Crushing and screening equipment is used to crush and classify materials and screen them according to the required particle size.

1. upstream industry

The upstream products of the crushing and screening equipment industry are mainly steel, large castings, motors, bearings, plates, profiles, etc., of which the cost of large castings, steel, profiles and other parts with steel as raw materials accounts for a higher total cost of raw materials. Iron ore, as an important raw material for the production of steel, accounts for about 50% of the cost of steel, so the price trend of iron ore and steel has a greater impact on the price of upstream raw materials, which will indirectly affect the manufacturing cost of crushing and screening equipment.

At present, the direct upstream industry of the crushing and screening equipment industry belongs to the market-oriented highly mature industry, with stable production technology, sufficient supply, product quality to meet the needs of the industry, and no core components need to rely on imports. Therefore, the industry's demand for raw materials and parts procurement can be fully guaranteed, there is no upstream supply shortage affecting production. At the same time, the upstream industry is a typical fully competitive industry, with low conversion costs, fierce competition in the industry, stable supply, bargaining power is not high, so crushing, screening equipment enterprises for the upstream supply chain has a certain bargaining power, for the enterprise's own cost management provides an important guarantee.

1. Iron ore

Iron ore refers to the existence of use value, containing iron elements or iron compounds of ore. China's iron ore demand is huge, in recent years, the domestic iron ore exploration investment decline at the same time the overall environmental protection policy to backward production capacity led to China's overall iron ore production fluctuations decline. Data show that China's iron ore production in 2022 is 0.968 billion tons, a small decrease of 1.3 compared to 2021.

2, steel

Iron and steel is an important basic industry of the national economy and an important symbol of the national economic level and comprehensive national strength, while steel is one of the main products of the iron and steel industry. With the transfer of international industry and the rapid development of China's national economy, the iron and steel industry has made remarkable achievements, and the output of steel is also increasing. According to the data, China's steel production will be 1340.335 million tons in 2022, down 0.8 percent from the same period last year.

2. midstream industry

China's local crushing and screening equipment industry started late, but the development speed is fast, and the market competition pattern presents the characteristics of pyramid type multi-level competition. Generally speaking, the current Chinese market shows a three-level differentiation state, that is, foreign brands with technology and capital advantages are the first echelon; domestic middle and high-end brands with technological advantages are the second echelon; domestic low-end brands with most market share are the third echelon. In the future, under the background of the deepening of national policies such as the integration of small and medium-sized mines and the construction of green mines, the market share of low-end domestic brands will gradually be squeezed by medium and high-end domestic brands, and the market concentration will accelerate.

After the rapid development in recent years, the crushing and screening equipment industry is facing new entrants competition, the average profit of the whole machine market has declined, and many enterprises in the industry have begun to look for new profit growth points. Post-market services are in a favorable position upstream and downstream of the industry, and there is a stable market demand. They are relatively less affected by economic cycles and policy changes. As customer demand upgrades, their importance has become increasingly prominent.

The domestic industry pioneers represented by Nankuang Group have made good progress and breakthroughs in exploring post-market services, and have begun to achieve a certain income, and the mainstream equipment technical parameters of some brands have been the same as foreign brands, and have outstanding price advantages, The localization of high-end products has become a trend. In the future, there will be more domestic enterprises like Nankuang Group to reform and innovate their own business models, broaden their main business scope, and realize the vision of transforming into a comprehensive technical service enterprise of "equipment manufacturing service. However, it is worth noting that at present, most enterprises in the domestic market still take the sales of the whole machine as the main source of profit, pay attention to the sales scale of the whole machine, and do not fully tap the profitability of the after-sales market and operation management.

