China Fastener World Magazine issue No.71

Infusing New Opportunities into Southeast Asia Infrastructure Green Manufacturing

With more than 150 partnering suppliers globally, Hisener is one of the world's largest fastener suppliers. In 2019, the company successfully refined its best-selling wood screws which made a brilliant debut at Fastener Fair Stuttgart. In August 2022, the company completed a new 32,000-square-meter automated and smart factory, housing more than 270 machines to enable triple production capacity, as well as an additional manufacturing line for stainless steel products. In 2023, a dedicated line was built to develop bi-metal screws to meet customer demand for high-performance screws. At this stage, Hisener has perfectly achieved a corporate structure combining manufacturing, trading and R&D, coupled with the previously obtained ISO 9001 and CE certificates to provide over 4,000 types of fasteners to customers in Europe, Russia, the U.S. and South America.

In February 2024, the company released big news that it is all in on an upgrade towards carbon reduction. This makes 2024 “the starting year for Hisener’s green manufacturing", and draws a dividing line in the company’s history to start off into a new GREEN era together with the world's industry leaders, and brings Hisener to a place where it leads the Chinese fastener industry into transformation for low carbon and smart manufacturing. Going ahead at the forefront of global trends, Hisener revealed to Fastener World that they are targeting Southeast Asia in this year's global sales expansion tactic!

High Infrastructure Demand in Southeast Asia; Hisener is Eyeing Indonesia and Malaysia

Large-scale construction projects are being carried out in most parts of Southeast Asia to accelerate urbanization and infrastructure development. In the next 10 years, infrastructure investment in Southeast Asia, covering areas such as construction, power generation via renewable energy, power grids, and transportation, will require US$2 trillion in financing to transition into sustainable development. This March, Australian Prime Minister Anthony Albanese announced an investment fund of 2 billion in Australian dollars to support transition into green energy and construction in Southeast Asia. From here, we can pick up a potential increase in demand for infrastructure fasteners in Southeast Asia, as well as a trajectory of transformation towards green manufacturing, which is in line with Hisener's "green manufacturing" initiative. Hisener will expand sales to Southeast Asia and infuse high quality Chinese GREEN fasteners into new business opportunities in Southeast Asia.

Indonesia has officially launched in January 2024 the plan to move the capital from Jakarta to Nusantara. The demand for infrastructure and residential buildings as well as business opportunities radiating to neighboring countries could be very large in potential. In addition, Malaysia's economy will see an upward trend driven by light rail transit, mass rapid transit and highway projects now in motion. These have become one of the drives for Hisener to choose to go south for sales expansion. Southeast Asia is currently the second largest trading partner for China. Hisener continues to increase efforts in Southeast Asia, while actively seeking suitable partners to increase investment and provide more purchase access for Hisener's global clients. The company will also exhibit in Fastener Expo Southeast Asia in Jakarta, Indonesia, from August 21 to 23, and it welcomes global visitors to booth number D22.

Highlight: Bimetal Screw

In response to the potential rise in construction demand, bi-metal screws will be one of the highlights at Hisener’s booth. This product has an alloy-steel drive portion welded onto a 300 series stainless steel shank, allowing for a maximal 12.5mm penetration to penetrate carbon steel while having the excellent corrosion resistance and ductility of 300 series stainless steel. The alloy steel threads on the drive portion can cut out grooves on a purlin to create effective locking and enhance pullout resistance. Besides performance advantages, the most important thing is that Hisener can offer the best price. The current production capacity of this product is about 50 tons per month, which is not currently completely filled and therefore, there is great room for more capacity to cater to more clients.

Advancement of Hisener! The “3 Ls Initiative”

After the EU fired the first shot with CBAM, the Clean Energy for America Act is in the making. The British government has promised to roll out the British carbon border regulations by 2027. It is estimated that carbon border tax will be introduced in Asia and many countries in the next decade. Hisenser is one of the earliest big companies in the Chinese fastener industry to put forward a declaration of carbon reduction. For the company, carbon reduction is imperative, so it is currently implementing the “3 Ls Initiative”, with the 3Ls being “Lower carbon, Lower carbon, and further Lower carbon”. The ultimate goal is carbon neutrality. The current ongoing measures are as follows:

1. Increase the use of clean energy. At present, solar power can already meet 30% of Hisener's electricity consumption, and more renewable energy will be purchased in the future.

2. Invest more in optimizing product design and craftsmanship to increase energy efficiency.

3. Reduce energy and material consumption by implementing recycling production methods. Recover energy from waste, such as by filtering waste water and oil and reusing it.

4. Develop emission reduction technologies that suit Hisener and continuously reduce emissions.

5. Focus on green procurement to build a green supply chain. Encourage suppliers to optimize logistics, reduce packaging and use more environmentally friendly packaging materials.

6. Establish a carbon emission verification system, use digital means to complete sustainable carbon verification, and establish full-process supervision tracing carbon footprints from raw materials to final products.

7. Already calculated carbon emissions for 2023 and provided the data to EU clients. Carbon emissions will be calculated per quarter in the future and reported in a timely manner as per CBAM requirements.

8. Hisener will apply for ISO14064 and ISO14067 certification. More actions will be taken in the near future.

Witness the Evolution of Hisener Together

The "3 Ls initiative” demonstrates Hisener's determination for green and smart manufacturing which has been officially put into practical action this year. Hisener's mission statement is continuous improvement and pursuit of excellence, so it continues to invest in R&D and craftsmanship. It welcomes global clients to visit and witness its newly established factory and the fruitful achievements of its evolution.

Based on Small Packaging Service CHINFAST Expands DIY Fasteners Market in Europe and America

In order to further strengthen the link with the demand of first-tier retailers and distributors in Europe and the U.S., CHINFAST, having deeply engaged in the industrial fastener production for nearly 20 years, has been actively expanding its business from the production of advanced multi-purpose screws, timber fixing screws and decking screws made of 10B21 and C1022 to the DIY fasteners packaging service over the past 5 years. In the ever-changing global market, it hopes to create a new milestone for sustainable business development.

Diverse DIY Fasteners Packaging Service

Intelligent ERP Production Management

Unlike typical mass production lines, DIY fasteners packaging are characterized by small quantities and diverse categories, which are more time-consuming and labor-intensive, and therefore must be adjusted in a timely manner according to product attributes and quantities. In view of this, CHINFAST not only provides various tool boxes, plastic boxes/bins, blisters, blister boxes, cardboards, polybags and various color boxes for customers to choose, but also provides 100% customized service according to customers’ requirements.

“Backed by a strong professional team, we have introduced the ERP smart factory management system from production to packaging to ensure the flexibility and traceability.

All products are controlled by the automated warehouse, and the automatic packaging line with more than 10 semi-automatic packaging machines is also directly connected to the stereoscopic warehouse, and the AGV automatic shuttle vehicles are applied to transport the goods directly to each packaging table, which effectively saves the goods delivery time and enhances the packaging efficiency and flexibility,” said CHINFAST.

Professional Packaging Team and Equipments

Create

a Smooth One-stop Service

CHINFAST has nearly 60 packaging staff with years of experience to assist customers in designing the optimized packaging methods to achieve twice the result with half the effort. At the same time, it has also worked with the automated packaging equipment factory to successfully develop 4 models (totally 12 sets) of packaging equipment which best fit the characteristics of their products, enabling them to significantly improve the packaging efficiency. From production to packaging, it completely follows the ISO 9001 specification. There are 10 QC employees to conduct strict quality inspection from raw materials to finished products, and all testing data are kept in record to ensure traceability.

“As an emerging DIY fastener factory, although DIY fastener packaging service currently only accounts for 6% of our annual export volume and in 2023 our total sales reached 7,900 containers, we are confident that we can perform better in the next few years,” said CHINFAST.

Contact: Mr. George Yu

Email: george@chinfast.com

Article by Gang Hao Chang, Vice Editor-in-Chief of Fastener World

Copyright owned by Fastener World

Rise of EVs Drives Chinese Fastener Transformation

社論：中國緊固件轉型升級前哨站──

The Chinese EV industry made headlines that shocked the world at the beginning of 2024. BYD’s 2023 financial report showed that it sold around 520,000 EVs in Q4, surpassing Tesla’s around 480,000 vehicles. This report made BYD the world’s largest EV manufacturer. This February, BYD increased the proportion of export to 19%, setting a new high. BYD is currently building production lines in Brazil, Indonesia, Mexico, Thailand and other places to quickly expand export to Europe.

Besides passenger cars, Chinese electric buses also achieved great results, accounting for nearly one-third of the market in Europe. At the beginning of 2024, they snatched a large order worth 43 million euros from Belgium, causing the local longestablished bus manufacturer Van Hool to be declared bankruptcy in April. In fact, one-fifth of the electric passenger cars sold in Europe last year came from China, and this year the market share is expected to grow to onequarter. A similar situation exists in the bus industry, where China has leveraged its market scale and low cost to take down European rivals.

Although BYD’s sales of around 300,000 vehicles (down 43%) in Q1 2024 were outrun by Tesla’s sales of around 380,000 vehicles, Tesla also fell 8.5%, far lower than market expectations, triggering investors concerns about Tesla’s outlook. Even so, BYD has proven its ability to seize the throne, and it has caused the biggest shock to the global auto industry this year.

Rise of Chinese EVs, The Key Driver for High-end Transformation of Chinese Fastener Companies

According to the latest data released by a Chinese enterprise database, there are currently 21,048 fastener companies in China, most of which were registered in 2021. The number of registered companies that year was 2,231. The research results of this database show that the number of fastener companies increased significantly in 2021, mainly because the increased production of new energy vehicles in recent years has boosted the demand for related fastener products and increased the number of entrants.

China has faced greater challenges in its domestic economy and export in recent years. Therefore, the local government is vigorously supporting EVs, as well as AI and other high-tech industries. The research result of the aforementioned database is enough to confirm that China’s new energy vehicles have become a key driver for fastener companies to transition to high-end products. China has two trump cards that can shake up the rules of the global market. One is extremely low production costs and prices, and the other is the Chinese government’s subsidy policy. In addition, China has another hidden trump card. The number of patent applications filed by Chinese companies is increasing sharply, making China the first country to exceed 4 million patents. BYD is also frantically applying for patents, and its number of patents is more than 15 times that of Tesla’s, mainly to protect battery technology.

The R&D and innovation on critical components made by EV manufacturers will drive the R&D of EV fasteners. A clear example is TR Fastenings

demonstrating fastener products and new technologies for EVs at a battery exhibition in UK. Even though China’s current fastener R&D technology has not yet caught up with European and American standards, the Chinese EV leader is spearheading towards technological R&D and accordingly, the growth potential of Chinese automotive fastener technology cannot be underestimated in the long run.

China in Batting Position; Multiple Countries Now Bracing for Impact

China’s vigorous development of new energy vehicles and high technology is stimulating Europe to compete with it in the same field. This can be seen in some of the biggest European exhibitions. Fastener World observed several industry trends at Hannover Messe in Germany. The first is Industry 4.0, smart manufacturing, automation, unmanned operations, robots, and robotic arms. The various metal parts processing technology and precision equipment on display at the exhibition allowed visitors to witness the manufacturers’ efforts to continuously pursue excellence in technology. The second is EVs and peripheral charging/storage equipment. The third is the emphasis on new energy development. Many large manufacturers that are already market leaders are looking at deployment in the next 5 to 10 years and are actively introducing CBAM-compliant carbon reduction and environmental protection. Strategic alliances for new energy technologies have emerged in Europe. Coupled with the ESG and CBAM trends that have followed, the development of new energy policies will change future product design and manufacturing. Facing competition from China, European and American companies must modify their practices as they go, and their pace of transformation cannot stop.

The U.S. is stepping up competition with China in the same field. The White House stated on May 14 that the U.S. will impose tariffs on USD 18 billion worth of goods imported from China, targeting strategic industries such as EVs, EV batteries, and steel. Among them, the tariff rate on EVs is expected to quadruple this year going up to 100%. Besides the U.S., Brazilian President Lula reinstated import tax on EVs this year to protect the development of Brazilian auto industry. Chinese cars account for as much as 40% of the local market share in Brazil. According to Reuters, Brazilian carmakers lobbied for the resumption of import tax on EVs and overcame the opposition from China.

In addition to EVs and technology industries, China’s fastener export has

encountered new obstacles. Mexico has imposed a 35% temporary import tariff on Chinese fasteners, which took effect immediately from April 2. The Mexican press said the move seemed mainly aimed at China.

With Intense Competition Around, “The Higher Ground” is the Only Option for Chinese Manufacturing Industry

In the past 30 years, China has perfectly manifested its evolution into becoming the world’s factory, but in the next decade, China may come out with a completely new role. The rise of China has inevitably brought about high-tech competition between China and advanced countries. From the steel trade war to fuel vehicles, semiconductors, AI, carbon reduction, and now to the EV trade war. China and advanced countries have entered a competition cycle to see which one can get the high ground first. It means that China and advanced countries will stimulate each other’s manufacturing industries to go further high-end at close to the speed of light. Due to the interconnected nature of industries, if China’s fastener industry stays content with conventional manufacturing methods, it will be eliminated in the trend of going high-end, and therefore it will eventually head higher. The rapid growth of China’s EV fastener companies is just one example of that. In recent years, there have been many companies in China that focus on developing photovoltaic fasteners, as well as companies such as Finework New Energy Technology that have begun to actively develop aerospace fasteners.

Imagining the Future; What’s the Next Turning Point for Chinese Fastener Industry?

Looking to the future, China has another card yet unveiled, and that is AI technology. Currently, the one to compete with Chinese AI is GPT. The newly released GPT-4o (where “o” stands for omnipotent) this May has broken through the bottleneck. It can respond to questions within 0.3 seconds, already as fast as the response time in human conversation. It can also detect human emotions and respond quickly. It understands up to 50 languages and can handle text, voice and video input at the same time. There are now customized GPTs on the market. At the end of last year, an automotive manufacturer transformed its entire production line with customized GPTs, reducing downtime by 40%. The results are amazing. This means less time repairing and more time producing and designing more cutting-edge products through AI. The introduction of AI into production lines is now in progress.

Europe and the U.S. will gradually introduce AI into production lines in the long run, and China is bound to follow suit. A representative of China’s National People’s Congress has suggested that the authorities should launch special projects as soon as possible to focus on the deployment and application of smart manufacturing system software, mass AI models and general bionic robots as a critical industry breakthrough, and support the integration of mass model-driven AI and manufacturing. In the foreseeable future, when the price of AI becomes more acceptable to enterprises and its introduction becomes easier, it will be simple just like many manufacturers would introduce ERP in the past, and AI will become a standard requirement of factories. By then, Chinese fastener manufacturers will inevitably rush to introduce AI processes, and the speed of technological evolution will be immeasurable, which is expected to write a new chapter for China’s fastener industry.

En Route for Innovation and Expansion 創新與擴展之路

In Foshan City, there stands a company that constantly pursues excellence - Foshan Nanhai Sailuk Rivet Co, Ltd. Since its establishment, Sailuk Rivet has been adhering to the corporate philosophy of “Quality as the Foundation and Innovation as the Soul”, and has been steadily moving forward in the fierce market competition.

In line with its booming business, Sailuk Rivet has made a major strategic change by moving to new premises and significantly expanding its production scale. This move not only enhances the company's production capacity, but also marks a solid step forward in the manufacture of fasteners for the automotive and new energy industry sectors.

In the automotive field, the quality of fasteners is directly related to the safety and durability of the entire vehicle, and Sailuk Rivet understands this relation and has invested a great deal of resources in optimizing production processes and improving product quality. Whether it is the fastening needs

of the engine, the chassis, or the vehicle body, Sailuk Rivet can always provide products that meet the strictest standards.

Meanwhile, facing the transformation of the global Sailuk Rivet is actively involved in the new energy field and has developed a series of highperformance fasteners for new energy vehicles, solar panels, wind power generation and many other industries. Through continuous R&D and technological breakthroughs, Sailuk Rivet is now becoming a reliable partner for the new energy industry.

As a company that values innovation, Sailuk Rivet has a team of technical professionals who are committed to new product development and improvements of existing products. The company also works closely with industry-leading R&D organizations to ensure that its technology and material applications remain at the forefront of the industry.

Looking into the future, Sailuk Rivet will continue to uphold the spirit of craftsmanship, adhere to technological innovation, and strive to become a first-class domestic and international supplier of fasteners. The new production base, advanced production equipment and continuous improvement of technical capabilities will help Sailuk Rivet go further on the road of specialization and internationalization.

