China Access Control Products Industry

An Expert's View about Electrical, Measuring and Testing Equipment in China

Posted on: 6 Apr 2010

China suppliers of access control products will make the most of maturing technologies as they broaden selections and venture further into the security and surveillance market.


Driven by the integration trend and growth opportunities in home automation, companies are gearing R&D toward complete systems. Recently released security solutions enable users to monitor and control lighting, power, air-conditioning systems and appliances in addition to physical entry.


Amid the popularity of multifunction models, makers are also ramping up development of traditional access control products.


Export data is unavailable, although several research organizations estimate that global demand for biometric and non-biometric security devices will reach $10 billion in the next two to three years. The two categories are the core products of the industry.


Aiming to capture a substantial share of the market, suppliers are enhancing critical aspects of performance, including speed and accuracy, to expand the range of suitable applications.


The following are some of the key trends and issues impacting the industry:

• Prices will play an important part in driving sales in the year ahead. Many companies are planning to lower quotes to attract orders amid intense competition despite the pressure such a move would put on profits.

• With this in mind, makers will rely on their solid grasp of key technologies such as RFID and fingerprint recognition to offset cost concerns. The last stems from the industry practice of overseas procurement. Critical parts are often sourced from Taiwan, South Korea and Japan, with suppliers turning to top-tier providers in the US for high end models that require sophisticated components.

• Aware that they cannot compete solely on price, companies will emphasize design capability as part of differentiation strategies. Integration, and consequently, convenience will be the primary drivers of R&D, although suppliers will be lining up cosmetic enhancements.

• Makers will continue to target the EU. Shipments to emerging markets such as the Asia-Pacific region and the Middle East, however, will expand as companies gear up to achieve growth targets averaging 20 percent.



The above is extracted from the Executive Summary of China Sourcing Report: Access Control Products


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Posted: 06 April 2010

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