Freedonia Market Research Analyzes Pumps Industry in China

Demand for fluid handling pumps in China is projected to increase 10.5 percent per annum through 2011 to 62.9 billion yuan ($8.4 billion), outpacing growth in most other parts of the world.  Advances will be driven by strong outlooks for pump-using markets such as process manufacturing and utilities.  These and other trends, including market share and company profiles, are presented in Pumps in China, a new study from The Freedonia Group, Inc., a Cleveland-based industry research firm.

The introduction of new and better performing pumps will also boost growth, although to the extent that these pumps have longer lives, these improvements can adversely impact demand for replacement parts.  Technological improvements and pricing advantages due to low production costs have also increased global market share for Chinese pumps, turning a long-term trade deficit into a surplus in 2006. 

The process manufacturing market will continue to be the largest user of pumps due to the wide range of applications and significant fluid handling requirements in many of these industries.  In addition, this market is expected to exhibit the fastest growth in pump demand through 2011, benefiting from expanding output in most process industries, with particularly strong gains in primary metals production. 

Pump demand in the utilities segment will benefit from population growth, and further industrialization and economic expansion, which generate high demand for power and water from residential, commercial and industrial markets.  In addition, the Chinese government’s “Go West” strategy will boost utility pump demand in China’s relatively underdeveloped western regions. 

Centrifugal pumps will remain the most commonly used pump design, benefiting from their ability to handle a wide range of flow pressure, load handling capability, effective handling of liquids with high solids content, and relatively low maintenance costs.  Technological innovations further improving their versatility will also drive demand for centrifugal pumps.  However, among the major pump types, specialty pumps such as corrosion-resistant types will see the fastest demand increases.  Gains will be driven by the robust outlook for most process manufacturing industries in China, which are important consumers of these pumps, and stricter efficiency and safety requirements within these industries. 

The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.