Statistics on import of heating appliances to Russia within 2019 – summing up the results of the year
The volume of imports of heating appliances to Russia stabilized in 2019 and stopped a significant decline.
The trend of the last 4-5 years to reduce the volume of imports of heating radiators to the territory of the Russian Federation was terminated in 2019. The import volumes stabilized last year, and even gave the effect of “correction” in the form of a little growth in some segments.
Physical volumes of imports of heating appliances into the territory of the Russian Federation showed multidirectional dynamics in various segments.
Aluminum and bimetal heating radiators
Imports in the combined segment of aluminum and bimetal heating radiators increased by 8.1% in 2019.
At the same time, the import of aluminum radiators grew by 6.5%, and of bimetal - by 10.2% in physical volumes with the calculation of the number of sections, which confirms the general trend of recent years to increase the share of "bimetal" and reduce the share of "aluminum" within the segment. In this dynamics, the factors of the influence of domestic demand should be taken into account, since over the past years, the areas of usage of aluminum and bimetallic radiators are increasingly different.
“Aluminum” is using into new housing and the dynamics of its imports depends on the growth rate of construction. According to TASS data from Rosstat, the commissioning of new housing in Russia increased by 6% in 2019 compared to 2018, an increase amounted to 4.6 million square meters - from 75.7 million square meters up to 80.3 million square meters. At the same time, according to the target indicators of the national project “Housing and Urban Environment”, it was planned to achieve an indicator of 88 million square meters of housing in 2019, i.e. the projected growth rates of new housing construction have not been reached yet.
In turn, “bimetal” is mainly used for replacing outdated water heating appliances and its sales depend on the “demographics of the park” of heating appliances and the number of repairs, including the scale of replacement within the regional programs for the overhaul of apartment buildings, the financing of which is growing faster than new construction (at least 15% per year).
All this caused the growth of share of bimetal in total imports in the segment, but the process has been going very slowly over the past three years, which is graphically illustrated in Chart 1.
The supply of aluminum and bimetallic heating radiators to Russia was mainly carried out from Chinese plants in 2019 (import growth from China by 7.6% vs 2018). European manufacturers have a significantly smaller share (there were deliveries from Italy, Ukraine and Spain in 2019). Supplies from Europe grew by 12.9%.
The average customs value of aluminum and bimetallic radiators decreased in 2019.
The largest drop in average customs value was noted in Chinese radiators. So, the Chinese aluminum radiator on average “fell” by 9.6%, bimetallic - by 4.9%.
The cost of European products has decreased not so significantly: aluminum radiators "get cheaper" by 2.7%, bimetallic - by 1.6%. The dynamics of these changes is presented in Chars 2 and 3.
Chart 2. Aluminum radiators
Chart 3. Bimetallic radiators
Steel heating radiators
The physical volumes of import of steel panel heating radiators to the territory of the Russian Federation decreased by 4.1%. A comparable drop was noted in the import of radiators both from the Republic of Turkey (- 4.5%) and from countries participating in the European Union (- 4%).
The reason for this decline is the entry into the domestic market of new domestic enterprises in the segment, in connection with which many suppliers who previously imported steel panel heating radiators from Turkey and Europe, were completely or partially reoriented to work with domestic manufacturers.
The dynamics and structure of the segment of steel panel heating radiators on the Russian market by manufacturing countries (groups of manufacturing countries) in absolute and fractional terms of physical volumes, calculated by the number of finished products, according to Litvinchuk Marketing estimates, are presented on Charts 4 and 5.
Chart 4. Dynamics, million sections
Chart 5. Market structure,%
The information presented on the graphs confirms two trends:
- an increase in domestic consumption in the segment of steel panel heating radiators and the share of this type of heating devices in the structure of the Russian market as a whole;
- occupation of a market niche liberated by a decrease in European and Turkish imports in the amount of about 500 thousand pieces by Russian manufacturers.
The physical volume of import of steel tubular heating radiators into the territory of the Russian Federation significantly increased by 28.1%. This trend indicates an increase in the share of this segment, belonging to the price categories “above average” and “premium”, in the structure of Russian consumption of heating appliances in general.
Average customs value of steel tubular radiators heating increased by 3.5% in 2019 (to $ 177 per radiator vs $ 171 in 2018).
Cast iron heating radiators
The significant increase by 66.1% in the physical volume of import of cast iron radiators into the territory of the Russian Federation was fixed in 2019. Such a large increase is most likely caused by the difficulties in manufacturing significant volumes of products by Russian and Belarusian manufacturers.
The average customs value of cast-iron radiators in 2019 decreased by 7.7% (to $ 5.50 per section vs $ 5.96 in 2018).
Import supplies of convectors in physical volumes decreased by 5.8% in 2019.
Mostly, copper-aluminum convectors (90% of imports) were supplied for imports to Russia, much less often steel (10%).
Convectors with a copper-aluminum heat exchanger showed an increase in imports by 3.3%.
This situation is caused by a serious growth in the construction of commercial real estate and investments in this construction sector in 2019 (growth according to expert estimates from 25% to 40%), similar growth rates are forecasted in 2020. In turn, floor-mounted copper-aluminum convectors are installed mainly in non-residential premises (office and other office and public premises), which makes the demand for products in this segment steady and dynamically growing.
The import volume of convectors into the Russian Federation decreased twice.
Thus, the volumes of import supplies of heating appliances to Russia stabilized in 2019 and the significant decrease in the volume of imports of heating radiators to the territory of the Russian Federation stopped.
According to Association of Manufacturers of Heating Appliances, one of the factor caused this situation is a steady increase in domestic demand, both in the framework of the installation of heating devices at new construction sites, and during their planned replacement during repair work.