Contact: Vice General Manager Roger Wu Email: sales@sailuk-rivet.com

Dongguan Tobon Screws Adds New Base in Vietnam

Global Capacity Multiplies Over 30 Years of Glory!

Founded in 1993, Tobon started out with precision screws, supplying them to top 500 companies around the world, including Canon, CASIO and PHILIPS. It passed ISO9000 ahead of its peers in 2000, before continuing to pass ISO14000, QC080000, OHSAS18000 and IATF16949. A saying goes in the industry: "The world will be short of supply if goods get congested in Dongguan." In 2002, Tobon moved to Dongguan and significantly improved its response time, thanks to the city’s complete supply chain and customer base. This laid a solid foundation for supporting world-renowned enterprises! Through self-developed ERP and MES systems as well as information technology combined with software and hardware, the company achieved smart and lean production and improved manufacturing and management levels. Its products are now a preferred choice for world-renowned companies. This year, big news arrived with an announcement that Tobon’s Vietnam plant was completed in May and will start mass-production in Q3 — a new milestone for Tobon’s business.

Monthly Capacity to Reach 80 Million Pieces by 2025

The Vietnam plant spans 2,500 square meters and employs a dozen employees. It is located in Frasers Real Estate Industrial Park (core area where a large number of world-renowned manufacturing companies gather, only 30 kilometers from Hanoi’s business center). The park has a complete supply chain and supporting facilities, with expectations for booming business opportunities. The plant will bring broader production space and more efficient operating capabilities to Tobon. The planned production line in the first phase will introduce 16 cold heading machines, 12 thread rolling machines and 3 optical sorting machines. The second phase plan in January 2025 will add 15 cold heading machines, 12 thread rolling machines, and 3 optical sorting machines. By then, the monthly output will reach 80 million pieces!

Tobon’s Unique Perspective on Vietnam

Guided by customer needs, market potential and competitive advantages, Tobon has made it to Vietnam. The company said: "Our critical customers have been in production in Bac Ninh of Vietnam for a decade, and they plan to transfer 50% capacity to Vietnam in the future. At present, our Japanese customers are also moving to Southeast Asia and are in need of local purchase. Our European and American customers also expect us to have plants outside of China. As their local supplier, the Vietnam plant will give us an advantage over competitors. Compared with our China headquarters, the Vietnam plant plays the role of tapping into overseas markets and is tasked with improving production efficiency, optimizing cost control, ensuring product quality, and undertaking the important mission of expanding domestic and international markets.

The Vietnam plant mainly provides products and services to Vietnam and surrounding overseas markets. It is committed to meeting the needs of local customers. Its short-term goal is to stabilize production and expand market share; the midterm goal is to optimize supply chain management and increase brand influence; the long-term goal is to achieve sustainable development and become Tobon's core production base in overseas markets. The Vietnam plant also actively shares resources and cooperates with the China headquarters to develop new products and expand new markets to achieve a win-win.

Glorious 30th Anniversary, Stride Ahead with Tobon!

Tobon has just celebrated its anniversary. "Looking back over the past 30 years, we have walked a journey full of challenges and opportunities. Today, we stand at a new starting point, feeling proud and full of anticipation. At the 30th year, we will expand from our past and continue to strengthen R&D, optimize production process, center on customers, and work together with global partners." Looking ahead, this year Tobon will develop high-end products, actively participate in overseas electronics exhibitions, use green electricity, adhere to a low-carbon, paperless office and green manufacturing, and contribute to environmental protection together with the world's green pioneering enterprises.

Contact:

Copyright owned by Fastener World / Article by Dean Tseng

Quality OEM Expert Recognized by 360 International Enterprises

Contact: CEO, Aimee Wu / Email: aimee@ytfasteners.com

10 Years of Export Experience & Total Solutions

Yongnian District of Handan City in Hebei Province is known as "China’s City of Fasteners". Yuetong with over a decade of history in Yongnian District has expert knowledge of German DIN, American ASTM, British BSI, Indian BIS, Japanese JIS, ISO and other multinational standards. It takes timely shipment, in-factory inspection, quality and customer first as its main focus. Soon it has won the favor of more than 360 international and influential corporate players around the world.

The company specializes in producing threaded rods, flat washers, expansion bolts, hex nuts, hex bolts, sleeve type anchor bolts, and screws, which are supplied to the automotive, power transmission and power distribution, national defense, construction and other industries. Featuring "total fastener solutions" and through more than 10 years of export experience, it provides high-quality and most price competitive OEM services.

25,000 Ton Capacity & Customized Packaging

The factory is equipped with a total of 62 pieces of fastener production equipment, mainly including cold heading, thread rolling, screw tapping, and drawing machines, using high-quality steel and producing approximately 25,000 tons of standard parts every year.

In addition to providing OEM services on diversified products, the company can provide a variety of customized packaging according to customer needs, including small box packaging, carton

packaging, raffia bag packaging, and bulk packaging, along with high-speed and stable supply capabilities and customer-satisfying packaging services to support global fastener purchasing needs.

Dedicated Inspection Unit; Quality & Performance Guaranteed

Global buyers have increasingly stringent requirements for product performance and quality levels. Yuetong said even though its products are highly price competitive globally, it never skimps on precision and performance. To this end, it set up a dedicated quality inspection unit equipped with professional instruments and personnel to measure product hardness. It timely registers and archives measurement records as required to ensure strict inspection for global customers.

Asia Heralds Upcoming Purchase Demand; Yuetong Expands Global Supply

In 2024, product inventory level for overseas customers is coming down, and business opportunities for purchasing from Asia have reappeared. Yuetong's global product supply will not stop. They will further expand their market share on the existing basis and develop new markets and product lines. In the future, the company plans to start participating in international exhibitions and look for more business opportunities through product display. They will also expand their production scale and actively seek collaboration with more partners to make Yuetong's products more accessible internationally!

Ningbo Ruiyi Metal Products Premium Stainless Steel Fasteners Approved

by Overseas Distributors

Combining R&D, Production & Sales; Annual Output Value: US$10 Million

Ruiyi was established in March 2019, formerly Yuyao Zhongtong Hardware Co., Ltd., and has more than 20 years of experience in manufacturing screws and CNC machined products. Focusing on the R&D and manufacturing of stainless steel fasteners and hardware products, the company has a wide lineup, including selfdrilling screws, self-tapping screws, chipboard screws, machine screws, wood screws, and various bearings. For more than a decade, the company has been a recognized second-tier supplier for the world's largest furniture brand "IKEA", and its product quality has been approved by European and American distributors.

The company was founded with a total investment of RMB 20 million, covering an area exceeding 33,300 square meters, and a factory area of 10,000 square meters. It is locatede in the Yangtze River Delta economic circle with beautiful scenery, rich resources, convenient transportation and development potential. It has a very advantageous geographic location as well as natural advantages and conditions for economic development. Through a corporate system that integrates R&D, production and sales, the annual output value reaches approximately US$10 million. So far, the products have been exported to the U.S., Australia, the EU, South Asia and other regions.

Multi-nation Certified Products; Delicate Packaging for Distributors’ Needs

Ruiyi adheres to the guideline of quality and service, using high-quality domestic and imported materials. Through a one-stop manufacturing process including cold heading, drilling point forging, threading, heat treatment, and galvanizing, it specializes in products compliant with the Chinese (GB), American (ANSI), British (BSW), German (DIN), Japanese (JIS), and international (ISO) standards. Ruiyi is a recognized manufacturer of high-quality fasteners at home and abroad.

The company has a professionally trained quality inspection team. The factory is equipped with various quality testing equipment, including

hardness testers, tensile testers, surface roughness meters, projectors, thread gauges among others to provide clients with the best quality products. In addition, through customized services, it can also provide consulting and total solutions to help reduce production costs, which has been unanimously praised by customers.

With years of experience in supplying to European and American distributors, Ruiyi can provide delicate packaging for small-volume products suitable for retailers or stores, meeting the high demand for delicate small packaging in emerging countries like the Middle East and other overseas regions.

Supporting Critical Infrastructure to Create Better Global Development Together

In addition to wide application in China’s critical construction projects, Ruiyi’s products are exported to international markets such as Europe, America, Southeast Asia, and South Korea. Continuing forward, Ruiyi will provide users with the most excellent products, the best services, and create the best brand as the eternal goal. It will use craftsman-based management, advanced technology, and high-quality products to serve global customers, and it seeks to create a better future together!

JIAXING CHIAYO IMPORT AND EXPORTOne-Stop Screw Procurement + Customized Peripheral Services

Jiaxing Chiayo Import And Export Co., Ltd. is a manufacturer and exporter of fasteners for a wide range of construction applications. Its high quality products, sophisticated technology and reliable services have been well recognized in the global fastener supply chain and are the three pillars that have enabled it to overcome challenges in the face of fierce competition over the years. Despite being one of the leading fastener manufacturers in China, Chiayo continues to enhance its strengths in various ways in order to expand into more overseas markets.

Full Integration to Create a True “One-Stop” Purchasing Experience

Chiayo offers a wide range of products to meet customers' needs for fasteners of different sizes and lengths. Its main products include various construction screws and selfproduced drywall screws, chipboard screws, self-drilling screws, self-tapping screws, wood screws, roofing screws, insulation nails, expansion nails, concrete screws, window screws, Ruspert® outdoor screws, building screws, stainless steel screws, etc. It’s also capable of exporting various bolts, nuts, threaded rods, washers, machine screws, expansion anchors, concrete bolts, hook screws, riggings, chains & wire ropes, nails, collated screws, etc. Common carbon steel 1022A, Q195, 10B21, SS A2, 304, etc. are all available for production. In addition to a wide range of products, Chiayo can also provide a variety of peripheral services, such as rustproof coating, galvanizing, phosphating and other special surface treatment, or provide small bags, OPP bags, blister packs, plastic boxes/buckets and other color cartons packaging as per customer request. With automated and systematic processes and professional management, Chiayo has an average monthly capacity of 3,000 tons. Its professional technical team is also capable of R&D for customers' drawings to meet their expectations for standard products and customized ones.

“We’ve created a one-stop sourcing service. From raw material drawing to heading, threading, pointing, heat treating, phosphating,

electroplating, painting, packaging/palletizing/delivery, all processes are done in the factory. We also have semifinished product quality inspection, route inspection, and final inspection for finished products, so that we can do a good job of quality control for our customers in every aspect,” according to Chiayo. In response to the current industrial trend of carbon reduction, Chiayo has also increased the use proportion of electricity generated from solar power, and simultaneously used eco-friendly clean energy to reduce energy consumption and pollution in production, demonstrating a firm attitude toward the creation of environmentally friendly processes and the fulfillment of corporate social responsibility.

Expanding into Europe and the U.S. and Developing Emerging Markets

Chiayo's products are widely used in the construction, railway and bridge sectors and are mainly exported to important markets like Poland, Germany, Italy, Spain, Brazil, USA and Mexico. In addition to consolidating and deepening the relationship with customers, Chiayo also collects information on bestsellers and new products in the market, and feeds back to customers at the first time, so that they can keep abreast of the latest market trends and opportunities! At the same time, Chiayo also actively cooperates with customers in new product modification/ development/sampling/technical improvement to help them maintain their innovation and competitiveness!

“In addition to Europe and the U.S., the Middle East, North Africa and South America, where opportunities and potential exist due to growing populations and urban infrastructure projects, will be also a key focus for us,” according to Chiayo. “We know that every little screw counts, and we’ll continue to do our best for customers in every industry and market.”

Contact: Ms. Sara Gu

Email: sales.a@kocmoc.cn

CHONGQING YUSHUNG NON-FERROUS METALS-

Copper-based Alloy Fasteners Satisfy Demand of Midto-High End Markets

Copper-based alloy fasteners are indispensable for ensuring complete locking and security for many mid- to high-level applications. However, compared to carbon steel or stainless steel, which are more readily available with lower entry barriers, copperbased alloy fasteners often require higher costs and more capital investment, resulting in fewer manufacturers specializing in copperbased alloy fasteners in the market. In order to satisfy the needs of such industrial customers and seize the market opportunities, Chongqing Yushung Non-ferrous Metals Co., Ltd. started to invest in the processing and manufacturing of copper-based alloy fasteners more than 20 years ago to provide an easier access to copperbased alloy fasteners for industrial customers in need.

A One-stop Shop for Customers & Efficient Service Recognized by Customers

Yushung's 3,000 sq. m factory has departments for screws, nuts, stamping, and machining, and is equipped with over 200 sets of processing equipment to produce a full range of high-quality copper-based alloy fasteners made of silicon bronze, phosphor bronze, aluminum bronze, and brass, which have been widely used in the marine, petrochemical, electrical, and medical industries. “Customers entrusting us basically don't need to travel around to find the products they need. We also have the most commonly used products and raw materials available for quick delivery.

In addition to standard products, our experienced technical team can provide timely advice and assist in the design and production of costeffective products according to customers' needs,” Yushung General Manager Sunjin says.

In 2016 Yushung was contracted to supply bronze fittings for a seawater cooling tower project of a client in the Middle East valued at over US$200,000, and was required to complete delivery within 45 days! Not only were the products required complex, they were also mostly customized products that required more equipment to process. For dealing with this task almost impossible for many in the industry, Yushung fully mobilized the factory's resources and completed the delivery even 5 days earlier than the customer's request, demonstrating the ability of flexible scheduling management.

In order to maintain quality and enhance efficiency, Yushung has been replacing old equipment with new ones, upgrading equipment automation, and deepening the quality awareness of its staff in recent years. Not only has it obtained the ISO 9001:2015 certification and its products comply with SGS testing standards, but it has also actively applied for the “Chongqing Professional and Innovative Rising Star Enterprise” recognition, aiming to become a market leader and a wellknown enterprise in China and the world.

Copper-based Alloy Features Solve Fastening Problems

Yushung's copper-based alloy fasteners exhibit many advantages in application that iron and stainless steel fasteners are unable to provide at once, such as special corrosion and abrasion resistance, high strength, non-sparking, non-magnetic, and good electrical conductivity, etc., which can solve problems that may be encountered when assembling fasteners made of the same material. For example, the problem of “deadlock” occurs when using the same stainless steel screw and nut together, but by using bronze nuts, this problem can be solved successfully.

Next Marketing Focus - Emerging Markets

In addition to deepening and consolidating sales in Europe and the U.S., Yushung has also been actively cultivating dealers and distributors in the Middle East and Southeast Asia in recent years in the hope that more customers in emerging markets will understand and accept its products, and that it will be able to secure more orders. “I am a man of stability. I believe that manufacturing must be specialized, and that we must expand our product line to meet the needs of more customers and continue to pursue the corporate sustainability, which is the goal that every Yushung employee is most proud of and continues to strive for.” said General Manager Sunjin.

HEBEI XILIDE Metal Manufacture Co., LtdSpecializing in Self-drilling & Self-tapping Screws Manufacturing

河北喜力德五金 - 專業生產鑽尾、自鑽螺絲

Hebei Xilide, established in July 2003, is one of the early professional manufacturers of self-drilling screws and self-tapping screws in China. Its plant occupies a total area of 400,000 square meters, with a total investment of more than RMB 3.4 billion. After more than ten years of development, the company has built a modern, high standard, full-scale, and complete range of self-drilling screws production lines, and developed into a global and systematic group of companies integrating R&D, production, customization, testing, sales, and promotion.

The company spent a lot of money on introducing manufacturing, heat treatment, inspection and testing equipment from Taiwan and Germany, and provides users around the world with self-drilling screws of various specifications and standard requirements that are of high quality, high standard, and high level. Its annual capacity is more than 60,000 tons and products are exported to more than 20 countries and regions, such as India, Russia, the U.S., Canada, Australia, Kazakhstan, Africa, etc., and have gained the support and trust of users.

The company by far has more than 50 middle and senior managers, 35 professional R&D personnel, 50 technicians, 25 warehouse and logistics staff and 650 basic employees. At present, it has more than 1,000 employees in total.

Why Should You Choose HEBEI XILIDE?

1. China's largest fully-automated self-drilling screws production line

As the first and largest screw manufacturer in China, it has an automated production line. With advanced and professional technology, modern production, inspection equipment, strict modern management, and advanced manufacturing technique, it can ensure the quality of each product and guarantee the delivery time.

2. Complete product testing process and equipment

The company is equipped with complete production equipment and systems. Its perfect professional testing, strict control, and all-round quality assurance system allow each process, procedure, and link to be under strict quality control, so as to achieve excellent quality.

