Zhejiang Zhenhai Fasteners Farewell to confusion and bright future

Recently, the location of the Zhenhai Fasteners Comprehensive Business Service Building was initially determined. Zhenhai will build a six-platform “Test and Development, Price Release, Trade and Distribution, Exhibition and Exhibition, E-Commerce, and Financing Services” on the south side of Xinyanshan Road in Jiulonghu Town. The integrated fastener business service building will become a new landmark and new business card for the fastener industry in Ningbo after its completion.

In 2008, the Jiulonghu Fastener Company, which was concentrated in Xijingtang Village and Xihe Village, was once facing the fate of being relocated. At that time, it was a time when Jiulong Lake was creating a tourist attraction in full swing. The land resources were strained. According to Xu Li, president of the District Fasteners Association, the product profits of Jiulonghu Fastener Company are generally 2-3%, and the profits and taxes are only 6-7%. They are deeply involved in the low-end homogenization competition and considered to be “ "High energy consumption, low profits and taxes" industry. In 2010, when formulating the 12th Five-Year Plan of Jiulonghu Town, the district government was once in a dilemma - whether it was eliminated or reformed. How to plan the future of the Kowloon Lake Fastener Industry?

In June of this year, District Secretary Ma Weiguang investigated the industry of Jiulong Lake's fastener industry, and the answer was finally settled - to upgrade and create a high-end fastener market.

There is no backward industry, only backward technology. For Jiulonghu Town, the fastener industry can be said to have taken up half of the country's total, and it also carries jobs for five or six thousand people. “The era of relying on land development is already over. Fastening industry must develop additions and subtractions.” Song Qi, deputy mayor of Jiulonghu Town, said that the so-called “addition” is the expansion of trade and services from the original pure manufacturing industry. To create a headquarters economy; "subtraction" is to naturally eliminate low-end, backward production capacity and build a high-end production base in Jiulonghu.

Apart from its influence on the domestic market and the consideration of the ability to absorb the surrounding labor force, the desire and resolve of the fastener enterprises of Jiulong Lake for transformation and upgrading are also important reasons for the government's choices.

According to statistics, Jinding, Ningli and other leading fastener companies invested nearly 210 million yuan in technical reform funds in the past three years. When it comes to the reasons, Xu Pengfei, general manager of Jinding Fasteners, took the example of rival Japan. In Osaka, Japan alone, there are more than 1,700 fastener companies. Compared with the mainland market, their production costs are much higher, but their product profits are 7 times that of China, while maintaining low energy consumption. "In the final analysis, it is still a technical issue." He believes that the reason why domestic companies participate in competition by virtue of their price advantage is precisely because they cannot achieve homogeneity in quality. If they want long-term development, they must work hard in terms of price, quality, and service.

According to the latest industrial development special plan description, our district will use three to five years to build the fastener economy of Zhenhai District into a “Ningbo Fastener Export Base” and “Ningbo Mechanical Base Industry Base”. "Zhejiang Province Fastener Industry Cluster Demonstration Zone" and "International Large-scale Manufacturing Enterprise Fixed-point Procurement Base". Accordingly, the fastener industry in Jiulong Lake is far from being lost and the future is clear.