Power tools development imperative: to cultivate leading companies

59 companies, 60 products, and 24 products are not up to standard. The State Administration of Quality Supervision, Inspection and Quarantine recently released the third batch of national quality supervision and spot checks on product quality in 2010. The quality problems of electric tools (electric drills, hammers, and angle grinders) are still concentrated in small and medium-sized manufacturing enterprises.

“According to the results of this national supervision and random inspection, the product quality of key and key enterprises is not a problem. Substandard products are mainly concentrated in small and medium-sized enterprises, and some are even small-scale workshop enterprises. Overall, domestic market electric tools The quality of our products has been improving for years," said Zhang Chuanfu, secretary general of the Electric Tools Branch of the China Electrical Equipment Industry Association.

The industry believes that as an important power tool manufacturing base in the world, the development of China's power tool industry has always been export-oriented. Driven by exports, the quality of domestic electric tools has also been improving. However, the lack of well-known brands has made China's electric tool industry mainly in the state of OEM (OEM). While further improving quality, it also belongs to China. The world-class leader in the power tool industry has become a top priority for the entire industry.

Raw materials passed the most stringent certification of the statistics of the Electric Tools Branch of the China Electrical Equipment Industry Association. At present, 85% of China's power tool products are exported, and the domestic market only accounts for 10% to 15% of the total. In the domestic market, domestic enterprises are in absolute lead in terms of market share, and more than 90% of the market is occupied by domestic products.

"In the export products, our products are mainly tested and certified according to the standards of the exporting country. Now our products have passed the most stringent product certification in the world, including the German GS certification, the United States UL certification, etc. Our products can be achieved and the quality of the entire export products has been improving." Zhang Chuanfu said.

For a long time, raw materials have become an important factor affecting the quality of electric tools in China. Five years ago, a company in Suzhou received a complaint from a German customer, claiming that its S1M-125 angle grinders contained PAHs (polycyclic aromatic hydrocarbons) and exceeded the standard and demanded a return. The batch of products involved a total of 134,000 units and US$1.13 million. Subsequently, several types of hammers, jig saws, sanders, punch drills, and wood-milling drills of more than a dozen companies involved have suspended sales and shipments that have not been shipped, and some products have been stranded in ports. PAHs are hydrocarbons containing two or more benzene rings in the molecule, including more than 150 compounds such as naphthalene, phenanthrene, and pyrene. “If waste is used as a raw material, PAHs will be generated due to repeated use of degradation, but if you use good materials, you can completely avoid this problem, although it will increase costs, but the quality is more assured.” Zhang Chuanfu said.

Nowadays, a series of technical directives including the ROHS, WEEE and EUP directives for electrical and electronic equipment have been issued. The European and American markets have also made stricter demands on the environmental protection and safety of electric tools. “At present, Chinese enterprises can fully meet the requirements of foreign technical standards and environmental protection in terms of raw materials.” Zhang Chuanfu said that the raw materials of China’s entire power tool products will tend to be more environmentally friendly.

The production equipment no longer depends on the improvement of the quality of imported electric tools in China. On the one hand, in addition to the higher quality of raw materials and more environmental protection, it is also inseparable from the continuous improvement of the quality of our electric tool production equipment.

It is understood that in the first 10 years of reform and opening up, China’s production equipment for electric tools is mainly imported; in the middle 10 years, China must rely on imports for key equipment. However, in the last 10 years, especially in the last 5 years, China's domestic electric tools have made substantial breakthroughs, and the quality of domestically-manufactured and semi-automated production equipment has been very good.

"Imported equipment is not only subject to technology, but also expensive, SMEs can hardly afford it. Now, the quality of domestically-manufactured manufacturing equipment is very good, and most domestic manufacturers are using domestic equipment. It can be said that China's power tools manufacturing equipment It is no longer dependent on imports." Zhang Chuanfu said.

According to reports, at present, no matter whether it is gears or machine tools in processing equipment, domestic equipment is not worse than imported equipment. "It should be said that by vigorously invigorating the equipment manufacturing industry, such as the development of the machine tool industry, it has directly boosted the quality of power tool production equipment and market share," said Zhang Chuanfu.

"In addition to some very high-end and core equipment, domestically produced equipment can basically meet the needs of our daily production and manufacturing." Said Shangguan Defa, deputy general manager of Jiangsu Jinding Power Tools Group Co., Ltd.

Cultivating leading enterprises as a matter of urgency According to the statistics of the China Electric Appliance Industry Association’s Power Tools Branch, the number of electric tools exported in China in the first half of this year increased by 28% over the same period of last year, and the export amount increased by 24% year-on-year, basically returning to the 2008 world financial crisis. The previous level.

At the same time, the domestic market also maintained a trend of rapid growth, with a year-on-year increase of 12% in the first half of this year. The China Electric Appliance Industry Association’s electric tools sub-committee expects that the annual output of domestic electric tools will reach 230 million units in 2010, and the growth rate will reach around 15%. Despite this, the industry concentration of electric tools in our country is low. More importantly, China's power tool industry lacks world-renowned brands and well-known companies such as Bosch, Makita, Hitachi, Blackknapp, and Hili. Zhang Chuanfu believes: "The key to the development of the electric tool industry in China is to speed up the construction of independent brands."

In an interview with Zhou Yuan, head of the Quality Management Department of Makita (China) Co., Ltd., he said that at present, the characteristics of the electric tool industry in China are too many, too chaotic and too complicated. Need to use market forces for integration, so that we can eliminate some small businesses, not only save social resources, but also to avoid a vicious price war. Although there are some large-scale electric tool companies, OEMs are still the mainstream. This requires some companies to adjust their positioning and create their own world-class brands.

Zhang Peisheng, senior business commissioner of the China Chamber of Commerce for Import and Export of Machinery and Electronic Products, believes that without its own brand, products cannot have high added value, let alone lead consumption and lead the market. Creating an independent brand requires the efforts of several generations. It takes the entire industry to have such an idea. There is an industry culture that competes on quality, service, awareness and new products rather than simply fighting price wars.

“In the past 20 years, we can regard it as the era of OEM of electric tools. In the future, China’s electric tool products should comprehensively consider factors such as safety and environmental protection from the raw material link, and the electric tool industry should be specialized and large-scale. And efforts to establish the direction of the Chinese brand, so that our country truly transformed from a big power tool country into a powerful country.” Xing Yujiu, executive vice president of China Electrical Appliance Industry Association said.

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