3. International Quality System Certification

The company has obtained the ISO 9001 quality management system certification and CE certification. All products are strictly in accordance with the international standards (RoHS) of production and certified by the international SGS inspection organization.

Contact: Mr. Felix Yung

Email: felixyung@ddfasteners.com

HEBEI DELONG FASTENER

Focusing on high-end Product R&D to Enter European, U.S. and Asian Supply Chains

河北德龍緊固件-專注高端產品研發

Due to the excellent quality, stability and durability of its products, Delong's products not only have been widely used by customers from the construction, installation, steel structure engineering, automobile, machinery, electronics, agricultural machinery and many other industries, but also have been successfully sold into the important markets such as Europe, the U.S., Southeast Asia, and Africa, owing to its excellent and perfect service.

“We’ve always been adhering to the corporate philosophy of ‘integrity-based, quality of survival’, to provide customers with the best products and perfect after-sales service, and sincerely hope to establish a longterm close cooperative relationship with our partners and customers around the world,” according to Delong.

In addition, in terms of quality control, which is the most important issue to its customers, Delong has also imported many first-class production, hi-tech-based and heat treatment equipment from Taiwan region, continuously improving and upgrading production lines and optimizing the product process to ensure that every fastener shipped from Delong meets the international standards and passes the stringent inspection of customers, further helping its customers create more added value for their brands.

“The introduction of advanced processing equipment from Taiwan region has not only greatly increased our production capacity, but also enabled us to achieve better product quality. In addition, our senior staff have been

Headquartered in Yongnian (Handan, China), a famous fastener distribution center, Hebei Delong Fastener Manufacturing Co., Ltd. is a well-known professional manufacturer of fasteners. Since its establishment in 2006, the company has been committed to the R&D and production of various high-end fasteners, providing excellent quality products and the most complete supporting services for the relevant needs of the industry, especially Self-Drilling Screws, Flat Washer and Spring Washers, which continue to show a high price-performance ratio that has enabled it to become the preferred choice of many customers for a long time.

Delong offers a wide range of fastening solutions to meet the diversified needs of market buyers and application trends in different industries. Supported by an average annual capacity of over 8,000 tons, its main available products include: various Self-Drilling Screws Series (hex flange head self-drilling screws, hex self-drilling screws, washer head self-drilling screws, countersunk self-drilling screws, pan head self-drilling screws) and High-Strength Spring Washers (DIN127, DIN7980, etc.), Flat Washers (DIN125, DIN9021, DIN6916, F436, etc.). In addition to the common general specifications, its professional technical team can also provide customized service for a variety of nonstandard fasteners according to customers’ drawings, meeting the special needs of different customers in a comprehensive manner.

working in the plant for more than 10 years and have accumulated rich production experience, so we are able to help our customers do a good job in quality control,” according to Delong.

In order to make more customers gain the opportunity to get to know its high quality fasteners, Delong not only regularly participates in a number of professional fastener exhibitions in China (e.g. Fastener Expo Shanghai), but also arranges 2-3 overseas exhibitions every year to promote its products, hoping to further expand its sales network and open up its brand awareness in different industries through the combination of domestic and overseas sales.

Delong contact: Ms. Cally Wang / Email: sales@delongfastener.com

Copyright owned by Fastener World Article by Gang Hao Chang, Vice Editor-in-Chief

Goes Green with New Wood Connectors Release

Durable, Corrosion-Resistant, Easy to Install

Designed with durability, corrosion-resistance, and ease of installation to cater to different environmental conditions and structural requirements, SSF’s wood connectors, currently available in a wide range of materials including galvanized steel and stainless steel, feature a robust structure that ensures a secure and stable connection between timber components, which are particularly suitable for the applications of construction companies, timber frame builders, and DIYers requiring reliable and high performance connectors for their projects. With high strength, corrosion resistance, and ease of installation as the main advantages, the wood connectors can withstand significant loads, making them ideal for both residential and commercial construction projects, not to mention their compatibility with various timber types and sizes.

“We ventured into the wood connectors market to diversify our product offerings and tap into the growing demand for sustainable and environmentallyfriendly building materials, as we recognized an opportunity to leverage our expertise in metalworking to create high-quality connectors that would support the use of brackets in construction. These products can complement with our existing washers and stamped parts in applications and have been in the process of obtaining relevant certifications,” according to SSF.

環保永續 固特金屬發表新木結構連接件

Boasting the best choice for washers and stampings of customers, the top-notch Chinese assembly & installation solutions provider, SSF Industrial Co., Ltd., has recently moved a step forward and expanded its product portfolio to include the new wood connectors, demonstrating its dedication to cater to the growing demand of customers seeking sustainability and a greener environment.

Contact: Sales Manager Lilian Zheng Email: lilian@ssfwashers.com AD on p154

New Plant to be Fully Operational by the Yearend

With an envision to create a smart factory equipped with automated and real-time production monitoring & QC systems, SSF’s investment in establishing new plants to enhance manufacturing capabilities, improve efficiency, support the development of new product lines, and respond to CBAM and relevant carbon reduction initiatives clearly reveals its commitment to sustainability and incorporation of energy-efficient technologies and processes to minimize its carbon footprint.

“Our new facilities are expected to be fully operational by the yearend. Once the plant with the use of renewable energy sources, waste reduction measures, and implementation of green manufacturing practices is inaugurated, it’ll play a crucial role in meeting increasing customer demands and expanding our market presence,” according to SSF.

As an industry-leading manufacturer, SSF continues to maintain or even exceed its target capacity of 1,800 tons/month. Its focus on quality and customer satisfaction has also helped it secure new contracts and expand its presence in Europe and the U.S.

“Aiming at becoming a leading fasteners and connectors supplier, our goal is to continue expanding product offerings and market reach while maintaining the highest standards of quality and customer service. We also expect to strengthen our industrial position through strategic partnerships, continuous manufacturing process improvement, and by staying ahead of market trends and customer needs, in order to achieve sustainable growth and contribute positively to the industries we serve,” according to SSF.

Copyright owned by Fastener World / Article by Gang Hao Chang, Vice Editor-in-Chief

Made in Italy: A Look at Fastener Imports and Exports

(2021-2023)

A Manufacturing Powerhouse

Italy's manufacturing prowess stretches back centuries, and its fastener industry embodies this rich heritage. Renowned for meticulous craftsmanship and a constant drive for innovation, Italian-made fasteners are coveted across the globe. This reputation is no accident. Italy boasts the second-largest manufacturing sector in the eurozone, contributing a staggering €33 billion in Manufacturing Value Added (MVA) – a metric that captures the value created by the manufacturing process. This translates to a robust domestic market that consumes a significant portion of high-quality fasteners. However, Italian ambition extends far beyond its borders. The nation thrives as a global exporter, ranking a mighty sixth globally in terms of MVA. This robust manufacturing base fuels a constant demand for high-quality fasteners, not just domestically, but internationally as well. Italian manufacturers cater to this demand by consistently producing reliable and innovative fastening solutions, solidifying their position as a global leader in the industry.

• 2021: Total exports amounted to US$2,209,000,000

Italy's Fastener Industry:

Italian fastener industry has carved a niche for itself on the international stage. Here's a closer look at its position:

Italy is the world's eighth largest exporter. it's the second-largest exporter of iron fasteners in

Italian fastener manufacturers prioritize quality and innovation. This emphasis translates into a reputation for reliable and high-performing products.

EU countries account for nearly two-thirds of Italy's fastener trade, highlighting the strong regional presence.

• 2022: Total exports grew to US$2,283,044,000

• 2023: Total exports further increased to US$2,452,727,000

This translates to a year-on-year growth of:

• 2022: 3.4% increase from 2021

• 2023: 7.4% increase from 2022

Growth Trends by Country

While the data doesn't provide individual growth rates for each country, we can observe the following:

Import and Export Trends (2021-2023):

The following table shows Italy’s exported fasteners data between 2021-2023, for HS-Code 7318 (the main cluster of fastener category):

• Germany: Throughout the three years, Germany remained the top importer of Italian fasteners, with their purchase share steadily increasing each year. Despite being the largest importer, Germany experienced the slowest growth rate at 4.7% between 2021 and 2023. This could indicate a more mature market in Germany with established import levels. Consistently held the largest share, with a purchase share of approximately 28% in each of the three years.

The data suggests a positive growth trend in Italy's fastener exports between 2021 and 2023. Here's a breakdown of the figures:

Note: Numbers

• France: France also shows a potential increase in imports. France saw a significant increase of 13.9% in its import value, suggesting a growing demand for Italian fasteners in this market. France's share remained around 14-15% throughout the period.

• Poland: Poland's import value also seems to be on an upward trend. Poland stands out with the highest growth rate at a staggering 31.4%, highlighting a rapidly expanding market for Italian fasteners. Poland's share appears to be between 5% and 6%.

• USA: The data suggests a similar increase for the U.S. The U.S. witnessed a healthy growth rate of 16.7, indicating a strong interest in Italian fasteners in these regions. The U.S. share seems to be around 6%.

• Spain: Spain's import value appears to be following a similar trend. Spain witnessed a healthy growth rate of 19.1%, indicating a strong interest in Italian fasteners in these regions. Spain's share fluctuates around 5%.

• Others: The category "Others" represents a combined import value from various countries. The "Others" category saw a moderate growth of 9.9%, suggesting a potential diversification of export destinations for Italian fasteners. The "Others" category represents the remaining share, which increased from 40% in 2021 to 39% in 2023.

Italy’s Import:

The following table shows Italy’s imported fasteners data between 2021-2023, for HS-Code 7318 (the main cluster of fasteners category):

Note: Numbers in Thousand USD

Overall Growth Trend

The data indicate a positive growth trend in Italy's fastener exports from 2021 to 2023. Here's a detailed breakdown of the figures:

• 2021: Total exports amounted to US$1,333,428,000

• 2022: Total exports grew to US$1,428,894,000

• 2023: Total exports further increased to US$1,301,772,000

This translates to a year-on-year growth of:

• 2022: 7.2% increase from 2021

• 2023: -9.0% decrease from 2022

Growth Trends by Country

While individual growth rates aren't available for each country, we can observe the following:

• Germany: Germany remained the top exporter to Italy throughout the three years. Italy's purchases share seems to have fluctuated slightly, but generally remained around the same level. Despite being the largest exporter, Germany experienced a slight decline in its export value, with a decrease of 2.5% between 2021 and 2023. This could indicate a stable or potentially saturated market in Italy for German fasteners. Consistently held the largest share, with a purchase share of approximately 29% in each of the three years.

• China: China's export value to Italy shows a significant decline. This could be due to various factors, such as increased domestic consumption of fasteners in China or Italy has replacement countries instead pf China. China's export to Italy significantly decreased from around 20% in 2021 to 16% in 2023.

• Taiwan's export value also appears to be decreasing. Taiwan also witnessed a moderate decrease of 3.8% in its export value, suggesting a potentially slowing demand for Taiwanese fasteners in the Italian market. Taiwan's share also seems to be decreasing, hovering around 8% throughout the period.

• Other Countries: The category "Others" represents a combined export value to various countries. The "Others" category, representing exports of various countries to Italy, saw a moderate growth of 6.4%. This suggests a potential diversification of partners for Italian fastener consumers. The "Others" category represents the remaining share, increasing slightly from 38% in 2021 to 41% in 2023.

Looking Forward: The Future of Italian Fastener Imports and

The future of Italy's fastener imports and export landscape appears promising, driven by several factors: The global demand for fasteners is expected to grow steadily, fuelled by expanding construction, automotive, and infrastructure sectors.

Italian Innovation: Continued focus on research and development by Italian manufacturers will likely lead to new and improved fastener solutions, maintaining their competitive edge.

• Digitalization: Embracing Industry 4.0 principles, such as automation and data-driven manufacturing, could enhance efficiency and productivity in the Italian fastener industry.

Potential Challenges to Address: Despite the positive outlook, there are also challenges to consider:

• Competition: Intensifying competition from countries like China offering low-cost fasteners could put pressure on Italian manufacturers.

• Raw Material Costs: Fluctuations in the prices of raw materials used in fastener production could impact profitability.

• Sustainability Concerns: The industry will need to address growing environmental concerns by adopting sustainable practices throughout the fastener lifecycle.

By addressing these challenges head-on and capitalizing on its strengths, Italian fastener industry can solidify its position as a dominant force in the global market. Its commitment to quality and a forward-thinking approach will be crucial in ensuring a bright future for "Made in Italy" fasteners.

Copyright owned by Fastener World Article by Behrooz Lotfian

INAFASTENER 2024Automotive and Motorcycle Fasteners in the Spotlight This Year

2024印尼雅加達國際緊固件五金展汽機車用緊固件成本屆焦點

The 6th annual INAFASTENER was held in JIEXPO Kemayoran, Jakarta, the capital city of Indonesia, on May 15-17 this year. It is one of the most important professional fastener and hardware exhibitions in Indonesia and ASEAN region supported by Indonesia Automotive Parts & Components Industries Association (GIAMM), Indonesia Automotive Workshop Association (ASBEKINDO), Indonesia Fastener Association (AFI), and attracts many domestic and overseas industry professionals and buyers to visit and make their inquiries every year. This year, Fastener World also sent our staff to participate in the exhibition on-site in order to build a bridge with the local supply chain and potential customers for those interested in expanding into the Indonesian market and extending their business reach to the neighboring ASEAN markets.

The exhibits on display included a wide range of industrial fasteners and fixings, assembly & installation systems, and storage & logistics services, with fasteners for conventional cars, electric vehicles and motorbikes being the most talked-about products of the show. It is understood that Indonesia's automotive industry has always been an important part of the country's manufacturing development. With the gradual transformation of the automobile industry to promote the development of electric vehicles, the Indonesian government has also set the goal of reaching the production target of 600,000 electric vehicles and 2.45 million motorcycles by 2030. Indonesia is also one of the largest motorcycle markets in the world. The Indonesian government has also set a goal of fully electrifying all new motorcycles sold by 2040, which is part of the Indonesian government's plan to electrify all new cars sold by 2050.

During the 3-day exhibition, Fastener World's booth attracted many local buyers who stopped by to read the latest magazines and ask for relevant supplier information. Many visitors also scanned the QR Code of Fastener World's official website to try out the digital B2B buying & selling platform, and the rich supplier information allowed them to see more purchasing channels and opportunities. This year, there were also several Taiwanese companies exhibiting and showcasing their new products and services that were of great interest to local buyers.

The organizer has not yet announced the date of the next show. For more information, please stay tuned to the official website of Fastener World.

Copyright owned by Fastener World / Article by Gang Hao Chang, Vice Editor-in-Chief

Analyzing Chinese New Housing Starts in 2023 and Expectations for 2024

Introduction

China's housing market stands as a pivotal barometer of its economic health, with new housing starts serving as a key indicator of growth and development. Against the backdrop of a rapidly evolving economic landscape, the hardware and fastener industries play a crucial role in the construction sector, ensuring structural integrity and safety in building projects. This article briefly explores the nuances of China's housing market in 2023 and provides insightful projections for 2024, which might be helpful for those involved in the fastener and hardware industries, offering valuable perspectives on market trends and potential opportunities for strategic positioning.

Analyzing Chinese New Housing Starts in 2023

China's housing market woes have gained significant attention in recent years, reaching a climax with fresh reports towards the end of the previous year. These reports indicated that more than half of listed property developers had either defaulted on their obligations or restructured their public debts. Sales of new residential properties in 2023 were sluggish, amounting to only half the pace witnessed in 2021. Similarly, new residential construction starts experienced a comparable decline

However, amidst the bleak outlook portrayed by these reports, there were some encouraging developments that went unnoticed. In 2023, completions of residential properties saw a notable uptick, surging by 17 percent; however, housing starts have declined by more than 21% compared to 2022. The total area completed reached nearly 725 million square meters, surpassing the pace

of new residential starts for the first time on record. If this trend persists, it has the potential to instil confidence in the property market, fostering a more sustainable pace of development.

The turbulence within China's property sector came into a sharp focus in mid-2021, notably with the emergence of challenges faced by one of the nation's largest property developers. Subsequently, other developers found themselves grappling with similar predicaments.

While these developments posed immediate challenges to China's economic growth, they served to purge risky practices, a crucial step towards fostering a sustainable property market. At the height of the 2021 crisis, a significant portion of the nearly 1.5 billion square meters in residential property purchases were speculative rather than driven by genuine demand.

