Grab the high-end European machine tool to cross the Chinese market

There is no doubt that China is the largest machine tool producer in the world today. In 2010, China's machine tool output value was US$20.9 billion, accounting for 31% of the world's 28 major machine tool producing countries and regions with a total output value of US$66.3 billion. However, as far as the country of machine tool production is concerned, if Europe and Turkey are added together, then the EU economy in the broad sense is the world's largest machine tool production base. In 2010, their machine tool output was 21.5 billion U.S. dollars. Therefore, as a regional concept, European machine tools play an important role in the world machine tool industry.

Export-oriented Europe, as the base of the machine tool industry, not only accounts for one-third of the world's machine tools in terms of output value, but also exports three-quarters of its products to all parts of the world. Export is an important driving force for the development of the European machine tool industry.

The European Machine Tool Industry Cooperation Council (CECIé„„MO) has 15 member states with 1,600 companies and its production value accounts for more than 97% of Europe. In 2010, according to CECIMO statistics, the output value of machine tools of each member country totaled 16.6 billion euros (equivalent to approximately US$21.5 billion US dollars), of which exports were stable at 12.3 billion euros.

2010 was not the peak year for the value of European machine tools, which peaked in 2008 and was 24 billion euros. Although the financial crisis caused serious impact on European machine tools, its output value in 2009 dropped by 37% year-on-year. However, starting in the second half of 2009, imports from Asia, including China, quickly restored orders for European machine tools. According to CECIMO statistics, the volume of orders in the first half of 2010 increased by 48% year-on-year. In the first nine months of the year, China's machine tool products imported from Europe were almost similar to those imported from Japan.

For the future of Asian and Chinese market expectations, the European machine tool industry is full of confidence. In 2010, machine tool consumption in Asia accounted for 60% of the global total, and CECIMO expects it to account for 70% by 2015. Martin Kapp, president of the German Machine Tool Manufacturers Association VDW, said that production will increase by 30% in 2011.

In addition, a “Commercial Confidence Survey 2011” from the European Union Chamber of Commerce in China also showed that up to 57% of the companies surveyed in this year’s global business have made it clear that the strategic position of the Chinese market will continue to rise, compared with only 40% last year. Visiting companies hold this view. In particular, the industrial products and service industries are currently planning to make new investments on an unprecedented scale. Nearly 71% of the respondents in the industry have plans to make major new investments in the next two years.

This survey result coincides with the current investment status of European machine tool companies in China. The top of EMAG's machine tool in Germany announced in Beijing in April this year that the company has doubled its sales in the Chinese market in 2010, and "for 2011, sales will not be doubled if not doubled." He Haoran, president of EMAG China, also stated that the area of ​​their Taicang factory will be doubled, and it will prepare to establish a new factory in Nanjing to produce parts and components. In the future, it will form a production base in Nanjing and a technical center in Taicang.

For the same consensus, SKF Group President and CEO Tommy Johnston stated in Dalian in March that SKF will establish a new plant in Jinan, Shandong Province with a total investment of approximately 590 million Swedish kronor (about 600 million Multiple yuan), covers an area of ​​16,000 square meters.

It is the pride of Germany to win high-end, custom-made "Germany-made" world-class markets. It is also the world's praise for them. Made in Europe, it is also characterized by high quality and high technology.

The Survey of Business Confidence Survey 2011 shows that EU companies in China believe that their main advantages over Chinese companies are product quality (73%), product innovation and design (70%), and management efficiency (69%). Especially in the industrial products and service industries, 82% of the respondents believe that product quality is the main competitive advantage.

In the world machine tool industry, the European machine tool industry has maintained its leading position in the world machine tool market for many years thanks to its high degree of innovation, diversification, and precision products. FilipGeerts, CECIMO's Director General, said: "Our good reputation is based on innovation and providing high-quality manufacturing solutions for overseas industries."

