The rapid development of manufacturing industries, making China the cutting tool market has great potential, the total is expected to surpass Germany, America, Japan, for our country's adjustment and development tools industry, providing a fully operational space.
We believe that, despite the cyclical changes in the global economy, and there will be unrest. However, the transfer of manufacturing to China general pattern is based on the optimal allocation of resources in the context of globalization objective need not be reversed. At present, the Chinese manufacturing output magnitude of value roughly between Japan and the U.S. between, but in the real output level, has greatly exceeded Japan and the U.S.. China has 5 consecutive years machine tool consumption volume ranking first in the world.

2007 China's machine tool has a volume has reached 500 million units, far more than in developed countries, up to 60 million units of CNC machine tools, quantity, and Japan, the U.S. equivalent, but low-grade. In developed countries, the use and efficient tool to play the potential of digital manufacturing technology has become a consensus. The annual consumption of the tool, both in the machine tool consumption of about 50%. In China, tool and machine tool consumption spending only 20% of instructions in our tool consumption, cheap inefficient traditional tools still the mainstream, far from being fully functional machine tools, manufacturing has great potential to improve labor productivity. This is not only the gap between China's Tool Industry, China is also a handy tool industry. Development Chinese golden key tool is the development of a large market modern and efficient tool to replace the cheap, inefficient traditional tools.

Through the above analysis, we can clearly see that Chinese enterprises are facing the greatest opportunity for tools that, in our house, there is a tool for the world's largest market for our development provides ample space. However, we face serious challenges, modern and efficient tool to market needs, we have developed very slowly, unable to meet the needs of industry, had to import large quantities. Not meet the development needs of modern manufacturing traditional standard tool, but the blind development, the total loss of control, the formation of overproduction, low prices of the passive situation. Therefore, the Chinese tool industry has only one way, that is, the development of modern and efficient tool to achieve structural adjustment and industrial upgrading, to get rid of low-level redundant development path.

Entering the new century, China has already begun tool industry structural adjustment and industrial upgrading process, but progress is slow. The face of new economic challenges, the majority of industries and enterprises a sense of urgency, to accelerate the pace of adjustment. The big market potential Chinese instruments developed. Do this, Chinese tools market size will exceed Japan, the U.S., Germany. Doing so, not only the Chinese tool industry to develop and grow, China's manufacturing industry will be widely adopted modern and efficient tool which greatly improve production efficiency and competitiveness, the benefits far higher than the tool industry, is a win-win situation.