Housing Starts and Completions in China in 2021-2023 (Millions of Square Meters)

Housing Starts Housing Completions

A key obstacle to the establishment of a sustainable property market lies in the timely completion of presold properties, often paid for in full in advance without a deposit or down payment. Concerns over potential non-delivery of purchased units can deter prospective buyers, thereby undermining property sales.

The preceding year marked a pivotal juncture in addressing this challenge. Despite a halving in new construction starts, and a one-fifth decline in property investment compared to 2021, notable progress was made. A significant factor contributing to this trend is the increasing allocation of property investment towards completing projects initiated in the past, rather than initiating new ones.

These developments represent predominantly positive news for China's economy. Developers have significantly curtailed new construction starts, acknowledging the end of the property boom, and are channelling the bulk of their efforts and resources into completing presold housing units.

Anticipated Trends for 2024

In early 2024, China's housing market displayed signs of stabilization, with a moderated decline observed in property investment and sales. Governmental efforts to mitigate the sector's downturn, coupled with strategic interventions, contributed to this tempered decline. Property investment fell by 9% year-on-year in the first two months of 2024, compared to a 24% decline in December 2023. Similarly, property sales witnessed a 20.5% slide in January-February, reflecting a slight improvement from the preceding months.

However, challenges persist, as evidenced by the sector's struggle to stabilize home prices, which declined by 0.3% month-on-month in February. Despite the modest slowdown in investment decline, analysts remain cautious, emphasizing the continued downtrend in the real estate sector. The liquidity crisis facing developers and the ongoing struggle for cash flow underscore the underlying challenges confronting the industry.

In the coming years, China's housing market is expected to face additional obstacles due to underlying changes in its population dynamics. The need for more housing is likely to decrease as population growth slows down and the pace of urbanization also slows. Although significant government subsidies over the past decade facilitated the migration of millions of people to better-quality homes from older, less equipped ones, this demand is anticipated to dwindle. This decline is attributed to reduced revenues from land sales, which constrain local government budgets, along with a decrease in the number of residents occupying older housing units.

Given these changes in both short-term trends and long-term factors, investment in housing is expected to decrease further, remaining low in the near future. Recent forecasts for real estate investment in the medium term, taking into account different scenarios based on changes in demand and supply-

side pressures, suggest a potential decline ranging from 30 percent to 60 percent below the levels seen in 2022. This decline would lead to a gradual recovery similar to what has been seen in other countries experiencing significant slowdowns in housing construction.

Efforts to strengthen spending on affordable housing and urban redevelopment in the current year may partially alleviate the decline in investment. However, these measures are unlikely to adequately address the substantial housing inventory overhang held by financially distressed developers.

A smoother and more expedient transition for the real estate sector can be achieved through market-driven adjustments in home prices and swift restructuring of insolvent developers. Phasing out regulations allowing banks to defer recognition of bad loans to developers is crucial.

Authorities should extend support to viable developers while tightening regulations to mitigate future risk accumulation. Introducing insurance for homebuyers against the risk of developers' failure to complete purchased homes could enhance confidence and alleviate sales pressures. Strengthening escrow rules for presale financing would offer improved legal safeguards for homebuyers. Implementing a nationwide property tax and enhancing pension or alternative saving schemes would reduce households' reliance on housing investment. Fiscal reforms aimed at bridging the structural gap between local government revenues and expenditure obligations are essential to reduce dependence on land sales and property-related activities.

In reaction to challenges faced by the sector, China has ramped up efforts to breathe new life into the property market. These efforts include cutting benchmark mortgage rates and implementing a "whitelist" mechanism. This mechanism allows city governments to recommend residential projects to banks for financial support. Despite these measures, market sentiment remains muted, with trends such as home purchasing, financing, and construction initiations continuing to decline.

Conclusion

As China's housing market faces the challenges brought by economic changes, regulatory shifts, and technological progress, the construction industry stands as a vital component, deeply integrated into the fabric of development projects. Analyzing the trends in new housing starts in 2023 and predictions for 2024 sheds light on the interconnectedness between construction endeavours and the broader economy. As stakeholders navigate this evolving terrain, adaptability, innovation, and strategic planning are essential for seizing emerging opportunities and tackling obstacles within China's dynamic construction sector.

Sources:

China’s Housing Report by Peterson Institute for International Economics

China's Property Investment Report by Reuters

China’s Real Estate Sector Report by Internation Monetary Fund (IMF)

Copyright owned by Fastener World / Article by Shervin Shahidi Hamedani

Financial Reports of Fastener Companies

U.S.A

Compiled by Fastener World Updated on May 6, 2024 Monetary unit in millions (in USD) 扣件大廠財報

Chicago Rivet's 2023 net sales were USD 31.507 million, down 6.3% from USD 33.646 million in 2022. The company ended the year with a loss of USD 4.401 million in net income in 2023, compared to earning USD 2.867 million in net income in 2022. Total assets decreased to USD 27.830 million in 2023 from USD 33.626 million in 2022.

Trimas' 2023 net sales were USD 893.550 million, up 1.0% from USD 883.830 million in 2022. Net income was USD 40.360 million in 2023, down 39.0% from USD 66.170 million in 2022. Total assets increased to USD 1,341.660 in 2023 from USD 1,305.000 million in 2022.

Sympson Manufacturing's 2023 net sales were USD 2,213.803 million, up 4.6% from USD 2,116.087 million in 2022. Net income was USD 353.987 million in 2023, up 5.9% from USD 333.995 million in 2022. Total assets increased to USD 2,704.724 million in 2023 from USD 2,503.971 million in 2022.

Europe

Norma Group's 2023 revenue was € 1,222.8 million, down 1.6% from € 1,243.0 million in 2022. Net profit was € 27.9 million in 2023, down 28.7% from € 39.2 million in 2022. Total assets decreased to €1,493.3 million in 2023 from € 1,560.7 million in 2022.

Bufab's 2023 net sales were SEK 8,680 million, up 2.9% from SEK 8,431 million in 2022. The company ended the year with a net profit of SEK 574 million in 2023, lower than SEK 609 million in 2022. Total assets decreased to SEK 8,600 million in 2023 from SEK 9,436 million in 2022.

Bulten's 2023 net sales were SEK 5,757 million, up 28.6% from SEK 4,474 million in 2022. Net profit was SEK 127 million in 2023, up 71.6% from SEK 74 million in 2022. Total assets increased to SEK 4,852 million in 2023 from SEK 4,356 million in 2022.

Lisi's 2023 revenue was € 1,630.444 million, up 14.4% from € 1,425.212 million in 2022. Net income was € 36.667 million in 2023, down 35.3% from € 56.729 million in 2022. Total assets increased to € 2,058.566 million in 2023 from € 1,999.087 million in 2022.

SFS' 2023 net sales were CHF 3,073.0 million, up 12.2% from CHF 2,738.7 million in 2022. Net income was CHF 268.5 million in 2023, down 0.8% from CHF 270.6 million in 2022. Total assets decreased to CHF 2,546.8 million in 2023 from CHF 2,574.2 million in 2022.

Vossloh's

Southeast Asia

Tong Heer's 2023 revenue was MYR 598.033 million, down 39.5% from MYR 988.585 million in 2022. Net profit was MYR 9.788 million in 2023, down 88.8% from MYR 87.407 million in 2022. Total assets decreased to MYR 609.003 million in 2023 from MYR 617.099 million in 2022.

JPF 's 2023 revenue was JPY 5,108 million, down 4.6% from JPY 5,354 million in 2022. The company ended the year with a loss of JPY 108 million in net profit in 2023, compared to earning JPY 40 million in net profit in 2022. Total assets decreased to JPY 7,459 million in 2023 from JPY 8,001 million in 2022. The company forecasts 2024 revenue at JPY 5,250 million, up 2.8%.

China Fastener World News

China High Quality Collaborative Development Industry Alliance for Wind Power Fasteners is Launched

中國風電緊固件高質量協同發展產業聯盟正式成立

On April 8, High Quality Collaborative Development Industry Alliance was established at the Beijing Wind Power Fasteners Technology Exchange Conference. More than 40 companies participated in the meeting and discussed existing issues in all aspects of the entire life cycle of wind power fasteners.

The wind power industry is in a period of rapid development. Fasteners are key components in wind power equipment, and their quality and technological advancement are crucial to the safe operation and long-term stability of equipment. Strengthening exchanges and cooperation across the wind power fastener industry chain, jointly promoting fastener technology innovation and application, and standardizing marketoriented behavior have become urgent for the development of the current wind power fastener industry.

The

Founding

Ceremony

of

To this end, the National Technical Committee on Fastener Standardization established High Quality Collaborative Development Industry Alliance for Wind Power Fasteners. The committee invited wind power companies, machine manufacturing companies, fastener manufacturers, universities, scientific research institutes and related service agencies to join the alliance to jointly promote the high-quality development of China's wind power fasteners.

Foshan Fastener Manufacturing Industry Association (China)

中國佛山市緊固件製造行業協會成立大會隆重舉行

U.S. IFI Elects New Board Leaders

美國工業扣件學會選出新任正副理事長

The Industrial Fasteners Institute (IFI) elected new leadership for the organization’s Board of Directors for the 2024-2025 term during its annual meeting March 3-5, 2024 in Bonita Springs, Florida. Dan Curtis of MacLean-Fogg Company was selected to lead the board as Chairman, along with Larry Spelman of J.H. Botts LLC as Vice Chairman, and Gene Simpson of Semblex Corporation as Ex-Officio Chair. In addition to the Board leadership, the Board Representatives and Division chairs were also elected.

On March 27, 2024, the founding meeting and first membership meeting of Foshan Fastener Manufacturing Industry Association was held at Foshan Jinding Taifeng Hotel.

The election results were announced at the conference. The general manager of Foshan Nanhai Weiye High-strenth Standard Parts was elected as the first president of the Association. He stressed that the Association will be committed to promoting cooperation and exchanges among fastener companies, promoting technological innovation and industrial upgrade in the industry, and contributing to the development of the fastener industry in Foshan City. In addition, he said that as the first president of the Association, he will take a positive attitude and pragmatic measures to work with the members to promote the association's work and provide high-quality products, service and support to member companies.

IFI is the leading voice representing the interests of the North American manufacturers of mechanical fasteners and formed parts, as well as the key suppliers to the industry, fostering their working together to shape the future of the industry. IFI represents the industry to its suppliers, customers, the government, and the public-at-large to advance the competitiveness, products, and innovative technology of the Member Companies in a global marketplace.

■ Industry Development

China Exports 1,215,986 Tons of Fasteners in Q1 2024

2024年第一季度中國緊固件出口重量1,215,986噸

From January to March 2024, China's fastener export weight was 1,215,986 tons, an increase of 165,935 tons (a growth of 17.4%) over the same period last year; the export value was US$2,539.859 million, a decrease of US$517.765 million over the same period last year, and a year-on-year decrease of 11.4%. In March 2024, China's fastener export weight was 381,948 tons and the export value was US$803.263 million.

From January to March 2024, the average export price of Chinese fasteners was US$2,100/ton, and the average export price of fasteners in the same period of 2023 was US$2,900/ton.

In March 2024, China's fastener export weight was 381,948 tons, a decrease of 36,841 tons over the same period last year; the export value was US$803.263 million, a decrease of US$500.829 million over the same period last year.

(China) Handan City's Fastener Export in Q1 Reaches RMB 360

Million, Up 40.1%

邯鄲市第一季度緊固件出口3.6億元，同比增長40.1%

Chinese Passenger Cars to Breach 4.6 Million Units and

Take Up 60% Market Share

中國乘用車預計突破460萬輛 市場份額 有望達60%

The data published by China Association of Automobile Manufacturers show that starting from 2021, China's passenger car market share has continued to rise in the past three years.

In 2021, China sold 9.543 million units of passenger cars, with a market share of 44.4%. In 2022, China sold 11.766 million units, with a market share of 49.9%. In 2023, China sold 14.596 million units, with a market share of 56%. In the first four months of 2024, the sales volume was expected to exceed 4.6 million units, with the market share expected to reach 60%.

In Q1 2024, the total trade import and export value of Handan City was RMB 6.74 billion, a year-on-year increase of 42.2%, ranking second in all the highest growing provinces. In Q1, Handan City's foreign trade import and export mainly showed several characteristics. The import and export value of foreign-invested enterprises was RMB 1.82 billion, a year-on-year increase of 5.8 times.

In Q1, Handan City's import and export value to India was RMB 1.3 billion, a year-on-year increase of 1.1 times, accounting for 19.3% of the city's total import and export value. Handan's import and export value to ASEAN was RMB 1.01 billion, a year-on-year increase of 96.0%, including export to Vietnam and Thailand, valued at RMB 410 million and RMB 270 million respectively, a year-on-year increase of 3.8 times and 1.1 times respectively. The export value to Australia was RMB 860 million, a year-on-year increase of 57.4%. The import and export value to Brazil was RMB 590 million, a year-on-year increase of 5.9 times. The import and export value to EU amounted to RMB 570 million, a year-on-year increase of 7.3%.

In Q1, Handan City's fastener export achieved double-digit growth. The fastener export value was RMB 360 million, a year-on-year increase of 40.1%. The steel export value was RMB 780 million, accounting for 24.8% of the total export value.

Ukraine Announces Extension of AD Measures Against Steel Fasteners from China

烏克蘭延長對中國鋼鐵緊固件課徵反傾銷稅

Ukraine's Interdepartmental Commission on International Trade has announced the extension of anti-dumping duties on steel fasteners originating from China. The extension came into force immediately on April 17, 2024.

Except for 2 Chinese producers subject to lower AD rates less than 40%, all other Chinese steel fastener producers and exporters will be subject to a rate of 67.4%. The products involved are threaded steel screws, bolts, nuts imported from China, falling within the categories of 7318156990, 7318158190, 7318198169190 and 7318169990. The AD measures were first introduced in Ukraine in 2020 and the AD investigation was launched in Dec. 2019 and completed earlier than expected.

Ukraine also announced the final AD measures against steel wire originating from China last August, which will be valid for 5 years at a rate of 32.6%.

U.S. to Levy USD 1.8 Billion Tariff on Chinese

Products; 100% Tariff on EVs

美將對價值180億美金中國商品加徵關稅 電動車稅率增至100%

The White House stated on May 14 that the U.S. will impose additional tariffs on US$18 billion worth of goods imported from China, targeting strategic industries such as EVs, batteries, steel, and critical minerals. The tariff rate for EVs is expected to

quadruple to 100% this year; the rate for semiconductors is expected to increase from 25% to 50% by the end of 2025.

The White House said in a statement that the above actions are aimed at urging China to eliminate unfair trade practices related to technology transfer, intellectual property and innovation. Trump launched a U.S.-China trade war back in his presidential term and imposed additional tariffs on approximately USD300 billion worth of Chinese goods. The White House made the decision after reviewing the tariffs imposed during the trade war. The main tool used by the Trump administration is the so-called Section 301 Investigation. The Biden administration is taking action based on Section 301 of the U.S. Trade Act.

In addition to EVs and semiconductors, Washington's tariffs on certain steel and aluminum products, as well as lithium-ion EV batteries and battery components, have also increased to about three times their original levels.

China's Ministry of Commerce issued a statement on this result, which states that China firmly opposes and has made strong protest to the U.S. The Commerce said that the U.S. abused the Section 301 tariff review process out of domestic political concerns to further increase the tariffs on some Chinese products, and politicized and instrumentalized economic and trade issues. The Commerce attributes it to typical political manipulation and expresses strong discontent. The Commerce said WTO has already ruled that Section 301 tariffs violate WTO rules, and that China will take resolute measures to defend its rights and interests.

EVs Flock in Brazil Before New Tariff Takes Effect

巴西新關稅實施前大量中國電動汽車湧入

Mexico Levies Tariff on Chinese Fasteners, Effective Immediately

Mexican President López Obrador signed an act to impose temporary import tariffs of 5% to 50% on 544 items, including fasteners, steel, and aluminum. Mexico News Daily reported that new tariffs are imposed on hundreds of imported products from countries with which it has not signed a trade agreement, and said that this move seems to be mainly aimed at China.

The act has been effective since April 23 and will be valid for two years. According to the act, fasteners will be subject to a temporary import tariff of 35%. The fastener products involved include: square head screws, other wood screws, hook screws and ring screws, self-tapping screws.

Goods imported from regions and countries that have signed trade agreements with Mexico (including the U.S., Canada, EU, as well as CPTPP signatory countries such as Australia, Chile, Japan, and Vietnam) will enjoy preferential tariff treatment if they meet the relevant provisions of the agreement.

