Since 2026, the domestic servo valve industry has shown a good development trend of steady expansion, technological breakthroughs, and accelerated domestic substitution, relying on the empowerment of intelligent manufacturing policies, the landing of high-end equipment engineering, and the wave of green and low-carbon transformation. As the core control component of high-end hydraulic equipment, servo valves are widely used in key fields such as aerospace, nuclear power equipment, high-end machine tools, metallurgical heavy industry, intelligent injection molding, etc. They are the core benchmark for measuring the manufacturing accuracy and stability of high-end equipment. The current industry is breaking away from low-end homogeneous competition and upgrading towards high precision, high reliability, intelligence, and green direction, with a continuous optimization of the industrial pattern.
The market size is steadily expanding, and high-end applications have become the core growth engine. According to industry research data, the market size of servo valves in China is expected to reach 3.589 billion yuan in 2026, a year-on-year increase of 7.1%, and the industry has entered a stage of stable and high-quality development with increasing volume. From the perspective of application structure, the demand in the aerospace industry continues to lead. With the continuous promotion of national level major projects such as the mass delivery of C919 aircraft and the normalization of the launch of new generation carrier rockets, the proportion of servo valve applications in the aerospace industry will increase from 31.2% in 2025 to 33.8%, becoming the primary driving force for industry growth. At the same time, the demand in the industrial sector is fully released, and the demand for servo transformation of existing equipment such as metallurgy, nuclear power, and high-end injection molding machines is concentrated. Combined with the incremental demand for new energy equipment and intelligent engineering machinery, the industry market space is continuously expanding. The global market also maintains a growth trend, with an estimated market value of 1.87 billion US dollars for electro-hydraulic servo valves by 2026, and will continue to steadily grow in the next decade.
Core technologies continue to break through, and domestic innovation breaks down technological barriers. In 2026, leading domestic enterprises and research institutions will continue to overcome the shortcomings of servo valve core technology, and multiple patented technologies will be implemented to fill the gap in high-end technology. The fully redundant electro-hydraulic servo closed-loop control system patent developed by CNNC Operation and Maintenance Technology Co., Ltd. greatly improves the operational stability and fault tolerance of servo systems in nuclear power scenarios, and adapts to the strict working conditions of nuclear power equipment with high safety and reliability. AVIC Nanjing servo control system has launched variable natural frequency electro-hydraulic servo valve technology, effectively solving the industry pain points of traditional servo valve natural frequency debugging difficulties and single adaptation scenarios, achieving flexible control of valve body performance, and reducing high-end equipment matching costs. At the same time, international enterprises continue to iterate high-end products, and overseas brands have launched high flow hydraulic servo valve products that are suitable for high-power hydraulic system working conditions, forcing domestic enterprises to accelerate technological upgrades and comprehensively accelerate the pace of technological iteration at home and abroad.
Green transformation empowers industrial upgrading, and energy-saving transformation releases huge market dividends. Driven by the dual policies of dual carbon and the expansion of the national carbon market, energy-saving transformation of servo valves has become an important tool for traditional manufacturing to reduce costs and carbon emissions, and the trend of green development in the industry is becoming increasingly prominent. According to the China Institute of Standardization, if 50% of the existing injection molding machine equipment in China is servo modified, it can save 4.2 billion kilowatt hours of electricity and reduce carbon dioxide emissions by 3.36 million tons annually, with significant energy-saving and carbon reduction benefits. In 2026, the equipment manufacturing industry will soon be included in the national carbon market. Through servo transformation, enterprises can reduce carbon emissions and save 60-80 yuan per ton of carbon compliance costs, greatly improving the market cost-effectiveness of high-performance energy-saving servo valves. At present, the demand for equipment upgrading and transformation in traditional industries such as steel, injection molding, and construction machinery continues to be released. Large enterprises such as Hebei Iron and Steel have started centralized procurement of servo valves, further activating the demand for industrial servo valves in the market.
The localization rate continues to increase, and the industrial competition pattern is comprehensively reshaped. With the support of the national "14th Five Year Plan" intelligent manufacturing special policy, the special subsidy amount for high-end hydraulic components will continue to increase in 2026, providing strong policy support for the localization and replacement of servo valves. Industry data shows that the localization rate of domestic servo valves is expected to exceed 65% within the year, completely reversing the long-term dependence on imports for high-end servo valves. The current industry competition focus has shifted from simple product cost-effectiveness competition to full chain competition of "technology research and development - precision manufacturing - scene adaptation - operation and maintenance services". Leading enterprises focus on the three core directions of material innovation, intelligent flexible manufacturing, and data-driven operation and maintenance, building a full stack industrial advantage and continuously increasing industry concentration.
Industry experts say that 2026 is a crucial year for the transformation and upgrading of the servo valve industry. The triple dividends of policy, market, and technology are combined, and the long-term development fundamentals of the industry continue to improve. In the future, with the acceleration of the localization process of high-end equipment and the deepening of green transformation of traditional industries, coupled with the continuous iteration of intelligent and high-precision technology of servo valves, the domestic servo valve industry will continue to improve and expand, gradually transforming from an industry follower to a core competitor in the global high-end hydraulic component field. It is expected to maintain a steady growth rate of over 7% in the next 3-5 years.