Specializing in vertical CNC grinding machines

"Big but not strong" Chinese machine tools, how to break through upwards?

2024-02-27

The current domestic high-end industrial mother machine the biggest opportunity for development, lies in the deterioration of the external environment caused by the increased difficulty of obtaining imported products, superimposed on the product cycle resulting in the gap.

On the one hand, the external conditions constraints on imports of high-end CNC machine tools to increase the cost and risk. First of all, the United States as the leader of the developed countries to limit some of the high-end CNC machine tools and related technologies to China's imports.

Secondly, CNC machine tools in the use of the process of maintenance and system iteration and upgrading, the increased uncertainty of the external environment leads to further aggravation of the risks associated with long-term use (in extreme cases, there may be a stop to update and remote shutdown). These risks and costs objectively lead to a further increase in the urgency of localized substitution on the demand side.

Photo 2023 Shanghai International Machine Tool Show Source: Xinhua News Agency
On the other hand, the use cycle of machine tools is generally 10-15 years, and the last round of replacement climax appeared in 2009-2011, the current stock market is facing a larger demand for renewal. At the same time, with the continuous development of China's high-end manufacturing industry, the incremental demand for high-end CNC machine tools also continues to emerge.

The state and local governments have fully realized this opportunity, "Specialized, Specialized and New" policy, the demonstration of the application of policy, the mother of industrial R & D tax breaks and other supportive measures for the development of industrial mother machine enterprises to build a more favorable policy environment.

We believe that a better grasp of this opportunity is still missing a grip, is to promote the supply side into the corresponding market.