Brazil's car import soared in the first quarter of 2024, driven by an inflow of EVs from China. The data released by the Brazilian Ministry of Development, Industry, Trade and Services showed that from January to March, Brazil's passenger car import increased by 46.4% year-on-year, reaching a market value of USD 1.5 billion.

Out of this market value, Chinese cars alone accounted for about 40%, and the import surged by 450% compared with the same period in 2023. The Ministry said the growth in import was driven by cars imported from China, which were mainly pure electric and hybrid vehicles.

The import tax on EVs has been reduced to zero since 2015, but Brazilian President Lula will reinstate them this year to encourage the development of the domestic auto industry. Starting in January, the import tariff for pure EVs is 10%, which will be increased to 18% this July and eventually reach 35% in July 2026. Hybrid vehicles will be subject to a 15% import tax starting this year which will rise to 25% this July and reach 35% in July 2026.

Britain Seeks Views on 2027 Carbon Border Tax

英國就2027年碳邊境稅徵求意見

Britain has launched a consultation on how it should apply a new carbon import levy on some products from 2027 to help protect businesses against cheaper imports from countries with less strict climate policies.

Britain, which has a target of reaching net zero emissions by 2050, launched an emissions trading system (ETS) in 2021 to charge power plants, factories and airlines for each tonne of carbon dioxide they emit as part of efforts to meet that goal. The planned carbon border adjustment mechanism (CBAM) will apply to imports of carbon-intensive products in the iron and steel, aluminium, fertiliser,

hydrogen, ceramics, glass and cement sectors.

Britain's benchmark ETS carbon contract currently trades around 36 pounds (US$46) per metric ton, while contracts in China's ETS trade around 84 RMB (US$11.67) per ton. Britain proposed using the average auction price of permits in its ETS over the preceding quarter as a reference price for the levy. “Using a quarterly reference ... would allow for the UK CBAM rate to track the changes in the UK ETS price throughout the year,” the document said.

It proposes the first CBAM accounting period should run from Jan 1, 2027, to Dec. 31, 2027, and that from 2028 accounting periods should become quarterly. The consultation will be open until June 13 and seeks views specifically from tax advisers, professional bodies, importers and businesses from Britain and overseas, it said.

World Steel Association: “Steel Demand will Strengthen in H2, up 1.7% Year-on-year”

The World Steel Association released a short-term demand forecast report stating that this year's high interest rate environment will gradually fade away, and global manufacturing momentum will heat up. It is expected that steel demand will gradually strengthen from H2, and the steel industry will be on a steady recovery track. Overall demand will be higher than in 2023, with an increase of 30.1 million tons, an annual increase of 1.7%. The global economy has shown resilience under the leadership of the United States, and steel demand outside China has maintained an annual growth rate of 1.3%. The construction industry in Europe and the United States will recover thanks to lower interest rates, and demand from the automobile and home appliance industries will also strengthen.

China's manufacturing industry has had an opportunity to recover since March this year. The manufacturing purchasing managers index (PMI) in March was 50.8. It is expected that demand for home appliances, machinery, metal processing, automobiles, etc., will recover in 2024 to fill the gap in construction demand. This year the overall steel demand in China is expected to remain flat.

In addition, regions such as Japan and South Korea are expected to benefit from the recovery of the automobile industry. Demand in India and Southeast Asia will remain strong as the export industry improves, and will continue to serve as growth engines. Overall, global steel demand is estimated to be 1,793.1 million tons in 2024, with an annual increase of 1.7%, an increase of approximately 30.1 million tons compared with 2023.

Looking forward to 2025, the World Steel Association predicts that with the stable development of the global economy, the steel industry will continue to maintain growth momentum. It predicts that global steel demand in 2025 will be 1815.2 million tons, an increase of 22.1 million tons compared with 2024, an annual increase of 1.2%, continuing to demonstrate the positive growth momentum of the global steel market.

■ Companies Development

(China) Gem Year's Q1 Revenue at RMB424 Million, Down 12.85%

晉億實業一季度總營收4.24億元，同比下降12.85%

On April 30, Gem Year released its Q1 report for 2024. The company achieved total operating income of RMB 424 million, a year-on-year decrease of 12.85%, and net profit attributable to the parent company was minus RMB 20.6089 million, turning from profit to loss year-on-year.

Specifically, Gem Year's operating costs were RMB 390 million, a year-on-year increase of 0.55%, and expenses and other costs were RMB 47.5622 million, a year-on-year decrease of 24.99%.

(China) Fawer Automotive Parts Q1 Net

Profit at RMB 163 Million, Up 98.92% 富奧2024年第一季度淨利潤1.63億人民幣 同比增長98.92%

Fawer disclosed its 2023 annual report. During the reporting period, the company achieved operating income of RMB 15.843 billion, a year-on-year increase of 26.03%. The net profit was RMB 604 million, a year-on-year increase of 20.55%. The earnings per share was RMB 0.35.

The company also disclosed its Q1 result for 2024. It achieved operating income of RMB 3.764 billion, a year-on-year increase of 34.28%. The net profit was RMB 163 million, a year-on-year increase of 98.92%. The earnings per share was RMB 0.09.

Fawer is mainly engaged in the R&D, production and sales of automotive parts. It has formed a business of chassis systems, thermal systems, new energy, smart network connection, engine accessory systems, steering and safety systems, braking and transmission systems, fasteners, etc. The products are used in heavy/medium/light/micro commercial vehicles and high/ medium/low-end passenger cars and other car models; the company's products support many domestic vehicle and machine companies, and some of them are sold overseas.

In 2023, Fawer was mainly pulled up by the output of the automobile industry, and the company's operating income achieved year-on-year growth. In addition, Fawer has accelerated its new business deployment in recent years and is developing towards "lightweight, electrification, intelligence and connectivity".

(China) Shandong Tengda Grossed

RMB 1,735 Million in 2023

騰達科技2023年營業收入17.35億元人民幣

Shandong Tengda Fasten Tech released its 2023 annual report. In 2023, the company achieved operating income of RMB 1.735 billion and net profit of RMB 85.6068 million.

Tengda's main business is the R&D, production and sales of stainless steel fasteners such as bolts, nuts, screws and washers. It is one of the leading enterprises in China's stainless steel fastener industry, with production scale and product market share ranked third in the industry for many consecutive years.

The company uses information management systems such as MES, ERP, and customized B2B platforms to form a smart manufacturing interconnection platform for stainless steel fasteners, enabling real-time monitoring and efficient and orderly management of the production and sales of tens of thousands types of products.

(China) Essence Fastening’s 2023 Revenue Increases

超捷股份2023年營收穩中有增

Essence Fastening released its 2023 annual report on April 24. The company's revenue was approximately RMB 493 million, an increase of 4.96%, with a year-on-year RMB 23.3057 million increase in operating income. As of the end of the period, the value of orders on hand was approximately RMB 165.8052 million.

The company has long been committed to the R&D, production and sales of high-strength precision fasteners, special-shape connectors and other products. In new energy vehicles, the products are mainly used in modules such as battery trays, chassis, car body, electronically controlled inverters, and battery swap systems. In addition, the company's fastener products are also used in electronic appliances, telecommunications and other industries. The company regards overseas markets as one of its strategic priorities. Based on the company's many years of good relationships with international first-tier suppliers such as Magna, Valeo, and Bosch, there is good foundation for overseas market expansion.

Essence Fastening will focus on investment in R&D in 2023. The company and its subsidiaries have invested a total of RMB 32.3438 million in R&D expenses, a year-on-year increase of 44.42%. Among them, the automotive business has 18 key R&D projects, mainly including new self-clinching rivet nut projects, SAIC HT hybrid electronic control fastener projects, easy-to-install valve stem connector projects for tie rods, high-precision bushing projects for positioning, anti-slip and sound reduction, reusable anti-loosening buckles, etc. The core technologies mastered by the company cover the key processes and production processes of metal and plastic fasteners and special-shape connectors, and are highly competitive.

Daniel Westberg Appointed New CEO for Nord-Lock Group

Daniel Westberg獲指派為Nord-Lock集團新執行長

Nord-Lock Group, the global leader in bolting and engineering solutions, announces Daniel Westberg as their new Chief Executive Officer. Daniel will assume his responsibilities as CEO on August 1, 2024.

“I am honored and excited to take on the role of CEO at Nord-Lock Group, a company with a rich legacy. The Group is on an exciting journey, and I look forward to unlocking new horizons and developing the Group and its four technology brands toward even greater success,” says Daniel Westberg.

For more than 20 years, Daniel has held various executive-level roles within SKF and its different subsidiaries, both in Sweden and abroad, most recently Daniel served as President & CEO at Ewellix.

“The appointment of Daniel as CEO marks an exciting chapter for Nord-Lock Group and Latour. Daniel has proven to drive results and has consistently propelled the businesses he has led forward. With his international industrial background, strong commercial and technical understanding, Daniel brings a fresh perspective and strategic vision to the organization”, says Johan Menckel, Chairman of the Board for Nord-Lock Group.

Daniel holds a Master of Science in Mechanical Engineering, and his strong technical acumen along with a passion for innovation has been instrumental throughout his career. Having lived and worked in Canada, Germany, and France, Daniel has an extensive global background. These diverse cultural encounters have brought enriched perspectives and provided valuable insights that Daniel now brings into his role as CEO of Nord-Lock Group.

China Fastener World News

Indian Sterling Tools Signed MoU with Korean Yongin Electronics

印度Sterling Tools與韓國Yongin Electronics簽署合作備忘錄

Indian automotive fastener producer, Sterling Tools Limited, has recently signed an MoU for EV components facility with S. Korean key component supplier, Yongin Electronics Co., Ltd., through its subsidiary, Motor Control Units (MCUs) in India.

According to Sterling Tools, the agreement signed by both sides will play an important role in advancing the domestic manufacturing of EV and electronics

Bulten Appoints Michael Richards as President Region Asia Michael Richards接任Bulten亞洲區總經理

Bulten Group has appointed Michael Richards as President Region Asia. He has taken up his post on April 1, and is now a member of Bulten’s Executive Management Team. Michael Richards, who currently works as a consultant in his own business, has extensive experience from senior positions in manufacturing, sales, and other areas. He has worked for several international companies, including EMP (Engineered Machined Products), Modine, Husqvarna, and ARC International. An American, Michael Richards was born in 1968 and has lived and worked in Asia for much of his career.

“I am delighted to welcome Michael to Bulten. He has broad experience of manufacturing and sales, and he has worked in Asia for international companies for many years. This is the ideal combination for where we are right now, shifting decision-making to our regions so that we can better meet the unique conditions of each market,” says Christina Hallin, Interim President and CEO of Bulten Group. Michael Richards succeeded Bent Wessel-Aas, who was Interim President Region Asia. In his new role, Michael Richards will be based in Wuxi, China and will report to Bulten’s President and CEO.

On January 31, Bulten announced changes to its Executive Management in a shift toward an interdisciplinary regional structure, having previously operated in a global functional structure. The changes have led to three new roles – President Region Europe, President Region Asia, and Vice President Region North America – allowing the regions a broader manufacturing and sales mandate to bolster Bulten in achieving its long-term goals.

components in India, and a new facility for EV components will be also set up soon. Yongin’s technological expertise will also benefit the growing EV industry sector in India.

“This MoU demonstrates Sterling’s commitment to developing the EV and Electronics ecosystem and contributing to “Make In India”. We are one step closer to our goal of strengthening our presence and offerings as a provider of green energy solutions in the automotive industry,” said Anish Agarwal, Director from Sterling Tools Limited.

“We recognize the significant potential within the Indian EV market. It brings us great pleasure to announce our partnership with Sterling through the signing of an MOU. We are prepared to embark on a journey of mutual growth and collaboration within the Indian EV industry, contributing positively to its advancement,” said CEO KH Kim of Yongin Electronics.

The Supervisory Board of Vossloh AG extended the contract of Oliver Schuster as Chief Executive Officer of Vossloh AG by a further five years until February 28, 2030. Over the past ten years, Schuster has played a key role in Vossloh's remarkable development and, together with his colleagues on the Executive Board, has successfully driven the Group's transformation into a global market leader for rail infrastructure. Under his management, the company has grown significantly faster than the market in recent years, while at the same time steadily increasing its profitability. Following his leadership, the long-established enterprise from Werdohl in the Sauerland region has developed into a highly innovative solution provider and, in addition to its comprehensive portfolio of products and services relating to the rail track, has built up extensive digital expertise and developed corresponding pioneering business models.

"Under the management of Oliver Schuster, the Vossloh Group has undergone an extremely positive development. With his strategic foresight, consistent action and strong leadership, Oliver Schuster and his colleagues on the Executive Board have not only successfully steered the Group through a phase of global crises, but also sustainably strengthened Vossloh's leading position in the rail infrastructure market," says Prof. Dr. Rüdiger Grube, Chairman of the Supervisory Board of Vossloh AG. "By extending his contract, we honor his outstanding achievements and are convinced that the Vossloh Group will successfully continue its course of sustainable and profitable growth under his leadership."

Vossloh Extends Contract of CEO Oliver Schuster Until 2030

Oliver Schuster, CEO of Vossloh AG: "I would like to thank the Supervisory Board for the trust they have placed in me and I am very much looking forward to continuing my work together with my highly esteemed colleagues on the Executive Board as well as the great team of around 4,000 employees worldwide. Over the past few years, we have undeniably achieved a great deal together and positioned our company in a powerful and future-proof way. From this stable base, we will continue to pursue our chosen course stringently and tirelessly and make our daily contribution to advancing sustainable mobility worldwide. Because in view of a rapidly growing world population as well as globalization and urbanization, the need for transport capacity for people and goods is growing relentlessly. Resource-saving mobility is therefore one of the critical success factors for achieving climate protection targets and thus preserving the basis of life for future generations."

■ Acquisition

Diploma to Acquire Peerless Aerospace Fastener in US$300M Deal

Diploma 將斥資

3

Peerless Aerospace Fastener

Diploma PLC, a global distribution group, announced its proposed acquisition of Peerless Aerospace Fastener LLC, a market-leading distributor of specialty fasteners into the U.S. and European aerospace markets for an estimated £236 million (US$300 million). Peerless is one of the largest independent distributors of aerospace fasteners with a strong reputation for quality and breadth of product, speed to market, and value-add customer service.

The acquisition will add to Diploma's established position in aerospace fasteners, extending its capability from aircraft cabin to airframe, accelerating organic growth by significantly expanding its capability in the U.S. with an enhanced product offer, and further penetrating key strategic markets in Europe.

compiled

by Fastener World

台灣因應進行式與歐洲面臨的瓶頸

CBAM is now the talk of the town and industry players are in urgent need to learn its latest development.

As one of the economies in the world to respond early to CBAM, Taiwan will make significant progress in 2024 to 2025. This article summarizes the latest progress of Taiwan's regulations in response to CBAM, and examines the challenges for CBAM in Europe in order to help readers learn a broader landscape and react early.

新聞最前線：

C B A M

CBAM Frontline: Taiwan's Progress and Europe’s Bottlenecks

drafts are open to the public for comments and suggestions for the Ministry of Environment’s legislative amendments.

Taiwan's Ministry of Environment Discloses 3 Legislative Drafts on Carbon Fee Collection

Taiwan Environmental Information Center reported on April 29 that the Ministry of Environment disclosed three drafts including "Carbon Fee Collection Principles", "Autonomous Reduction Plan Management Principles" and "Greenhouse Gas Reduction Goals Specified for Carbon Fee Collection Targets" in accordance with the Climate Change Response Act. These drafts aim to build a supporting mechanism for the future implementation of carbon fees. They utilize general and preferential rates in hope of encouraging the targets to speed up and increase carbon reduction. The drafts include High Carbon Leakage Risk Coefficient, through which an 80% discount as well as preferential rates are to be applied to carbon emission fees. The

According to the drafts, the carbon fee targets large emitters with annual emissions of 25,000 metric tons of carbon dioxide equivalent or more. When calculating emissions, the 25,000 metric tons threshold is deductible. The threshold will gradually be lowered to 15,000 metric tons, and is expected to be 10,000 metric tons by 2030. Enterprises will complete registry of carbon inventory for the previous year at the end of every April and pay the carbon fee for the previous year before the end of May.

