Analysis of Problems Faced by China's Die and Mold Industry

According to related reports, during the “Twelfth Five-Year Plan” period, China’s mold industry is facing many problems:

International environment: In some countries today, the sovereign debt crisis, the global economic contraction is increasingly coming to the Chinese economy, the Chinese government, the manufacturing industry have organized to deal with, the mold industry will also be tested, in the first half of 2011 reflected The performance reflects the recovering growth of the previous year. In the second half of 2011, the mold industry, especially the mold export enterprises, had insufficient overall orders, and the profits of the mold companies had fallen sharply;

Domestic environment: After the tax incentives implemented by the state in the mold industry expired in 2008, no new supporting policies have been introduced so far. The new supporting policies for mold and other industries are clearly put forward in the National “Equipment Manufacturing Industry Adjustment and Revitalization Plan”. The opinions have not been implemented yet, and the investment in R&D investment and equipment renewal of mould enterprises have been significantly reduced.

Industry environment: The host industry uses mold cost control to reduce the cost of parts procurement, while the actual cost continues to rise, making the mold company profits continue to decline, is not conducive to the mold industry transformation and upgrading; a new round of business expansion is in the technical product As a result of breakthroughs on a higher level, due to the lack of funds and lack of funds for R&D and innovation, mold companies have been difficult to achieve. Information technology has been difficult to meet without financial guarantees. Account receivables have increased, and corporate liquidity has been insufficient. Difficulties in liquidity of small enterprises have forced mold companies to struggle; lack of updated human resources knowledge, lack of development talents, lack of high-skilled personnel, lack of quality management and other management personnel, has not yet formed a reasonable structure of corporate talent, affecting the development of the industry.