The reputation of European manufacturing in China can indeed be associated with high end. DMG, Shriver, these brands are already familiar with the industry, its products have become synonymous with high-end manufacturing. Although the financial crisis hit hard, although some of the world’s manufacturing powers, including the United States, view manufacturing as a sunset industry, although it is undeniable that there is indeed a gradient shift in the world’s manufacturing industry, the European machine tool industry clearly does not speak for itself. Give up your position in the manufacturing industry. After knowing its own characteristics and adhering to its own advantages, the European machine tool industry has mobilized such a future for itself: “To build a European knowledge-based and competitive manufacturing industry, we must protect this major industry in Europe.” At the same time, they also fully adhered to and expanded their advantages. CECIMO called for high-precision machine tool manufacturing to strive to increase its global market share to 80%.

In fact, China has always been a shortage in the development, production, and manufacturing of high-end machine tools. Although the market share and numerical control rate of China's machine tool products have been continuously increasing in recent years, China still needs a lot of imports from abroad, especially from Europe. In 2010, China's machine tool product trade deficit was 8.042 billion U.S. dollars, an increase of 81.07% year-on-year, a record high in recent years.

Under the new world economic situation, the European machine tool industry has also made many efforts to welcome the new era. Under the guidance of the “EU in 2020: to establish smart, environmentally friendly markets” strategy, European machine tools have begun to use “green and environmental protection” as their main playing card.

According to the latest news from Germany, the German Siemens Group and the National Development and Reform Commission signed a memorandum of understanding. China will support the development of green technologies in areas including energy conservation, smart power transmission, carbon capture technology and sustainable transportation systems. Smart grids and electric vehicles are the seven strategic emerging industries China has just identified last year. When some Chinese equipment companies are still discussing such as “how to support new industries” and “what exactly are the supporting methods and approaches,” Siemens has already won the lead.

The overall layout of German machine tools is undoubtedly the most typical representative of European machine tools, and in addition to Germany, Europe actually has a cluster of machine tools, that is, Italy, Spain, and the Czech Republic in Eastern Europe.

Germany and Italy are the EU's leading machine tool-producing countries. Germany's machine tool output accounts for approximately 40% of the European machine tool's output value. The following are 23% for Italy, 12% for Switzerland, and 5% for Spain.

Giancarlo Losma, president of the Italian Machine Tool, Robotics and Automation Manufacturers Association (UCIMU-SISTEMIPERPRODURRE), said in an interview recently that since 2010, China has become Italy’s largest export destination country, surpassing Germany. Due to the strong demonstration effect of the Chinese market, some manufacturers of custom-made, high-end machine tools began to follow the footsteps of the pioneers and entered the Chinese market. Until now, the top machine tool companies in Italy have all come to China. Losma also talked about two 20%. One is that Italy's machine tool industry will see a 20% increase in output value in 2011. Another is that Italian machine tools expected to be exported to China this year will surely have a 20% increase.

General Manager Ignacio of Spain’s Nicolas Crea Group introduced to the reporter that the Chinese branch is the only company in the world. As the sales champion of large and medium-sized milling machines and machining centers in Europe, 2010 was the fifth year that Nicolas Creaya entered the Chinese market, and its sales volume has exceeded 100 units. At the end of last year, Nicholas, which established Kunming in Kunming, promoted products to neighboring provinces of Fujian, and soon won orders from many companies such as Weifeng Precision Machine Tool and successful machine tools.

At the 12th China International Machine Tool Show (CIMT2011), the Czech Republic organized a dozen machine tool companies to jointly hold a promotion meeting. One manufacturer that manufactures turning tools has said that there are currently four agents in China and will cover the most important sales regions in China in the next two years.

In comparison, the Czech company Daos Machine Tool Company has clearly entered the Chinese market with a deeper degree. In 2005, they established a joint venture with Kunming Machine Tool and so far it has sold 100 machine tools. The reporter saw the person in charge of Dass’s newly established sales headquarters in Shanghai. He told reporters that the Shanghai sales headquarters planned to sell 20 original machine tools this year, and from January to April, seven or eight units had already been sold. If you can complete the plan, then this sales performance will be a miracle, because the original machine tool industry that Daws Company sold in China in 1995-2005 10 years is not over 50.