There are also transitional measures for industries with high carbon leakage risks, such as the steel and cement industries. If an enterprise applies for a voluntary carbon reduction plan and is approved to be recognized as having high carbon leakage risks, it can enjoy an initial carbon fee discount based on the carbon leakage risk coefficient. At a coefficient value of 0.2, an 80% discount is to be applied on carbon fees. The value will be gradually increased to 0.4 and then 0.6. On top of that, a preferential rate will follow the discount, but the 25,000 metric tons threshold can no longer be deducted from the emissions.

Regarding the preferential rates for voluntary carbon reduction, if an enterprise can meet the designated emission reduction goals, it can submit voluntary reduction plans and enjoy preferential rates. The designated goals will be divided into two approaches. One is to reference the Science Based Targets Initiative (SBTi) which uses 2021 as the base year to set reduction targets up to 2030 for various industries. This approach will provide more preferential treatment. The other one is to aim at 24% carbon emission reduction designated in the Nationally Determined Contributions 2030 and set technical benchmarks for different emission types to specify reduction rates.

Questions against the drafts have been raised by environmental protection groups who estimated that a carbon fee income of more than NTD 3.75 billion will be lost just by deducting the 25,000 ton threshold. Coupling that with the discount from the carbon leakage risk coefficient will result in more than NTD 30 billion loss of carbon fee income, which means no external costs on more than 60 million tons of emissions. The Ministry of Environment alleges to provide discounts in alignment with the "free allocation of EU ETS allowances", but the domestic carbon fee rates are still lower than the EU’s set rates. Companies exporting to the EU will still face the pressure of additional carbon tax, and they may dump that burden to downstream companies. Taiwan CSC may become an example of that, passing the pressure to downstream small and medium fastener enterprises and potentially intensifying the impact on industries and the society in Taiwan. Environmental protection groups suggest carbon fees be set at a higher rate in the future to yield substantial carbon reduction benefits. They hope that the Ministry of Environment will stick to the bottom line of NTD 500 charged per ton of emission and the minimum post-discount price of NTD 300 per ton.

On May 7, the Ministry of Environment held the third carbon fee review meeting, where it stated that enterprises must implement a "voluntary reduction plan" before they can obtain preferential rates, which is to force enterprises to reduce carbon emissions. Without emission reductions, the preferential rates will not apply. During the meeting, some members had different opinions on whether to raise or lower the carbon fee rates. Therefore, the Ministry of Environment is trying its best to collect suggestions from all parties and entrusts Chung-Hua Institution for Economic Research to use models to calculate the potential carbon reduction performance, consumer price index and other economic influences under different rates. Related assessment data will also be made public for inspection by everyone.

Taiwan to Roll Out Carbon Reduction Guidelines for 8 Construction

Categories Before CBAM’s Official Implementation in 2026

In addition, Public Construction Commission of Executive Yuan (Taiwan) has begun planning and adopting a step-by-step approach to carbon reduction targets for public projects. A database of building materials’ carbon emission intensity will be launched in the first half of 2024. The Commission will start off from the design and building material aspects to help public projects reduce carbon emissions. The ultimate goal is to roll out carbon reduction guidelines for 8 categories of public projects, including

buildings, railway, water facilities, bridges, etc., all of which must comply with carbon reduction standards covering aspects from design to construction. In addition, server rooms consume a lot of electricity, and particularly, Taiwan's electricity usage is higher than in other countries. Therefore, although server rooms are not included in the 8 construction categories, carbon reduction guidelines will be introduced to reduce ineffective power use from the design phase.

The guidelines are like operation manuals and will become mandatory upon introduction. The standard operation procedures for calculation methods, construction and design will be formulated for government authorities and enterprises to follow. The scope of the guidelines may be expanded to other types of construction in the future. The carbon reduction guidelines for public projects will also compel Taiwanese construction fastener companies to achieve carbon reduction on manufacturing process or launch low-carbon fastener products.

High Hurdles for EU Importers to Trace Carbon Emission Data

Det Norske Veritas (Norway) issued a press release on April 15 stating that during discussions with customers, it discovered that EU importers encounter many difficulties in sourcing and submitting actual emission data corresponding to their imports, including:

1. They’ve had difficulty in tracing back to the third-country operators who manufactured the goods.

2. The third-country operators had difficulties in determining the actual emissions according to the new CBAM methodology.

3. They were not confident in the credibility of emission information they received from the operators.

4. The third-country operators hadn’t taken necessary steps to determine actual emissions.

5. They opted for the simplest way of reporting (default values were pre-filled in the CBAM transitional registry).

Will CBAM Hinder Europe’s Renewable Energy and Green Electricity?

According to a report by the Financial Times on March 19, the energy industry warned that the EU's introduction of a new electricity carbon tax will lead to an increase in carbon dioxide emissions in Europe and lead to higher prices for EU consumers. CBAM could also reduce North Sea energy collaboration between the UK and Europe, and hinder investment in renewable energy infrastructure. Energy UK said: "CBAM is becoming a regulatory nightmare."

An analysis by consulting firm AFRY pointed out that CBAM may reduce the EU's import of green electricity from

the UK, leading to an annual increase equivalent to 8.3 million cars’ carbon emission in Europe. This would be self-defeating given that both the EU and the UK share the goal of achieving net zero. Research suggests that CBAM's tax on a range of carbon-intensive products will significantly increase the price of electricity traded via interconnecting cables between the UK and EU.

Danish electricity transmission system operator Energinet said electricity imports from the UK will “fall significantly" once the carbon border tax is imposed. This will make the EU more reliant on domestic production, leading to higher prices and the use of natural gas for electricity generation.

CBAM Could Inflict Trade Disruption on Underdeveloped Countries

A report by Bloomberg on April 26 pointed out that some emerging and developing countries brought up questions against CBAM. At the WTO's 13th Ministerial Conference, 66 countries called on the EU and other countries to "refrain from imposing of unilateral traderelated environmental measures to prevent such measures from creating unnecessary obstacles to trade." CBAM has been criticized for its lack of exemptions or phased implementation for underdeveloped countries.

In 2023, a study pointed out that CBAM may lead to a 0.29% decrease in global exports of the metal products industry and a 1.49% decrease in steel industry exports. Exports from South and Central Asia will fall sharply, highlighting the disruption to trade that economies heavily reliant on these industries could face.

Shared Information Will be Crucial for Learning the Ropes of CBAM

CBAM was launched on a trial basis last October. So far, Taiwan ranks fifth in the world in terms of the number of companies having submitted carbon emission data, showing that Taiwanese companies are closely monitoring CBAM. Taiwan is

News compiled & edited by Fastener

World editors

striving to introduce carbon fee next year, and it is currently in a tug of war between enterprises and environmental protection groups regarding the calculation and preferential rates of the carbon fee. Despite that, the future roadmap is already set for Taiwan’s carbon fee regulations. Fastener World interviewed a number of Taiwanese companies and found that they attach great importance to this issue. Most of them have already carried out carbon reduction transformation and will actively cooperate with Taiwan’s and CBAM regulations. However, outside of Taiwan, CBAM still faces many challenges, including difficulties in data tracing, concerns over the impact on renewable energy development, and trade barriers against underdeveloped countries. Everyone is fumbling for a way out of the CBAM maze. Fastener World will continue to actively monitor the latest news of CBAM and hopes to clear up the haze for readers by sharing information.

Philippines in Figures —

Fasteners, Cars, Construction, GDP, PMI

菲律賓扣件、汽車、建築、GDP、PMI統計數據概況

The Philippines stands out in the competition in the Asia-Pacific political and economic landscape this year and gained international media attention. The Ferdinand Marcos Jr. regime takes a series of actions. In addition to seeking overseas political and military alliances, the regime tries to make the Philippines a preferred destination for international foreign investment by formulating policies. According to Philippine Statistics Authority (PSA), in 2023, the amount of foreign direct investment approved by the Philippine government reached a record US$15.594 billion, 3.7 times higher than that in 2022. It shows that the Philippines is attracting a large number of investors from many countries, a large proportion of which also include Taiwanese businesspeople. Currently, there are about 7,000 Taiwanese businesspeople (from 600 companies) in the Philippines.

According to United Nations statistics, the Philippines' population will grow to 115.56 million in 2022, of which 76.66 million are over 15 and under 60 years old, accounting for 66% of the total population, indicating that the Philippines has a fairly young working population. The country has one of the highest population growth rates in Southeast Asia, reaching 1.5%. The demographic dividends and government policies have made the Philippines an ideal target for many other countries to set up factories in Southeast Asia.

The Philippine market is poised with a promising future of growth potential. With this backdrop, this article provides readers with reference materials for investing in the Philippines by analyzing five market indicators on fasteners, cars, construction, GDP, and PMI.

Fasteners

◆ Fastener Import in the Philippines

First, we will track growth and decline trajectory of Philippine fastener trade in the past decade. From 2014 to 2023, the country's fastener import weight (Figure 1) increased from 26,580 tons to 74,532.6 tons, up 180%. Except for a 3.1% drop in 2015, and an 18.5% plunge in 2020 when the pandemic broke out, the rest of the years had positive growth. It is worth noting that last year’s increase by 27% was the highest in the past decade. Overall, the weight of fasteners imported by the Philippines from around the world has been increasing over the past decade.

The country's fastener import value (Figure 2) increased from US$51.653 million in 2014 to US$213 million in 2023, up 314%, and fell only 11.1% in 2020, showing the Philippines' demand for global fasteners was stable and substantially growing in the past decade.

Fig.1

Table 1 shows that the top 10 fastener import sources for the Philippines in the past six years are all Asian countries, among which China, Japan, Vietnam, Taiwan, and Singapore are the top five sources for the Philippines. As shown in Figure 3 , China's fasteners accounted for 83% last year, overwhelming the other nine sources, showing that Philippines is extremely dependent on cheaper fasteners from China.

Excluding the pandemic years, the weights of fasteners imported by the Philippines from China, Japan, and Vietnam have generally increased in the past six years. On the contrary, the import from Taiwan has significantly decreased year by year.

Japanese fasteners are relatively expensive, but feature high technical level and high added value, taking up a 6% market share in the Philippines. On the other hand, the global political and economic atmosphere and overseas buyers’ requests have mandated many Taiwanese fastener manufacturers to set up factories in Southeast Asia. However, Taiwan's fasteners account for only 3% of the Philippines market, just half of Japan’s, showing that Taiwan's fasteners are still less attractive to the Philippines than Japan and the aforementioned China. In Philippines’ fastener import value (Figure 4), despite a difference from Figure 3, the market share values basically reflect the same trend. If Taiwanese fastener companies are to expand market shares in the Philippines, they need to think more carefully whether to transition towards higher added value or provide more price-competitive products.

Table 1. Top 10 Fastener Import Sources for the Philippines (2018-2023)

◆ Fastener Export from the Philippines ◆

From 2014 to 2017, the Philippines' fastener export weight (Figure 5) remained at around 12,000 tons. What’s interesting is that before the pandemic (2018) and in the post-pandemic years (2021 to 2022), the global demand for Philippine’s fasteners surged nearly three to four times, reaching a level of about 45,000 tons. Even at the worst of the pandemic (2019 and 2020) when the export fell sharply to 34,000 tons, it was still much higher than the pre-pandemic level. By 2023, the export weight returned to normal at the pre-pandemic level. The same trend is reflected in the export value (Figure 6).

This trend triggers association with Taiwan's fastener exports that also surged during the pandemic and returned to normal after the pandemic.

Fig.2

The Philippines' top five fastener export destinations (Table 2) are Japan, the U.S., France, Germany, and Taiwan. The Philippines relies heavily on Japan (accounting for 36% of the Philippines' total export value) and the United States (29%). The export of Philippine-made fasteners also relies heavily on the European market, because 5 out of the top 10 fastener export destinations are from Europe (Figures 7 and 8) , accounting for about 20% in total.

Table 2. The Philippines' Top 10 Fastener Export Destinations (2018-2023)

Fig.3 Fig.4

Fig.5

Cars

Philippines car sales (Figure 9) display a classic V-trajectory in and out of the pandemic. After bottoming out at 223,000 units in 2020 came a drastic rebound. By 2023, the sales breached the pre-pandemic level of 369,000 units and reached 429,000 vehicles (including 109,000 passenger cars and 320,000 commercial cars, as shown in Figure 10), breaking the country’s highest record. Philippine News Agency, which voices for the government, predicts that sales this year are expected to exceed 500,000 vehicles. Demand for automotive fasteners in the Philippines is also expected to grow this year.

Out of the top 10 car manu facturers in the Philippines in 2023 (Figure 11), 6 are Japanese car manufacturers. Toyota has the largest market share, with sales of 198,000 vehicles, showing that the country relies most heavily on the supply of Japanese car manufacturers, followed by Ford from the U.S. and Geely as well as SAIC MG from China.

Fig.6

Fig.7

Fig.8

Fig.9

Industry Focus

Construction

The Philippines has been actively developing national infrastructure in recent years. After President Ferdinand Marcos Jr. took office, he continued Duterte 3B (meaning Build! Build! Build!) infrastructure plan and renamed it BBM (Build, Better, More) and extended its implementation period to 2028. He has currently approved a total of 194 infrastructure projects (35% of which are already in progress), covering public transportation, electricity, health, IT, water resources, agriculture and other fields, with a total budget of US$157.937 billion. Projects of higher importance include the North-South Railway Project, Metro Manila Subway, Taguig Integrated Terminal Exchange, New Manila International Airport, Bataan–Cavite Interlink Bridge, PanayGuimaras-Negros Island Bridges.

Apart from large infrastructure construction, let’s look at the number of construction permits issued by the Philippine government (Figure 12) The number has generally been rising year by year in the past five years. Although the number in 2023 dropped to the level of 2021, in Figure 13, the value of the Philippines' construction market has continued to rise in the past three years, reaching a scale of US$65.2 billion in 2023, showing that the momentum of the country's construction market is still going strong. The demand for construction fasteners is also expected to climb.

GDP, PMI

Philippine Statistics Authority announced that the Philippines’ economic growth rate in Q4 2023 was 5.6% (Figure 14) , the same as the annual growth rate, only second to Vietnam at 6.7%, and even surpassing China at 5.2% and Malaysia at 3.4%. Arsenio Balisacan, Secretary of the Philippine National Economic and Development Authority (NEDA), said that although the full-year economic growth fell short of the government’s target of 6-7%, the country remains one of the best-performing economies in Asia. The minister said the government adheres to the growth target of 6.5 to 7.5% this year and will encourage the expansion of the construction and agricultural sectors in the future.

Fig.11

Fig.12

Fig.10

Fig.13

Reminder Before You Go

For decades, the Philippines' power infrastructure has been incomplete. Power outages have occurred from time to time. Those who want to go there to do business or set up factories should take the risk of power outages in the Philippines into consideration.

Fig.15

Copyright owned by Fastener World / Article by Dean Tseng Fig.14

Exploring the Fastening Tools Trade of Poland (2021-2023)

剖析2021-2023波蘭緊固工具貿易

Introduction

Poland's fastening tools sector has experienced significant growth and evolution from 2021 to 2023, driven by technological advancements, trade dynamics, and market innovations. As a pivotal player in the global assembly fastening tool market, valued at over US$ 3 billion in 2020 and projected to reach US$ 4.8 billion by 2031, Poland's trade landscape has played a crucial role in shaping industry growth. This comprehensive analysis explores Poland's integration of smart technologies, increasing demand for fasteners across various industries, and the adoption of battery-powered tools, all within the context of trade dynamics, highlighting key trends, challenges, and opportunities.

Trade Expansion and Market Penetration

Poland's strategic geographical location within Europe has positioned it as a key player in international trade, facilitating market access and expansion. Leveraging its logistical infrastructure and favourable trade agreements, Poland's fastening tools industry has expanded its global reach during the review period. Exportoriented strategies have enabled Polish manufacturers to penetrate new markets, establish strategic partnerships, and diversify their customer base. Participation in international trade fairs and exhibitions has provided platforms for showcasing products, networking, and exploring business opportunities globally. By capitalizing on trade dynamics, Poland's fastening tools industry has enhanced its competitiveness and visibility in the global market, driving sustained growth and market leadership.

惠達雜誌

Technological Advancement and Smart Fastening Tools

Technological advancements have revolutionized the fastening tools market globally, with Poland at the forefront of innovation. The introduction of smart assembly fastening tools, equipped with advanced sensors and connectivity features, has transformed manufacturing processes across industries. In Poland, the adoption of smart tools gained momentum, driven by the need for precision, efficiency, and data-driven insights. These tools offer real-time monitoring, error detection, and performance optimization, catering to the rising demand for premium quality output. Polish manufacturers embraced smart technologies, enhancing operational efficiency, and reinforcing their competitive edge in the global market. By leveraging smart tools, Poland's fastening tools industry positioned itself as a leader in technological innovation, driving market growth and competitiveness.

