Machine tool enterprises should strengthen differentiated competitive advantages

Abstract In China's machine tool industry, many enterprises have traditionally relied on reducing product prices to gain market share. This strategy has led to low pricing, limited value addition, and shrinking profit margins, leaving companies with insufficient capital for long-term innovation and development. As the industry matures and competition intensifies, it becomes increasingly clear that simply lowering prices is not a sustainable model. Instead, enhancing the technical content of products, developing independent intellectual property, and focusing on brand building and marketing are essential for sustained growth. The evolution of China’s machine tool industry must be driven by market demand, with the advancement of CNC machine tools as a core driver. Emphasis should be placed on improving the main machine units, establishing strong supporting systems, and accelerating the transition from low-end to high-end CNC machines, from basic processing to high-precision manufacturing. In recent years, there has been a gradual shift toward more advanced processing units and flexible manufacturing systems, with improvements in accuracy, efficiency, automation, intelligence, and connectivity. However, despite progress in learning, imitation, and innovation, China still lags behind global leaders in precision, automation, and environmental sustainability. These gaps are largely due to a shortage of skilled talent. Many technical professionals lack solid theoretical foundations and practical experience, leading to a disconnect between academic knowledge and real-world application. Additionally, innovation is often hindered by weak R&D mechanisms within enterprises. Most companies focus only on customizing existing technologies rather than conducting comprehensive product development that integrates user needs, machining processes, machine layout, and control systems. Currently, domestic high-end CNC machine tools are beginning to penetrate key national sectors such as defense and infrastructure. Although there remains a heavy reliance on imported high-end equipment, the domestic market share is gradually increasing. For instance, the market share of metalworking machine tools has reached 80%, while the CNC machine tool market now accounts for 75% of the domestic demand. Globally, the technological level of machine tools is currently centered around CNC bed machines, and this trend is expected to continue over the next two decades. In 2014, supported by national policies, machine tool companies were encouraged to build differentiated competitive advantages to maintain their growing market positions and secure a stronger foothold in the increasingly competitive industry landscape.

Reduced Shank Drill Bits

Reduced Shank Drill Bits,Stainless Steel Drill Bits,Galvanized Pipe Drill Bits,Reduced Shank Drill Bit Set

Danyang Yongshun Tools Co.,Ltd , https://www.china-drill-bit.com