Five Ways to Transform the Development Mode of Chinese Hardware Products Industry

The hardware product industry is an important people's livelihood industry that is fully competitive in the market and closely related to people's lives. It has the characteristics of small products, large markets, and large industries. In recent years, the hardware products industry has achieved sustained and rapid development, and has become the world's largest producer of metal products and global hardware production and processing centers, procurement centers and important international trade distribution and supply. However, as far as the industry as a whole is concerned, unbalanced development is still a prominent contradiction in the industry. There are problems such as extensive development methods, backward equipment, processes, excessive middle and low-end products, and insufficient high-end products. Low industry concentration, small, multiple, scattered and weak industrial structure is still the focus of adjustment in the future.

The task of transforming the development mode of the hardware products industry is arduous. To sum up, five major changes need to be made.

1. From extensive to intensive. Change the original status of small, multiple, weak and scattered industries, improve product processing capabilities, upgrade manufacturing equipment and processes, create brands, and take an intensive development path. The core of extensive transformation to intensive is to improve product processing capability and quality level, and take the road of independent innovation and independent brand development.

2. From labor-intensive to technology-intensive. Labor-intensive industries can also introduce modern electronic information and other technologies into the industry. The hardware industry has a wide variety of products, each with its own characteristics, taking a technology-intensive approach, increasing the technological content of products, adding value, and intensive development of high-end markets.

3. From the expansion of quantity to the improvement of quality. At present, the status quo of product homogeneity and low-level duplication of labor in the industry has not yet been improved. To achieve the transition from a large producing country to a strong manufacturing country, we must overcome the current status of too many low-end products and high-end products.

4. From low-cost, low-cost to high value-added, high-margin upgrade. The low-price competition between peers is an act that harms the industry and hurts both sides. To compete in technology, the industry should start with the connotation and added value of the product to gain the favor of the market, so as to maintain an orderly and healthy ecological environment.

5. Exports are mainly OEM to gradually increase the proportion of self-owned brands. It is necessary to further consolidate and expand the international market, increase the development of the domestic market, walk on two legs, and pay equal attention to domestic and foreign markets in parallel. OEM production mainly consists of orders, processing, and delivery. It lacks market dominance and bargaining power. Therefore, it is necessary to establish independent brands, gradually increase the proportion of self-owned brands' exports, and increase international competitiveness.