Increasing Use of Fasteners Across Industries

Poland's fastening tools market witnessed a surge in demand for assembly fasteners across diverse end-use industries, reflecting global trends. From aerospace & defence to automotive, semiconductor & electronics, and construction sectors, assembly fasteners played a vital role in facilitating permanent and temporary joining, easy assembly, and high

load-bearing capacity. Polish manufacturers responded to this demand by ramping up production of fasteners, leveraging cost-efficient manufacturing processes and readily available raw materials. The adoption of assembly fasteners tools for various industrial applications underscored their versatility and reliability, driving their widespread adoption across Poland and beyond. This increasing demand for fasteners fuelled market growth and underscored Poland's significance in the global fastening tools trade.

Battery-powered Tools

Battery-powered tools emerged as a catalyst for market growth and innovation within Poland's fastening tools sector. With a focus on lightweight design, efficiency, and portability, lithiumion battery-powered tools gained popularity among Polish manufacturers and end-users alike. The adoption of cordless power tools surged, driven by the need to enhance efficiency, productivity, and performance across industries. Technological advancements in assembly fastening tools, coupled with the adoption of lithium-ion batteries, propelled market growth, driving demand for battery-powered solutions. Polish companies invested in research and development to develop cost-effective, high-performance tools, aligning with global market trends and reinforcing Poland's position as a leader in fastening tools innovation. By embracing battery-powered solutions, Poland's fastening tools industry continued to drive market growth, meeting evolving industry demands and customer preferences.

Trade Partners Overview

Global Imports and Exports Analysis

From 2021 to 2023, Poland's imports and exports of fastening tools, categorized under HS Code 8207, witnessed fluctuations, reflecting the evolving trade landscape:

Poland's imports of fastening tools experienced a slight decline from 2021 to 2023, indicating potential shifts in sourcing strategies or changes in domestic demand. Despite the decrease, imports remained significant, reflecting Poland's reliance on imported inputs to support manufacturing processes and meet market demand.

Conversely, Poland's exports of fastening tools demonstrated resilience, maintaining relatively stable levels during the review period. This underscores the competitiveness of Polish manufacturers in the global market and their ability to meet diverse customer needs.

Poland's fastening tools sector thrives on robust international trade relationships, with key partners influencing both import and export dynamics. Among these partners, Germany emerges as a paramount player, standing out as the top importer and exporter of fastening tools to and from Poland.

The import data from 2021-2023 reveals significant trends in Poland's fastening tools trade. Germany, as the leading exporter, has consistently supplied a substantial volume of fastening tools to Poland. This trend features the strong trade relationship between the two countries and highlights Germany's pivotal role in meeting Poland's demand for fastening tools.

On the contrary, Poland has been actively exporting fastening tools to various countries, with Germany prominently featured as the top destination. The export data from 2021-2023 demonstrates Poland's capacity to supply high-quality fastening tools to the German market, reflecting the competitiveness of Polish manufacturers in meeting international demand.

The comparison between imports and exports data further underscores the symbiotic trade relationship between Poland and Germany in the fastening tools sector. Germany's position as both the largest importer and exporter of fastening tools highlights the interdependence and mutual benefit derived from trade between the two countries. This close partnership not only strengthens economic ties but also fosters collaboration and innovation within the fastening tools industry.

Looking ahead, the forecast for Poland's fastening tools trade

Industry Focus

with Germany remains promising. With exports to Germany reaching approximately 79.5 million USD in 2023 and imports from Germany totalling around 166 million USD during the same period, the trade relationship is poised for continued growth and collaboration. Strategic implications include the need for further cooperation, investment in technology, and market expansion initiatives to capitalize on emerging opportunities and sustain mutual benefits for both Poland and Germany in the fastening tools sector.

Forecast for 2024 and Beyond

Looking ahead, several factors are likely to influence Poland's fastening tools trade beyond 2023:

1. Market Expansion: With global demand for fastening tools expected to continue growing, Poland's exports are poised to remain robust, driven by increasing market penetration and product competitiveness.

2. Technological Innovation: The integration of smart technologies and the adoption of battery-powered tools are anticipated to accelerate, further enhancing Poland's position as one of the leaders in fastening tools innovation in Europe.

3. Trade Dynamics: Continued focus on trade diversification, strategic partnerships, and market expansion initiatives will be crucial for Poland to navigate evolving trade dynamics and capitalize on emerging opportunities.

4. Regulatory Environment: Compliance with regulatory requirements and adherence to international standards will remain paramount, ensuring Poland's continued access to the global market and maintaining customer trust and confidence.

Sources:

Exports

Conclusion

From 2021 to 2023, Poland's fastening tools sector demonstrated resilience, innovation, and adaptability in the face of evolving trade dynamics and market challenges. By leveraging technological advancements, expanding market reach, and maintaining competitiveness, Poland's fastening tools industry is well-positioned for sustained growth and leadership in the global market. As the industry moves forward, continued investment in innovation, trade diversification, and regulatory compliance will be essential for Poland to seize opportunities and navigate uncertainties, driving economic prosperity and industry excellence for the nation.

Copyright owned by Fastener World

Article by Shervin Shahidi Hamedani

Major Fastener Manufacturing Clusters in India & Their Competitive Strengths

印度主要緊固件聚落及其競爭力

Fastener HS Code: Exploring Key Clusters

India's manufacturing sector is experiencing a significant boom, and the fastener industry plays a crucial role in this growth. Renowned for its diverse product range and cost-effectiveness, India is rapidly emerging as a global player in the fastener market. Indian fastener industry encompasses a wide range of products catering to diverse applications. Here's an overview of some common types of fasteners produced within the clusters and their corresponding HS Codes under the Harmonized System nomenclature for international trade classification:

■ Explanation of the

Tables:

Looking deeper into the tables, we can glean some additional insights:

• Dominance of Iron and Steel: Iron and steel fasteners remain the dominant category in terms of export value, reflecting the established infrastructure and expertise in these materials within the clusters.

• Emerging Importance of Plastics: The high export value of plastic fasteners signifies a growing trend towards lightweight and cost-effective solutions, particularly in construction and consumer goods sectors.

• Specialized Products: The presence of categories like hightensile screws and bolts (HS Code 7318.16) indicates the capability of Indian manufacturers to cater to specific industry requirements for high-performance fasteners.

• Aluminum and Copper: While not as prominent as iron and steel, the presence of aluminum and copper fasteners (HS Codes 7609.00.00 and 7415.33) suggests diversification within the industry to meet specific needs like corrosion resistance or electrical conductivity.

■ The Strength of Unity: Why Clusters Matter

Geographical clusters are a defining feature of India's manufacturing landscape. These clusters bring together manufacturers, suppliers, and supporting industries within a specific region, fostering collaboration, knowledge sharing, and resource optimization. In the fastener industry, clusters offer several key advantages:

• Specialization and Expertise: Clusters enable specialization, where member companies focus on specific fastener types or processes, leading to economies of scale and increased product quality.

• Infrastructure and Logistics Hubs: Clusters often develop shared infrastructure, like transportation networks and warehouses, ensuring efficient logistics and cost reductions.

• Skilled Workforce: Clusters attract and retain skilled labor, creating a readily available pool of talent for fastener production.

• Collaboration and Innovation: The proximity of various players facilitates knowledge transfer, collaboration in research and development, and fosters a culture of innovation.

Industry Focus

■ Fastener Powerhouses: Exploring Key Clusters

India boasts several major fastener manufacturing clusters, each contributing significantly to the industry's growth:

1. Ludhiana (Punjab)

• Dominant Player: Ludhiana reigns supreme as India's largest fastener manufacturing cluster, accounting for an estimated 70% of the national production.

• Strength in Diversity: The cluster caters to a wide range of fasteners, including nuts, bolts, screws, rivets, and washers.

• Cost-Effectiveness: With a strong presence of small and medium-sized enterprises (SMEs), Ludhiana excels in costcompetitive production.

• Challenges: The cluster faces challenges like fragmented production units, limited automation, and potential quality inconsistencies.

2. Jalandhar (Punjab)

• Specialty Focus: Jalandhar complements Ludhiana by specializing in high-tensile fasteners, used in demanding applications like construction and automobiles.

• Modernization Drive: Jalandhar actively embraces modernization, with several units adopting advanced machinery and automation for enhanced efficiency and quality.

• Focus on Exports: Jalandhar plays a critical role in India's fastener exports due to its focus on high-quality products.

3. Jamshedpur (Jharkhand)

• Steel City Synergy: Located within the steel belt of India, Jamshedpur enjoys easy access to raw materials like steel, a crucial advantage for fastener production.

• Large-Scale Production: Jamshedpur houses several large-scale fastener manufacturers, catering to the bulk requirements of major industries like infrastructure and construction.

• Quality Focus: Integrating quality control processes, Jamshedpur ensures its high-quality fasteners meet stringent domestic and international standards.

4. Rajkot (Gujarat)

• Brass Bonanza: Renowned for its brass production, Rajkot has emerged as a significant hub for brass fasteners – a niche segment with increasing demand in various industries.

• Versatility and Innovation: Rajkot boasts a mix of established players and innovative startups, offering a diverse range of brass fasteners along with continuous improvement in product design and functionality.

• Expanding Reach: Rajkot is actively exploring new markets and applications for its brass fasteners, contributing to product diversification within the cluster.

5. Pune (Maharashtra)

• Automotive Advantage: Located in the heart of India's automotive hub, Pune caters specifically to the fastener needs of the automotive industry.

• Focus on Technology: Recognizing the importance of technology in the automotive industry, Pune is actively adopting advanced manufacturing processes for improved precision and performance of fasteners.

Beyond the Clusters: Additional Strengths of the Indian Fastener Industry

The success of India's fastener industry extends beyond its clusters. Here are some additional key strengths:

• Cost Competitiveness: With lower labor costs and efficient production processes, Indian fastener manufacturers offer competitive pricing compared to other major producers.

• Government Support: Government initiatives like "Make in India" promote domestic fastener production, boosting production capabilities and export potential.

• Growing Domestic Demand: India's booming infrastructure development, construction sector growth, and expanding automotive industry significantly increase domestic demand for fasteners.

Challenges and Opportunities for Continued Growth

Despite its strengths, the Indian fastener industry faces some challenges:

• Quality Control: Ensuring consistent quality across the entire industry remains an ongoing effort, particularly in some clusters with a fragmented structure.

• Technology Adoption: While modernization is gaining traction, wider adoption of automation and digital technologies is crucial for enhanced efficiency and international competitiveness.

• Skilled Workforce Development: A focus on training and skill development programs is necessary to cater to the evolving needs of the fastener industry and future-proof the workforce.

• Sustainability Concerns: Implementing sustainable practices throughout the manufacturing process will become increasingly important to attract environmentally conscious customers and comply with regulations.

• Collaboration and Specialization: Pune fosters strong collaboration between fastener manufacturers and automotive companies, leading to the development of specialized fasteners for specific vehicle models.

Opportunities for the Future

Despite these challenges, exciting opportunities lie ahead for the Indian fastener industry.

• Market Diversification: Expanding exports beyond traditional markets and exploring new applications for fasteners can drive growth.

• Innovation and Specialization: Developing niche products and focusing on high-value fasteners will cater to specific industry requirements and enhance profitability.

• Building Brand Recognition: Investing in brand building and quality certifications can establish Indian fasteners as a reliable and trustworthy source in the global market.

• Industry 4.0 Integration: Embracing Industry 4.0 principles, such as automation, data analytics, and the Internet of Things (IoT), will significantly improve efficiency, productivity, and quality control.

• Environmental Regulations: As environmental regulations become stricter globally, Indian fastener manufacturers can gain a competitive edge by adopting eco-friendly production processes and using recycled materials.

• Focus on R&D: Investing in R&D allows for the development of new and improved fasteners with enhanced performance characteristics, catering to the evolving needs of various industries.

• Collaboration Between Industry and Academia: Stronger collaboration between academic institutions and the fastener industry can foster innovation and ensure a steady stream of skilled professionals for the future.

Conclusion

India's fastener manufacturing industry stands on a solid foundation, underpinned by strong clusters, a diverse product range, and cost competitiveness. By addressing existing challenges and capitalizing on emerging opportunities, the industry is poised to further strengthen its position on the global stage. With a focus on continuous innovation, market diversification, and sustainable practices, Indian fastener manufacturers are well-equipped to become a dominant force in the global market, making a significant contribution to India's "Make in India" vision.

Copyright owned by Fastener World

Article by Dr. Sharareh Shahidi Hamedani, UNITAR International University

Causes of Torque and Tension Variables

The past several articles have dealt with the theory and application of torque to various industries for achieving the proper preload and bolt tension in joints. However, as we well know, results are not always consistent as there are variables involved that will cause assembly errors; some are human, others are not.

There are two major factors which affect joint preload and tension:

Torque, which is a function of friction, because anytime there is a change in rotational friction within the joint during assembly, preload and tension will be lost or drastically changed.

Embedment will cause an initial decrease in clamp load, then a gradual decrease over time. It will also cause an increase in rotational friction during assembly.

Other joint factors include:

Materials/Grade:

This would include all components of the assembly; nut, bolt, washer and joint material. Are all components compatible? Is the bolt grade the proper strength for the joint material and does it match the other bolts in the connection?

Having the incorrect joint material would mean that the bolting components would embed themselves into the material and lose clamp load during installation and continuing with repetitious service loads on the joint.

The strength of the nut must be able to support the load of the bolt. Nuts come in many different grades and dimensions to provide the support to the bolt. If the nut

cannot support the load of the bolt, the internal threads of the nut will deflect and the nut will dilate against the joint surface causing an increase in thread friction and weakness of the threads.

Flat washers may or not always be used on some applications but it is advisable to use at least one, if not two, washers when tightening the nut or bolt; one under the nut and the other under the bolt head. For one, the washer provides a smooth and consistent surface for the bolt or nut to rotate against while tightening. Washers should not be stacked unless it is a specially designed washer, as this will lead to joint relaxation.

Washers are made in different grades and sizes. Using a smaller washer than its recommended inside diameter for the bolt diameter will cause a stress load on the bolt head from contacting the fillet radius of the bolt head, which could later cause the bolt head to separate. The SAE flat washer provides the proper inside diameter to fully support the washer face, or bearing surface, of the bolt, whereas the inside diameter of the USS washer is too wide and will not provide full contact with the washer face.

Structural washers (F436) are graded as to their hardness and capability of supporting high strength bolts without embedment. Most ‘standard’ commercial washers are made from low carbon steel which will quickly compress under the load of a heat treated bolt. Check the hardness, it should be heat treated to 38 – 45 HRC and be used with grade 5 (8.8) and stronger bolts.

The manufacturing of bolts has been fairly error proof with inprocess inspections as well as final inspections and other quality measures to monitor heat treatment and check for gouges, bursts, surface roughness and perpendicularity. Therefore, a bolt that has an interference fit with the hole in the joint is a human error who did not make the correct size hole.

There is always the chance for threads to nick. This will be the result of how the bolts are transferred from one area to another. Many

‘green’ bolts are dumped into containers, then loaded into hoppers for the heat treating conveyor belts. From there they continue to the quenching operation to another container where they may go out for surface treatments.

Plating, Coatings:

If the bolt is electroplated, the thread crests will have a greater amount of deposited material than any other part of the bolt due to the “Christmas tree’ effect. The nut is also affected by this phenomenon as the first lead thread will receive more plating deposit than the rest of the threads. This leads to a situation where a small thread nick on the bolt could prevent the nut from being threaded onto the bolt when you factor both areas of build-up.

Consider the type of coatings and keep them consistent on all parts. Electrodeposited coatings include zinc, zinc alloy, nickel and cadmium. Zinc phosphate is by immersion or spraying and provides some minimal level of corrosion resistance. Hot dip galvanizing is done by immersion of the parts into a molten zinc bath which coats the parts as they are dragged through the bath. Due to the temperatures of the molten zinc, the hardness of the product subjected to the molten zinc is limited to prevent annealing of any hardened parts. The heavy hot dip coating provides maximum outdoor service against normal atmospheric corrosion. Mechanical zinc coating is a slightly thinner coating and is performed by immersion of the parts in a slurry of zinc metal flakes which are impinged onto the parts by glass or ceramic beads.

