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Tools that represent metal cutting for a long time in the cutting tool industry will be very modest to say such things - "small products to achieve great cause." Indeed, the cost of the tool itself is only about 3% throughout the metal processing. But such a small product, but it occupies a huge market share. The data shows that in 2010, the total production of domestically produced tools in China was 29 billion yuan. In addition to supplying the domestic market, the export tool was 7 billion yuan. In 2011, the total sales of imported knives and domestically produced knives reached 33 billion yuan, ranking first in the world. General machinery, aerospace, automotive, energy, medical, rail transit, mold, machine tools and other industries are inseparable from cutting tools. Although the cost of metal cutting is only about 3%, it will affect the improvement of production efficiency by about 20%~30%, the production efficiency (using high-efficiency tool) by 20%, and the manufacturing cost will be Reduced by 15%, tool costs reduced by 30%, and part cost reduced by only 1%. The prices of mechanical products are continuously decreasing, and the quality requirements are constantly improving. The quality and price of the tools are ultimately reflected in the cost of the products. Therefore, it can be said that "tool represents metal cutting". China's tool market “faction†China is the world's most promising tool market. In its own development strategy, the multinational tool group has expanded its tool sales in China as its first choice. The Asia-Pacific headquarters, R&D center, training center and logistics of each company. The centers have settled in China, so that China is the center of China, and it is more direct and convenient to serve customers and better meet the needs of customers in the Asia Pacific region. With the rise of many industries, in addition to automobiles, the development of aerospace (especially commercial aircraft), medical devices and energy industries has contributed to the continued development of the Chinese tool market. Around the huge "cake" of the Chinese tool market, there are five major foreign factions in the market: Shante, IMC, American, European, and Japanese. Among the top five factions, the mountain specialties include SANDVIK Coromant, Walter, SECO, Safety, and DORMER. Under the leadership of General Manager Li Yushan of Greater China, Sandvik Coromant is the No.1 of the mountain specialties and even the entire Chinese tool market. On June 6, 2012, Sandvik Coromant Greater China Beijing Efficiency Center was grandly opened. The Efficiency Center is the original concept of Sandvik Coromant in the field of metal processing. There are 27 efficiency centers in more than 20 countries around the world. Although the mountain specialties are the leader in the global tool market, the second position is currently inconclusive. It is generally believed that Kenner, Mitsubishi and IMC are "a strong competitor for the second place." In April 2012, IMC CEO Jacob Harpaz said at the opening of the second plant in Teguque that IMC Group is the second largest tool manufacturer in metal cutting in the world. The IMC Group's Isca, Tailuo, and Teguco compete and cooperate with each other and have become an important tool group that challenges the mountain specialties. The US department is mainly represented by Kennametal Kennametal. As a tool brand that entered China earlier, many of the agents that became famous later were related to Kenner. More than a decade ago, the well-known Kenner Department of "North and South", one is now the general manager of Shanghai Shangli Machinery Co., Ltd. Zhang Zhongqin, and one of the general managers of Beijing Andaite Industry and Trade Co., Ltd. Zhang Qing, is the success of the tool agent. Representative, it can be said that Kenner is the Whampoa Military Academy of China's cutting tool elite. Of course, American tooling also has tool brands such as STELLRAM, MILLSTAR, Maiford MAFord, SGS, GARR, STAR. The Japanese department includes Mitsubishi, Kyocera, Sumitomo, Tajolo, Oushi, Yujie, Fujitsu, Hitachi and so on. The cost performance of Japanese knives is very advantageous in China, but because Japanese brands pay attention to the development of the market, there are many dealers, and the phenomenon of “selling goods†is not uncommon. The level of channel management needs to be improved. The European department is mainly based in Germany, including MAPAL, Guehring, EMUGE, Fraisa, VARGUS, HORN, Hoffman and so on. In addition, in the Asian market, Taiwanese knives (Zhengheyuan, Shanghu, DHF, Anwei, etc.) and Korean knives (high-resistance, YG-1, etc.) are also unique landscapes in the Chinese tool market, especially with Treasure Island Taiwan, which has a water in the motherland, is well versed in the Chinese tool market. Its low price and good practicability have won the hearts of Chinese customers. The tool agent who has achieved individual heroism is a platform for achieving personal and intelligent use. After 90 years, Jin Xiaoming’s Sun Xiaoming and Lin Ouyang, Shang Ya (formerly Xinghe) Xu Xiuxian and Wu Mingdu, Tao Te’s Fu Minglu, Lianchuang’s Wu Zhenliang and Wang Yaqing, Ndia’s Zhou Zhaohui, Rijin Zheng Jinbiao, Haidun's Lu Yongzhong, Nuocheng Xingye's Hao Quanfu, and He Li's Yu Junha are all well-known figures in the industry. In view of the current brand strength of the agent, Jin Wanzhong is the first to be promoted. This dealer, which is the sole agent of Japan's Da Zhao and BIG, also represents Sumitomo, Oushi, Kyocera, Stellam and other products. Since Japanese-funded enterprises tend to be multi-agents, and Da Zhaohe only chose Jin Wanzhong in China, this successful “golden mass model†is considered difficult to replicate. Of course, there are many small and medium-sized tool dealers in the Chinese tool market, which better meet the needs of the Chinese tool market. However, as competition intensifies, some dealers with poor service quality will be “smashed†by the market. More tool brands have gradually streamlined the number of dealers, so that the profits are relatively concentrated on some of the larger dealers. In the process of more than ten years of reshuffle, the domestic agency system will be increasingly perfect. The road to localization of tools Although the foreign brand tools are flourishing in the Chinese market, domestically produced tools still occupy the mainstream status, which is about 65%. However, in the annual sales of 33 billion yuan, imported tools account for 1/3, reaching 11 billion yuan, and all are modern efficient tools. Of the 22 billion yuan of domestically produced knives, only about 2 billion yuan worth of modern high-efficiency knives accounted for 10% to 15%. This shows that while China has become the world's most promising tool market, the high-end market is occupied by multinational companies, and the development of domestic tools has a long way to go. Over the years, the Chinese market has also achieved outstanding enterprises such as Zhuzhou Diamond, Xiamen Golden Heron and Zheng Diamond. Together with the original four major tool factories, there are about 10 key enterprises, all of which have completed from traditional tools to modern tool industries. The transformation, and the year-to-year development is good, they have entered a period of rapid growth. From the perspective of regional division, domestic tool companies are relatively concentrated, and tool brands in several key regions in China are gradually emerging. North such as Haliang, Ha Yigong, Dalian Far East, Dalian Fuji, Wald, etc.; West Rucheng, Industrial Research Institute, Sentai Yingge, Chengdu Qianmu, Chengdu Fengyi, etc.; South China, such as Xiamen Golden Heron, Shenzhen Tiantian, aerospace precision knives, Dongguan Ruifeng and other enterprises, as well as a large number of small and medium-sized tool enterprises throughout South China, have added a lot to the manufacturing industry in the Pearl River Delta region; East China has Shanggong, Arnold, Tiangong International, Visa, Changzhou Huafeng, Jiaxing Hengfeng, Ningbo Sanhan, Ningbo Dirk and other enterprises have developed rapidly in recent years; in comparison, the Zhongyuan area's tools Zhengzhou Diamond, Fu Nike, Zhengzhou Bote and other enterprises are more representative. Although the CNC tooling in the domestic tool industry started late, after years of tempering and hard work, China's tool industry cluster pattern has begun to take shape, and some tool companies have already laid a solid foundation. These companies attach importance to technology research and development and product quality, product performance is stable, and are gradually replacing imported products, these companies must be thick and thin!