 10-year average. Looking back at the full-year operation in 2011, the main economic indicators have continued to grow while the absolute number has continued to grow. Low trend. Industry Prospects: Optimistic about the emerging sub-sectors As of December 31, 2011, the mechanical equipment index's cumulative decline for the whole year was 38.48%, which was the second largest decline since 2000, second only to 2008. The main factors leading to this trend in the machinery industry in 2011 were the concentrated release of market risk, industry risk and corporate risk. Looking into the future, from a short-term perspective, we expect the machinery industry to remain in the cycle of the first half of 2012, which will affect the valuation and profit growth of cyclical companies such as construction machinery, and thus suppress the stock price performance of related stocks. In the first half of the year, as the economy bottoms out, cyclical stocks will regain buying opportunities. In the medium term, after the rapid growth of the past 10 years, the scale of domestic auto, real estate, steel, electric power, coal and other industries have been expanded to varying degrees. Important products in the machinery industry, such as power generation equipment, steel equipment, and large-scale transmission. The scale expansion of electrical equipment, engineering machinery, heavy mining machinery, etc. is more obvious, and they have leapt to the top in the world, which indicates that China's industrialization and urbanization have entered the middle and late stages.

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