Since the reform and opening up, the early mining and sand and gravel industry access conditions are loose, small and micro mines have sprung up around the country, with an overwhelming number of advantages quickly become the mainstream of the industry. Due to the small output of small mines, there are no strict standards for energy conservation, environmental protection, failure rate, etc., low-end crushing and screening equipment brands have occupied half of China's crushing and screening equipment market by virtue of price advantages, with a total share of about 75%. However, since the "19th National Congress", green mine construction has been put on the agenda. No matter from the government management, or from the mining, processing, environmental protection and other aspects, the management of small and micro mines is difficult, the utilization efficiency of mineral resources is low, and the environmental protection measures are relatively imperfect. Therefore, the country is constantly eliminating enterprises that fail to meet the environmental protection and quality standards and poor safety conditions to reduce the investment of small mines and increase the proportion of large and medium-sized mines, as a result, a large number of low-end domestic brands that compete around small and micro mines and are seriously homogenized are losing market share rapidly.

3. downstream industry

The downstream application fields of crushing and screening equipment are relatively wide. At present, there are three direct application fields of sand and gravel aggregate, metal mining and solid waste environmental protection. Finally, it is affected by housing construction, transportation, water conservancy and hydropower, urban public facilities, iron ore and non-ferrous metal basic industry, construction waste recycling, comprehensive utilization of waste batteries and other terminal application markets.

1. Application in the field of sand and gravel aggregate

Aggregate is the construction of sand, pebbles, gravel, stone, stone and other materials collectively, is the world's consumption of natural resources second only to water. Engineering construction application of a large amount, a wide range of materials is concrete, and the sand is an important part of concrete raw materials, accounting for about 6/7 of the quality of concrete, is the skeleton of concrete; nearly a 2/3 of the world's sand aggregate is used in concrete. The world's annual output of sand and gravel aggregate is about 40 billion tons, of which China uses about 15 billion tons of sand and gravel aggregate for concrete each year. In addition to other uses such as asphalt concrete and water treatment, the total annual consumption is about 20 billion tons, accounting for about 50% of the world's total. The annual output value of the national sand and gravel aggregate industry is close to 2 trillion yuan.

In recent years, with the steady progress of urbanization and rural revitalization strategy, the construction of urbanized population housing and supporting transportation, airports and ports, bridges, urban drainage and gas supply and other infrastructure construction has continued to grow steadily. Based on China's huge population base and government investment drive, the infrastructure and housing construction industry has a sustained and stable demand for concrete. Considering the continuous development of the market along the "Belt and Road", infrastructure investment is bound to bring a broad market space for the sand aggregate and sand crushing and screening equipment industry.

2. Application in the field of metal mines

The field of metal mining is the second largest application field of crushing and screening equipment. Metal ore smelting before often need to go through mining, mineral processing and other operations, through the crushing screening equipment for coarse break, fine break, screening, grinding, magnetic separation and other processes to screen out the lower grade of stone. At present, crushing and screening equipment is mainly used in ferrous metals and non-ferrous metals in metal mines.

At present, the development of China's metal mining industry is more mature, the market space is very large. On the one hand, in recent years, affected by international trade frictions, local military conflicts and other factors, the prices of international iron ore, lithium ore, aluminum ore and other important ores have risen sharply, which has increased the enthusiasm of domestic metal mining enterprises to expand production; on the other hand, With the vigorous development of the new energy automobile industry, a series of national policies to support the development of lithium, cobalt, tin and other metal mines have been introduced one after another.

3. Application of solid waste in environmental protection field

Solid waste environmental protection field is a new industry in the downstream field of crushing and screening equipment industry in recent years, is still in the initial stage of development, the potential market size is huge. At present, crushing and screening equipment is mainly used in the field of solid waste environmental protection in the two major areas of construction waste treatment and waste lead-acid battery recycling.

my country's construction waste and other wastes are generated in a large amount, the recycling rate is low, and the resource recycling industry has huge room for development. At present, my country's construction waste is increasing rapidly with the acceleration of urbanization. Many parts of the country have given great support to the recycling of construction waste. If the transportation and disposal income per ton of construction waste is about 35 yuan, the market size of China's construction waste treatment industry is more than 100 billion yuan.