The Shenzhen mold factory, established by the Finnish global mold leader Belrose, has recently started operations. The facility was built entirely according to European and American standards, with an initial investment of 60 million yuan. It primarily focuses on providing high-end molds for industries such as telecommunications, healthcare, electronics, and automotive. The plant is equipped with advanced testing and verification capabilities, ensuring the quality and precision of its products.
At a recent China Mould Base Industry Upgrading Forum in Huangyan, Zhejiang Province, industry experts warned that foreign mold giants are accelerating their entry into the Chinese market. This trend has exposed local manufacturers to significant challenges, particularly due to "inherent weaknesses." In the face of fierce competition from international players, it is crucial for local companies to enhance their technological and brand capabilities rapidly.
According to statistics, the relocation of mold enterprises from developed countries to China has accelerated since last year. For example, in May 2023, Mitsui Fuji Automobile Mold Co., Ltd., a joint venture between Japan’s Fujitsu Kogyo and Mitsui & Co., signed an agreement in Yantai, Shandong. In the same year, Cole Asia and China Dongfeng Automobile Mould Co., Ltd. formed a joint venture called "Dongfeng Cole Mold Standard Parts Co., Ltd.," with Kohl Asia holding 63% of the shares. Meanwhile, Japanese and Taiwanese companies also entered the Chinese market, setting up factories in Shanghai to produce mouse and mobile phone molds.
Mold companies from the EU, South Korea, and Singapore have also shown interest in entering China, seeking partnerships and expansion opportunities. Dr. Wang Qin from the Institute of Industrial Economics at the Chinese Academy of Social Sciences emphasized that mold manufacturing is often referred to as the "mother of industry," as over 60-80% of parts in electronics, automobiles, appliances, and communications rely on molds. With the global manufacturing base shifting toward China and the country's push for high-end development, the demand for high-quality precision molds continues to rise.
Experts point out that the local mold industry faces four major challenges: first, low-end product positioning with severe homogenization; second, outdated technology and a shortage of skilled workers; third, rough management practices; and fourth, low standardization levels. These issues have made it difficult for local companies to compete effectively against foreign counterparts.
To address these challenges, experts suggest that the industry should focus on high-speed, high-precision, and high-performance developments. Professor Han Xiaoming from Renmin University recommends that local companies invest more in professional talent and improve their ability to design and manufacture complex, long-life molds. Cui Xinjian from the Central University of Finance and Economics emphasizes the importance of digital and information management systems to enhance responsiveness to market demands. Gu Qiang from the National Development and Reform Commission highlights the need for government support in promoting industry integration and building regional mold brands through collaboration among enterprises.
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