However, in the transformation and upgrading of the premise, the vast majority of Chinese fastener enterprises have to face such a situation: rising raw material prices, the appreciation of the renminbi, the labor of the fastener business is the most talk about the "transformation" and "upgrade" Costs rise. Raw material costs led to companies have to raise the price of the product, but the premise of rising product prices is the technical and brand strength of the increase, which is a continuous process, which for small and medium enterprises fasteners, technology upgrading is a bottleneck, They need to go hard.
Hardware fasteners
Urgent need to remove the "low end" label
Looking back on the development process of the fastener industry in the past, it is not difficult to find that when the market is strong, the product will become saturated. China's fastener production accounts for one quarter of global production, but most of the low-intensity, low-grade products, which 8.8 standard parts below 45% -50%, high raw material prices in the environment, Low-grade standard parts overcapacity has become a stumbling block to the development of the entire fastener industry.
Overcapacity, a large number of inventory led to the operation of enterprises operating capital tension, companies want to cost into a new way to increase profits, increase investment in technology, with good technology to develop a broader market resources.
We should look to the future, "high-speed rail" "aerospace" "highway" "airport" and other key national construction projects are tight for enterprises to provide high-end opportunities, Boeing plans to add 3400 aircraft in the future 20, the National Development and Reform Commission invested 800 billion yuan Construction of six cities in the rail transit, according to 36 plans to build urban rail transit project city planning, by 2020, urban rail transit operating mileage will reach 6560 km, track fastener demand of 55-70 billion. These large projects will greatly enhance the high-strength fasteners, titanium and other high-end fastener demand, remove the "low-end" label is not impossible!
In the entire manufacturing industry chain, the volatility of raw material prices can not be as bad as the downstream fastener industry, but not a little way, the future development of fasteners should fundamentally solve the problem, how to solve the transition of low-end products Production capacity? How to grasp the timing of procurement of raw materials to achieve low-cost production capacity? How to reduce production costs and save resources? These are enterprises should face the problem. Raw materials "was up", passive enterprises will be shuffled, to survive, development will take the initiative, another way, practice internal strength to deal with changes in the market!
Control production costs, save resources
Hardware fasteners have been mainly steel materials, due to intense market competition, quality and cost of fasteners to become the main means of competition.
Reduce the cost of the main two ways to take: 1, reduce the alloying element content or the use of other low-cost alloy elements as a reinforcing material; 2, reduce the cost of fastener manufacturing, such as to reduce the bolt production process heat treatment process used non-modulating steel , To improve the nut processing capacity of the use of cutting steel and so on. The introduction of technology in China's automobile industry has played a positive role in the application of new materials for cold heading steel. Some of the major high-strength fasteners have adopted the corresponding foreign materials standards. Luo Baifei believes that the goal of saving resources should be achieved to speed up the special bolt R & D will be valued in the next 3-5 years. This is also tight in the raw material prices skyrocketed the development trend of the situation.
Always concerned about, grasp the timing of procurement
For fastener manufacturers, all finished products are inseparable from the iron ore, wire and other raw materials, a large number of procurement, raw material prices too fast too high, has made the downstream demand is difficult to follow up, the late price correction may be difficult To avoid the raw material price fluctuations on China's tightening of corporate procurement costs have a decisive role in the relatively low price of active procurement of raw materials for future mass production to reduce the cost of doing the preparatory work. So it is possible to focus on raw material price volatility and buy at low cost is also one of the conditions for the success of business decision makers.