• After having joined the WTO, China’s transformation was two-folded; it quickly became not only the largest processing and manufacturing country in the world but at the same time, it developed into a highly demanding market for an important sector such as moulding and machinery products.

Chang`an, located in Dongguan (which lies at the core of the Pearl River Delta), is the fastest developing centre for moulding and machinery in southern China’s. It focuses on the processing and manufacturing industry. Due to the quality of the products, it has built a high reputation, not only at a regional level, but also as a standard of reference in China and even at a global level.

Chang`an moulding and machinery industry started to develop in the nineties, when the majority of developed Hong Kong moulding enterprises relocated to the Pearl River Delta (the PRD), mainly in the area of Shenzhen, Dongguan and Guangzhou. Thousands of manufacturing factories surrounding Chang’an generate a huge demand for the hardware moulding industry. It also represents a big market for high-end and middle-class machinery, hardware tools and moulding accessories.

Thanks to its strategic location and a broad manufacturing base, Chang`an has attracted a great number of well-known enterprises that are supported by a favourable investment environment and reliable service infrastructure. These have led Chang’an to be one of the most important moulding production and logistic hubs in southern China today.

There are more than 700 factories dedicated to the machinery and hardware moulding manufacturing business. Among them, around 400 factories are owned by foreign investors. Additionally, more than 3,000 enterprises are dedicated to product distribution and services related to the moulding industry.

The number of employees involved in this industry surpasses 100,000, and the annual production value is around 400 million euros, representing 40% of the general industrial production value in Chang’an.

In 2006, the exports value of the machinery and hardware moulding industry reached 75 million euros; Chang’an has won important national accolades such as “Renowned Town for Hardware Machinery and Moulding in China” and “First Specialised Industry Base of Moulding in Guangdong”.

It is fair to say that nowadays, Chang’ an’s moulding industry is shaping the world.

1 - Moulding and Machinery Manufacturing and Logistic Hub.
There are three large-scale appointed wholesale markets in Chang’an, with a combined area that covers 300,000m2 in total. The number of distribution units is in excess of 2,000, providing employment to over 20,000 people. The annual trading volume of distributors reaches 200 million euros.

The industry targets the following specialities: machine tools, machining centres, fittings of metal-cutting machine tools, accessories, electric appliances for machine tool, moulding & cutting tools, clamping tools, measuring tools, cutters, hardware, metal materials etc. These niche markets add up to the complete manufacturing industry of the PRD.

In 2007, Chang’an is planning to invest 50 million euros to build a new “Hardware Mould Commodities Centre” with an estimated floor-area of 400,000 m2. It will be the new distribution centre and manufacturing base, which will include a comprehensive chain of manufacturing, supply and distribution of full-functionality, inclusive categorization and first-rate services.

2 - International Machinery Hardware Moulding Exhibition.
A national and international exhibition for this industry has been held in Chang’an, China for the last 6 years.

The exhibition promotes trade and cooperation, showcasing new production techniques and new technologies relevant to national and international manufacturers, distributors and purchasers.

Today, the exhibition has become the professional fair of reference in southern China, spreading the development of modern manufacturing from the PRD throughout the whole country.

3 - Active delegate association
The Hardware-Machinery Moulding Association of Dongguan was founded in Chang’an in November 2003. Since then, the association has enrolled more than 150 members and has assisted them in carrying out project investments, cooperation communication, technological improvements, national patent application, etc.

Through the fully commitment of the association, the communication between the government and the related enterprises has been enhanced, incrementing the involvement of the authorities in the development of this industry.

4 - Well-known enterprises
• National famous brands, such as”Jinzheng” and “BuBuGao”, have located their headquarters and factories in Chang’an.
• The world wide-known Taiwan enterprise Tai Yi Machinery Moulding Co., also set up a factory in Chang’an.
- The largest supplier of industrial moulding systems in the world, Agie Charmilles, while having its headquarters in Switzerland, has established a Delegation in Chang’an;
• The leader in CNC Machine Tool, the German DMG Group, also has settled a wholesaler’s office in Chang’an;
• The HACO Group from Belgium, one of the World’s Top 500 companies, has also established a trading company to cooperate with local private enterprises, and it is currently planning to set up a factory in the area.

5 - Public service
Chang’an government closely cooperates with the Science and Technology University of Huazhong through the joint development of a national moulding laboratory. This laboratory boasts a fully functional exhibition of hardware moulding technology, an R&D centre, training facilities, support for technology services, as well as infrastructure for inspection and technology standard development. It has become a national reference as a first class public technology centre for moulding industry.

FangDa Research Academy and the Chinese Academy of Inspection Technology, are two institutions formed by local organisations and universities located in Chang`an. They aim to improve the research and development of new technologies and services for metric inspection and calibration, production inspection, sample testing, verification, auditing, training and test development as well as consulting.

6 - Government support
Chang’an authorities also go through great lengths to encourage local companies to develop their own brands and technologies in order to improve the industry. 10 Million RMB have been allocated to encourage enterprises, which bears fruit in outstanding achievements in scientific and technological innovation and R&D. It also promotes independent innovation and releases information about Intellectual Property Rights, including reinforcing management techniques and protection of patent, brand, logo and technology.

7 - Human resources
Chang’an government is also committed to the promotion of talented professional to upgrade the level of R&D. Today, there are about 9,000 Chinese technicians working in the hardware and metal-related manufacturing industry in Chang’an. Large and middle scale enterprises have already established their own R&D departments and use CAD/CAM technology to enhance their R&D capabilities. Leading Chang`an enterprises have established long term technology cooperation relationship with more than 10 Academies and Research institutions in the country, and plans are also in place to establish a moulding technology training school to promote and prepare more talents to meet the demand of the local industry.

8 - Innovation and Intellectual Property Rights
The industry in Chang’an has a good record of innovation with over 80 new products and technologies with independent Intellectual Property Rights. Among them, more than 30 have received National and Regional Technology Awards and received National Patents. Three of them have raised especial international awareness, among which Kaipu Pricise Machine Co,.LTD is worth mentioning since they are the developers of a three-dimensional coordinate inspection machine with an astonishing precision of 2 micron.

9 - Chang’ an Moulding & Machinery Park
In order to support the fast development of moulding and machinery industry, Chang’an government is planning to build a Moulding & CNC Machinery Industry Park, with a final construction area that could reach 1 million m2.
The industry park will focus on attracting high-precision moulding and CNC machinery enterprises setting up factories or R&D centres. The park is intended to be organised into five different zones, including the moulding manufacturing and processing zone, the moulding design zone, the moulding material trading zone, the moulding equipment trading zone and the moulding technology training and information service zone.
The park is designed to develop a complete market chain with functions of manufacturing and processing, production exhibition and distribution. It will be hosting manufacturing centres of moulding parts for automotive industry, plastic moulding for home appliances and precision stamping tools, as well as support services for those related industries. It aims to attract 300-500 enterprises for moulding manufacturing, R&D, training, and services, high-class enterprises to the park, The annual production value of the enterprises settled down in the park is expecting reach to 1 billion euros.

10 - Governments services
The hardware mould industry cannot develop so fast without the support from the local government. Chang’an authorities established a development group to lead the development of the local hardware moulding industry. This group is in charge of researching, analysing and solving the problems involving the industry during its development period. The local government also set down a program for the development from 2005-2010, implementing “suggestions to fully promoting the development of Chang’an hardware moulding characteristic industry”. It also set down favourable policies to facilitate the establishment of more related industry.

We wait for you to come and share the industry success.