Firstly, the growth rate of the main business income of the entire industry is at the low end of the double-digit range, with slightly sluggish performance, and the main business income of state-owned enterprises is experiencing negative growth. From January to May 2014, although the main operating revenue of the entire industry maintained double-digit growth, the growth rate was lower than the same period last year and the end of last year. At the same time, the growth rate of main business costs is greater than that of main business costs, indicating that there are also problems with cost control. In addition, the main business income of state-owned enterprises decreased by 5.24% year-on-year. The main reason is that large oil companies such as PetroChina and Sinopec have reduced their equipment procurement scale this year, which has greatly squeezed the domestic market with insufficient competition.
Secondly, the market competition is fierce, and the problem of low price competition still exists. From January to May 2014, the industry's main business revenue profit margin and cost profit margin were 5.68% and 6.01%, respectively, which were 1.03 and 1.15 percentage points lower than the average level of the mechanical industry. The relatively low profit margin indicators indicate a low quality of economic operation, reflecting the phenomenon of sacrificing profits and competing for orders at low prices. In addition, from the perspective of enterprise economic types, the year-on-year growth rate of main business income of enterprises in "other" economies was as high as 65.53%, but the total profit decreased by 24.49%. The two positively correlated data are running in the opposite direction, indicating that the phenomenon of low price bidding is more severe in "other" economies.
Expected annual export growth of about 15%
From January to May 2014, the economic performance of the petroleum and petrochemical equipment industry has returned from a strong rebound in January to February to a steady and progressive growth trend.
In combination with the development of domestic and international situations, the main development direction of China's petrochemical equipment manufacturing industry in the future is: natural gas (including unconventional natural gas such as shale gas and coal-bed methane) development and utilization equipment, offshore oil and gas exploration and development equipment (including offshore engineering equipment and oil and gas drilling and production equipment), intelligent equipment, energy conservation and environmental protection equipment. The key is to improve product technology content and core competitiveness, Further explore international markets with broad development potential.
According to relevant research statistics, based on the order value and market share in 2013, China has become the world's second largest manufacturer of marine engineering equipment and the largest builder of self elevating drilling platforms for the first time. Therefore, offshore engineering equipment will provide a new growth point for export delivery in the petroleum and petrochemical equipment industry, which has been fully confirmed by statistical data from January to May.
Overall, there is still downward pressure on industry economic growth in 2014. This can be seen from the growth trend of main business income and total profit from January to May: there was a high-speed growth start in January to February, and the following months showed a fluctuating downward trend to seek stability, which is consistent with the analysis of the first quarter. In addition, the prediction that the export delivery of marine engineering equipment has a certain potential for latecomer growth has also been confirmed. After comprehensive analysis of economic operation data from January to May, it is expected that the year-on-year growth rates of export delivery value, main business income, and total profit of China's petroleum and petrochemical equipment industry in 2014 will be around 15%, 12%, and 15%, respectively.