In recent developments, during the China Mould Base Industry Upgrading Forum held in Huangyan, Zhejiang, industry experts highlighted that global mold giants are intensifying their efforts to penetrate the Chinese market, leading to growing challenges for the domestic industry. The crisis within China’s mold sector is becoming more evident as foreign competitors bring advanced technology and high-quality products into the market.
Mold manufacturing is often referred to as the "mother of industry" due to its critical role in various sectors such as electronics, automobiles, electrical appliances, medical devices, and communication equipment. In fact, between 6% to 80% of components in these industries rely on molds for production. This makes the mold industry a cornerstone of modern manufacturing.
With the global manufacturing base shifting rapidly toward China, the country's industrial sector is undergoing significant upgrades. As a result, there is an increasing demand for high-precision, high-quality molds. Since the mid-1990s, when international mold companies began investing in China, a new wave of foreign investment has emerged, aiming to capture a larger share of the market. This influx has put pressure on local manufacturers, who now face stiff competition from foreign firms with superior technology and resources.
The growing presence of foreign capital in the Chinese mold industry has raised concerns among stakeholders that domestic companies may gradually lose their competitive edge or even be overshadowed by foreign players. Experts suggest that Chinese firms must carefully evaluate and manage the standards of foreign investment to ensure sustainable growth and maintain their market position.
One example is the Belrose factory in China, established by Finland's leading mold company. The facility adheres strictly to European and American standards and has invested 60 million yuan (approximately NT$242 million) in its first phase. It focuses on producing high-end molds for industries such as telecommunications, healthcare, electronics, and automotive, with advanced testing and verification capabilities.
In May last year, Mitsui Fuji Automobile Mold Co., Ltd., a joint venture between Japan’s Fujitsu Industries and Mitsui & Co., opened in Yantai, Shandong. Similarly, Cole Asia partnered with China Dongfeng Motor Mold Company to form Wuhan Dongfeng Kerr Mould Standard Parts Co., Ltd., with Cole Asia holding a 63% stake. Meanwhile, Japanese firm AB entered the Chinese market by collaborating with a Taiwanese PC peripheral manufacturer, setting up a factory in Shanghai to produce mouse and mobile phone molds.
European, South Korean, and Singaporean mold companies have also shown strong interest in entering the Chinese market, actively seeking partnerships and investment opportunities. This trend reflects the growing importance of China as a key player in the global mold industry, but it also signals the need for domestic companies to adapt, innovate, and strengthen their competitive strategies.
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Jiangsu MO opto-electronic material Co., Ltd. , https://www.jsmochem.com