If there is no core technology, from the perspective of the world's division of labor, Chinese fastener companies may increasingly work in the lowest part of the value chain, and the highest value chain is occupied by others. The weight of the fasteners we create and the value of the fasteners we create will continue to grow.


In 2005, there were more than 7,000 fastener enterprises in my country (excluding Hong Kong, Macao and Taiwan). Under the low-cost price advantage, the domestic fastener export business has grown by more than 20%. In the first three quarters of 2005, domestic fastener exports reached 1 billion US dollars. This is an increase of around 24% compared to the same period last year.


According to the statistics of China Fastener Association, most of the products exported by Chinese fastener companies are low-grade products with low technological content, and they mainly rely on the competitive advantage of low prices to enter the international market. Under the premise of not knowing the target export market, blindly export, so that production is concentrated in a few markets, so they bargain with each other to seize market share.


The development speed of China's fasteners attracts the attention of the world, which not only surprised the developed countries, but also makes them discover a new type of big market, and multinational companies are rushing in. Therefore, when domestic companies suddenly feel that it is so difficult to survive in the market, they look around, and there are powerful competitors everywhere.


According to the survey, the top 500 Chinese fastener enterprises with the most growth rate rarely rely on core technology to grow bigger, which is the weakness of Chinese enterprises. Most of the Fortune 500 companies rely on cheapness, low cost and economies of scale to grow. In the context of globalized competition, can our resource monopoly advantage rival the core technological advantages of multinational corporations? Can our cost advantage rival the brand advantage of multinational companies' products? Is it possible to survive better?


On the one hand, in the domestic market competition, more and more multinational companies are accelerating their entry into China. After adjusting the strategy for China, relying on its own technological advantages, it has seized more and more market shares in the Chinese market, which makes domestic fastener companies face more and more competitive pressure and worse living environment. . In this case, anti-dumping investigations and prosecutions can easily fall to Chinese fastener companies.


Another challenge comes from the international market. The low cost makes Chinese fastener companies appear disorderly in the export process. The direct consequence is that in the past two years, anti-dumping cases involving Chinese fastener companies have gradually appeared, and once the company loses the lawsuit, it will be discriminatory and highly anti-dumping. The tax rate will make the cost price advantage of Chinese products lost.


Technology research and development is now a relatively recognized "soft underbelly" of competition, and it has become an obvious fact for multinational companies to use it as a "weapon weapon" to make their business a long-term business. But whether it can be mastered by domestic enterprises and become a "weapon", it is obviously too early to answer affirmatively. To this day, there are still many companies that shout that "independent research and development" is very important, but they are unwilling to increase investment in technology research and development, making "research and development revitalizing enterprises" an empty phrase.


On the whole, compared with the special equipment in advanced industrial countries, the special equipment for fastener production in my country, whether it is the manufacturing accuracy of the equipment, the advanced level of the structure, the scope of application of the process, the material selection of components, the speed of manufacturing and updating, and the application of computers. There is still a considerable gap in other aspects. High-strength fasteners must not only meet the mechanical properties of the product, but also meet the technological requirements of assembly, strictly control the torque during the production and assembly process, and strictly control the friction coefficient of the bolt to ensure the axial force. The research is still quite weak, and there is still a long way to go.