The situation and development suggestions facing China's tool industry

At present, the situation facing China's tool industry is that there are still some outstanding contradictions and problems that need to be solved in the development. Driven by the strong demand of domestic manufacturing industry, the domestic tool market has great potential and good development prospects. To this end, the tool industry's medium and long-term development ideas are: accelerate structural adjustment, resolve outstanding contradictions, and meet market requirements.

Based on this idea, I put forward three suggestions for the strategic choices and tactical arrangements of the majority of enterprises in the tool industry in structural adjustment.

1. Take modern and efficient tools as the main direction of strategy. In the development of modern manufacturing, improving processing quality and efficiency is an eternal pursuit. Modern high-efficiency tools are the tools of "high precision, high efficiency, high reliability and specialization" that serve this demand. Domestic qualified tool companies must take the development of modern and efficient tools as the main direction of strategy. In modern high-efficiency tools, carbide tools are the main force, including the development of superhard tools and high-speed steel tools in specific fields. China has a growing manufacturing industry, such as automobile manufacturing, power generation equipment, aerospace, rail transit, large-scale precision molds, heavy-duty general machinery, shipbuilding, weapons industry, etc., all of which are moving forward with strong momentum. The tool industry provides a broad domestic market.

Although China's manufacturing industry will also slow down in the near future due to the impact of the financial crisis. For example, in the second half of 2008, China's tool market has shown signs of decline in demand, but the decline is mainly due to the obstruction of export enterprises' export sales. The domestic market has experienced a decline in low-end products, and the demand for high-efficiency tools has not changed significantly. Despite the difficulties caused by external influences, our development growth will slow down for a period of time. However, if tool companies can take advantage of this opportunity and seize structural adjustments, they will survive this level. In the medium and long term, the prospects for domestic demand are good. For example, in China's energy structure adjustment, the development of wind turbines has accelerated, and it has doubled in 2008, increasing the installed capacity of nearly 3 million kilowatts, and will maintain this speed before 2015, and will develop even faster in the future. At present, the mainstream power of domestic wind turbines is 600 kW. From the perspective of development trends, developed countries have generally adopted units of more than 1,000 kilowatts, and units of 2000 to 5000 kilowatts have also been put into commercial operation.

Therefore, China's wind power industry faces the challenge of rapid growth in demand and the challenges of complex manufacturing technologies for large units. The urgent need for efficient tools is evident. Therefore, I believe that the development of modern and efficient tools must be strategically determined and must not be indecisive and delay the aircraft. There are already a number of leading tool companies in China, and there are many useful experiences worth learning from in this regard. In terms of methods, we must start with alternative imports, create a combination of imitation, gradually expand the results of the war, embark on the road of independent innovation, and roll forward in the process of steadily consolidating the foundation.

It is important to emphasize that the core value of modern and efficient tools is to help the manufacturing industry improve quality and efficiency, thereby enhancing competitiveness.

The core of improving the service level of the manufacturing industry has been removed, and the modern high-efficiency tool is mistakenly understood as replacing the tool material with cemented carbide or better material. It is not necessary to work hard on the “three high and one special” and continue to produce the same. Something is definitely going to fail.

2. Do not give up the traditional high-speed steel standard tool market. With the development of modern high-efficiency tools, the use of traditional high-speed steel standard tools has dropped to 25% to 30% in developed countries. In China, the proportion of traditional knives is 60% (excluding low-end household knives), and the proportion of use has dropped below 50%. Efficient tools are in short supply, and most of them are solved by imports.

Globally, although the proportion of traditional knives used in manufacturing has been gradually reduced, there are still quite a number of markets in China, and there is also a certain demand in the world. The quality of the standard tools produced by China's major tool companies has been able to achieve international standards, and the cost performance is much higher than that of foreign counterparts. Therefore, in a considerable period of time, it can still make a difference in both domestic and international markets. But it must be recognized that the general trend is that the overall demand for traditional tools is declining.

Therefore, we must strictly control the total amount, make a fuss about enriching varieties, improving quality, and strengthening services, so that its performance level gradually moves closer to modern high-efficiency tools. This step is good, it can maintain the domestic market share and have the opportunity to enter the low-end market of international manufacturing. However, in the development of overseas markets, we must learn from the lessons of household tool exports, and we must get rid of the control of multinational companies, and work hard to create brands, develop independently, face users and strengthen services. We have noticed that in the international arena, some Japanese and Korean tool companies in the "second square" have opened up overseas markets, and they are also using high-quality standard tools to open the way. First, they enter the low-end market in Europe and America with the advantage of cost-effectiveness. And then gradually move closer to the high end. This gradual approach has been successful, and this approach is worth learning.

3. Reduce the production of low-end household cutting tools. In recent years, the vicious expansion of the scale of such tool production can be said to be a freak formed under the protection of the national export-oriented policy. It should be pointed out that low-grade tools are blindly exported in large quantities, and the export of bulk commodities such as textiles, toys and civilian electrical appliances is different in nature. The latter is to undertake the industrial transfer of developed countries, involving the employment of tens of millions of people in China, and it is a mutually beneficial and win-win situation for both internal and external. However, the export of low-grade tools is completely different. The number of tools is much higher than the actual demand. The ultra-low price encourages the consumption of the importing countries. In China, only 50,000 to 60,000 people are employed, which is basically unprofitable, but for national resources and The damage caused by the development of the industry is very serious.

Therefore, entrepreneurs in this field must recognize the pros and cons and consciously transform. It is suggested that the state should also strengthen policy guidance, effectively correct the abnormal development of low-grade tools, reduce its interference and damage to the market, and ensure the smooth transition of China's tool industry.

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