Industrial Automation Series # 36 - Channel Check with Japanese FA Brands

研报英文原文证据摘录

Industrial Automation Series # 36 - Channel Check with Japanese FA Brands

ASIA-PACIFIC | Industrials EquityMayResearch20, 2026

Industrial Automation Series # 36 - Channel

Check with Japanese FA Brands

We hosted an expert meeting with Zhide Peng, director of a FA distributor

for Panasonic, Mitsubishi and Omron in China. Major topics included

sales momentum, outlook, downstream verticals, pricing trend, import

substitution, inventory level and lead time. Our expert points to a positive

2026 outlook, supported by strong demand and tight supply. Despite

localization trends, Japanese players are expected to continue retaining

solid moats in high-end segments.

Sales momentum & outlook. Our distributor's sales in 4M26 was robust, delivering ~15% YoY

growth, with a further uptick in Apr. For FY26, Japanese players are guiding for ~10% growth,

while our channel checks point to a higher 15–20% underlying volume expansion (ex-price),

underpinned by solid order visibility. The current equipment cycle is considered sustainable

through 2026 given the typical ~6-month build-and-validation cycle for full production lines.

Demand by downstream verticals. The current environment is described by our distributor

as the strongest since 2008, driven mainly by new investment demand (over 80%). Demand

from battery remains robust, supported by large-scale upgrades of aging production lines,

alongside new capex for ESS, power batteries, and emerging solid-state battery technologies.

AI-related industries, including 3C and semi, are also exhibiting strong growth momentum.

Both segments are expected to sustain solid expansion, with visibility extending into 2027.

Solar remains at a cyclical trough; however, geopolitical tensions in the Middle East have

accelerated the recovery in overseas demand.