Organic or zinc-rich dip-spin coatings are available in various thicknesses according to the type of corrosion resistance required. Many will exceed 1,000 hours of salt spray resistance. The increased resistance is provided from a variety of top coatings. Therefore, a product may have several coating thicknesses which need to be considered when mating it with certain thread types. Sometimes nuts may have to be overtapped or tapped after coating.

Every different type of surface finish will provide a unique ‘k’ factor. This is what determines the friction variables in the torque output. The ‘k’ will vary from 0.05 to 30.0, depending upon the type of oil used, wax coatings, top coats, heat treat scale, thickness, etc.

Upper and Lower Surfaces:

The joint material must be able to withstand the type and strength of fasteners used. Naturally, if the materials are too soft or too thin to support the preload of the fasteners, embedment will occur that can lead to fatigue failure of the fasteners.

For new joint assemblies; are the materials compatible to avoid galvanic reactions? Will the design of the joint allow for complete drainage to avoid standing water? Are the materials flat? Have the materials been painted or coated which may affect joint slippage and shear factors?

When a bolt replacement or joint repair is necessary, inspect the joint for corrosion. Is there any corrosion or other compressible material between the joint that will affect clamp load? Keep the area under the bolt head and nut clean and free from surface contaminants.

Tapped and Hole Clearance:

Is the entrance to the bolt hole clean and free from burrs, metal shavings and other debris? Is there cutting or tapping fluid present that may affect torque? Too much cutting fluid left inside a tapped hole will prevent a cap screw from being properly tightened. The end of the cap screw will be tightened against the oil and not the joint.

If a cap screw has broken inside a tapped hole, check for thread deformity or other damage from the breakage. It is always a good idea to retap the threads.

Lubricants:

This would include any viscous material or chemical locking compound on or around the fasteners. All oils are lubricants; their viscosities will determine their ‘k’ number for torque. All locking chemicals are lubricants. This includes the ones purchased with dry chemicals already applied to the threads and to the liquid chemicals which are to be applied by the user. The viscosity of the liquid locking chemicals change by how fast they set up, which affects the torque output as they are being tightened.

Depending upon the torque applied and size of the bolt, the amount of an applied lubricant can affect the torque. Lubricants should be placed only on the threads. Too much under the bolt head or against the nut and washer will affect the torque.

Temperature:

An increase in operating temperature for most lubricants will decrease their effectiveness. In this case, metallic based lubricants are the most effective because if the carrier evaporates, there are enough metal particles left to keep the part lubricated for easy disassembly and to keep it from ‘freezing’ in place within highly corrosive environments. Molecules expand with heat and contract with a cold ambient temperature. If the temperatures are different from installation to operating, make the proper adjustments. Each material, from the bolt to the joint, has its own coefficient of thermal expansion rate.

Contaminants:

Corrosion products, excessive sealants, locking compounds, dirt, debris, and metal shavings (tapped holes), will all increase or decrease friction. Keep the components clean and free of contaminants.

Be Consistent:

As with any assembly, consistency with all factors will yield favorable and repeatable results.

There are more variables to discuss that have to deal with how the bolts are installed. That will be for the next article.

Trend Analyses of Vietnamese Fastener Industry

1. Introduction

Since Vietnam launched a reform and opened its own market in 1986, it has gradually been connecting with the global economy. It promulgated the Foreign Investment Law in 1987, joined the WTO in 2007, and has gradually transitioned from a centrally planned economy to a marketoriented economic system. Although the complex global political and economic landscape has impacted most economies in recent years, Vietnam's GDP still grew at a rate of 5.05% in 2023, its manufacturing output grew 3.02%, and its trade surplus reached a record high of US$28 billion. Vietnam effectively leverages structural changes in global trade to support its GDP growth and benefits from the shift in global supply chains. International companies such as Apple and Samsung Electronics are expanding their manufacturing and R&D activities in Vietnam.

The reason why Vietnam is one of the world's important manufacturing and export centers is that as of 2023, Vietnam has signed 15 FTAs with important trading partners, including Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), Regional Comprehensive Economic Partnership (RCEP), EU-Vietnam Free Trade Agreement (EVFTA), and agreements signed by the Association of Southeast Asian Nations (ASEAN) with China, Japan, India, South Korea, etc. Vietnam’s political stability and relatively low production costs and land rents increase the country’s competitive advantages. This article begins from Vietnam’s fastener import and export to explore whether the export-oriented Taiwan fastener industry has opportunities to make the most of Vietnam’s advantages in global economy, trade and geographic

location in order to expand the global deployment of Taiwan fastener industry. From there, this article provides analyses and suggestions.

2. Global Import and Export of the Fastener Industry in Major ASEAN Countries

(a)

Import Analysis

Table 1 shows the trend of major ASEAN countries importing fastener products from the world from 2019 to 2022. The top three fastener-importing ASEAN countries were Thailand (approximately NT$32.94 billion), Vietnam (approximately NT$21.77 billion), and Malaysia (approximately NT$18.02 billion). Although the volume produced and sold by Vietnam on its own is a factor that has to be considered in pinpointing domestic demand, the import trend reflects Vietnam’s demand for fastener products. Over the years, Thailand has been the largest importer of fasteners in ASEAN, accounting for about 30% of imports by ASEAN countries. The fastener imports of major ASEAN countries all had positive growth. In the past four years, fastener importing countries with the highest compound growth rates were Malaysia (15.3%), Philippines (11.3%), and Vietnam (8.3%).

(b) Export Analysis

Table 2 shows the major ASEAN countries exporting fastener products to the world from 2019 to 2022. The top three ASEAN countries exporting fastener products were Vietnam (approximately NT$20.28 billion), Thailand (approximately NT$19.86 billion) and Singapore (about NT$10.99 billion). Vietnam, the largest fastener exporter in ASEAN, had a compound growth rate of about 14.4 % in the past four years, accounting for nearly 30% of exports from ASEAN countries. Thailand and Vietnam have been equally matched in fastener export for many years, but since the compound growth rate of Vietnam's fastener export is much higher than that of Thailand, it is roughly determined that Vietnam will set out to become the largest fastener exporter in ASEAN. The global fastener export of major ASEAN countries grew except for the Philippines. The top three ASEAN countries with the highest compound growth rates of fastener export in the past four years were Indonesia (14.8%) , Vietnam (14.4%), and Thailand (6.9%).

3. Current Development of Vietnamese Fastener Industry

(a) Vietnam’s Performance in the Global Fastener Market

Table 3 shows the import and export trade of Vietnamese fastener industry with the world and Taiwan from 2018 to 2022. In 2022, Vietnam’s import value of fasteners from the world were US$731 million (approximately NT$21.77 billion). The compound growth rate over the past five years was 5.7%, and the value of

1. Major ASEAN Countries Importing Fastener Products from the World from 2019 to 2022

Table 2. Major ASEAN Countries Exporting Fastener Products to the World from 2019 to

fasteners exported to the world was US$681 million (approximately NT$20.28 billion), with the compound growth rate over the past five years at 9.7%. On Taiwan’s fastener trade with Vietnam, Taiwan’s export to Vietnam increased year by year from US$53 million to US$59 million (approximately NT$1.76 billion) from 2018 to 2022, with a compound growth rate over the past five years at approximately 2.4%. However, the export share dropped from 9.1% to 8.0%, and the compound growth rate of the share dropped 3.2%, indicating that competitors are gradually encroaching on Taiwan’s share in Vietnam.

(b) Vietnam's Fastener Trade Partners and Trade Value Proportions

Table 4 shows the top 10 fastener trading partners with Vietnam in 2022. in terms of import, the top three import sources for Vietnam were China (US$358 million, accounting for 49%), Japan (US$120 million, accounting for 16.4%), South Korea (US$88 million, accounting for 12.1%). Taiwan was Vietnam’s fourth largest source (US$59 million, accounting for 8%). China alone accounted for nearly 50%. The top 10 import sources accounted for more than 95%, indicating a highly concentrated market structure. In terms of export, Vietnam's top 3 fastener export destinations were Germany (US$135 million, accounting for 19.8%), the United States (US$119 million, accounting for 17.5%), and Japan (US$75 million, accounting for 11%). The top 10 export destinations accounted for nearly 80% of the total, which also indicates a highly concentrated market structure.

Table

Table 3. Import and Export Trade of Vietnamese Fastener Industry with the World and Taiwan from

Industry Focus

(C) Vietnam’s Import of Various Fastener Products

Table 5 shows Vietnam's fastener import from the world by product category from 2019 to 2022. The values and compound growth rates of the top 3 fastener categories imported by Vietnam from the world in 2022 were: other iron or steel screws and bolts (US$277 million, 37.9%), other iron or steel washers (US$116 million, 15.8%), and iron or steel nuts (US$98 million, 13.4%). In the past four years, the proportion of the top 5 imported fastener products (all of which being critical items) accounted for nearly 90%. The top 3 fastener products with the highest compound growth rates in the past four years were iron or steel self-tapping screws (27.4%), other iron or steel screws and bolts (15.1 %), iron or steel springs and lock washers (11.8%).

Table 4. Top 10 Fastener Trading Partners with Vietnam in 2022

Data source: Compiled by

Table 6. Vietnam's Fastener Export to the World by Product Category from 2019 to 2022

(D) Vietnam’s Export of Various Fastener Products

Table 6 shows Vietnam's fastener export to the world by product category from 2019 to 2022. The values and compound growth rates of Vietnam’s top 3 fastener products exported to the world in 2022 were other iron or steel screws and bolts (US$434 million, 63.7%), iron or steel self-tapping screws (US$0.53 billion, 7.7 %), iron or steel wood screws (US$49 million, 7.2%). Other types of iron or steel screws and bolts were the top export items, and their export values far exceeded those of iron or steel self-tapping screws which ranked second in export. The top 3 fastener products with the highest compound growth rates in the past four years were other iron or steel threaded products (38.1%), steel rivets (36.8%), and iron or steel automotive screws (36.5%). Although the export value of some items was not high, the high compound growth rate could mean that Vietnam’s product quality and production efficiency has improved, and that overseas customer demand is steadily increasing. These factors are worth the attention.

4. Current Development of FastenerRelated Industries in Vietnam

(a) Foreign Investment in Vietnam and Status of Fastener-related Industries

Foreign investment and fastener-related industries in Vietnam include local infrastructure, motor vehicles and components, metal processing, electronic appliances, construction industry, etc. The main sources of foreign investment and fastener-related fields in Vietnam are Japan (motor vehicles and machinery), China (motor vehicles), and the United States (vehicle-related metal machinery and electrical appliances industry); distinguished by geographic location, metal processing is located in North Vietnam, Central Vietnam is largely represented by Formosa Ha Tinh Steel plant, and steel and motor vehicle components are located in South Vietnam. In addition, the fastener-related industries invested by Taiwanese businessmen in Vietnam include steel, non-ferrous metal materials, metal products, construction, etc., most of which are conventional small and medium-sized manufacturing industries.

(b) Fastener-related Infrastructure in Vietnam

The infrastructure projects expected to be built in the "2021-2025 Five-Year Plan" launched by the Vietnamese government in 2021 include building 9 new railways (including high-speed railways), updating 7 railways, and building and expanding dozens of highways. Ho Chi Minh City alone is expected to build approximately 454 kilometers of highways, ring roads, national highways and large bridges, with a total investment of US$11.5 billion. In terms of industrial parks, 61 of Vietnam's 63 provinces and cities establish industrial parks and economic zones, including 403 industrial parks, 18 coastal economic zones, and 26 port economic zones, of which Dong Nai Province has the largest number of industrial parks and is continuing to increase and improve related facilities. In the next five years, the Vietnamese government will invest more than US$139 billion in building stations, airports, ports, highways, railways, power plants and other infrastructure.

5. Conclusion

There is a gap between Vietnam and Taiwan in economic development. Taiwan's fasteners have long been mainly exported to European and American countries, and Vietnam is not one of the main export destinations for Taiwan’s fasteners. However, Vietnam has geographic advantages and possesses the tarifffree advantage under global FTAs. Vietnam has many potential industries for future development. The following are suggestions for the development of Taiwanese fastener manufacturers in the Vietnamese market:

(a) Get in line with the Vietnamese government's industrial development policy: In addition to the huge demand for Vietnam's future infrastructure construction mentioned above, the "Socioeconomic Development Strategy from 2021 to 2030" launched by the Vietnamese government will focus on AI, semiconductors and automobile industries. The government will also construct facilities and digital infrastructure involved with digital economy and smart cities (mainly Ho Chi Minh and Da Nang). These are the potential markets that Taiwanese fastener companies can further study in the future.

(b) Use Vietnam as a test ground to connect with the world: The primary production lines of Taiwanese fastener industry are all located in Taiwan. It is unlikely for Taiwanese companies to move their primary fastener production lines to Vietnam. However, Vietnam has the advantages of connection with the international market and tariff-free export; and therefore, Taiwanese fastener companies can think about making Vietnam a test ground for trial production of small quantities of various fastener products for international manufacturers. In addition to connecting with international manufacturers and gaining orders, and supplying local demand nearby, they can bring market intelligence, production experience and know-how back to Taiwanese fastener industry.

(c) Hop on Vietnam's carbon reduction trend to expand the market: The Vietnamese government's Environmental Protection Law, which has come into effect since 2022, proposes reducing carbon emissions and developing a carbon trading market to make way for EVs to become Vietnam’s transportation vehicles. Vietnam sells 50,000 to 60,000 units of EVs (excluding electric bicycles) annually. Taiwan is more technologically experienced in EV than Vietnam and has more vehicle components and battery manufacturers. Therefore, Taiwan has a competitive edge breaking into the Vietnamese market. Taiwanese fastener manufacturers can think about supplying critical EV components, EV fasteners and fastening tools in Vietnam, collaborating with Vietnamese EV companies to develop the local market.

(d) Integrate the industrial chain of Taiwanese companies in Vietnam: Taiwanese fastener companies can cooperate with local Taiwanese businessmen to integrate the upstream and downstream industrial chains, and produce low-tech, labor-intensive products in Vietnam through technical collaboration or joint ventures, and ship them back to Taiwan to assemble and re-export, taking advantage of international division of labor.

Copyright owned by Fastener World Article by Dr. Arthur Hsu

Fastener Trade Statistics of USA/Canada/Japan/ Taiwan/Brazil in 2023

USA

(in million USD), in descending order according to figures of 2023

Import Export

Source: U.S. ITA of Department of Commerce

Import

U.S. imports of fasteners from the world grew from US$6.029 billion in 2021 to US$7.732 billion in 2022, but declined significantly in 2023 (still above the 2021 level). Taiwan has been the largest fastener import source for the U.S. in the past several years. U.S. fastener import from Taiwan in 2023 reached US$2.213 billion, well ahead of China in the 2nd place at US$1.084 billion. Japan was the third largest source of imports, but its scale was only about 1/2 of China and 1/4 of Taiwan. These top three sources of imports all performed slightly worse in 2023 than their records in 2021.

Canada

Export

Over the 2021-2023 period, U.S. exports to its top 10 fastener partners were all on a growth trend. The overall fastener export grew from US$4.159 billion in 2021 to US$4.787 billion in 2022 and then rebounded to US$5.447 billion in 2023. According to the data, more than 60% of U.S. fastener exports went to Mexico and Canada. 1.936 billion U.S. dollars of fasteners were exported to Mexico in 2023 and 1.355 billion U.S. dollars were exported to Canada. The third largest export partner was China, but its size was only US$275 million.

(in USD), in descending order according to figures of 2023

Import Export

Source: Canada.ca

Import

Canada's global imports of fasteners have grown significantly over the past three years, climbing from US$1.641 billion in 2021 to US$1.979 billion in 2023, making the Canadian fastener import market about one-fourth that of the U.S. Its main sources of fasteners were the U.S., China, and Taiwan, with the U.S. accounting for nearly 50% of Canada's fastener imports, indicating that it relies heavily on the U.S. fastener supply chain. As for the amount of fasteners imported from China and Taiwan, the two sources are comparable, and the respective amounts of fasteners imported from China and Taiwan in 2023 were between 270-280 million U.S. dollars.

Taiwan

Export

Canada is a fastener import-oriented country, and its fastener export value is much lower than that of the U.S. However, looking at the past three years, Canada's fastener exports still showed a slow growth trend, which increased from US$521 million in 2021 to US$644 million in 2023. The U.S. was also Canada's largest fastener export partner, accounting for more than 80% of its total fastener export, while the second largest export partner was Mexico, followed by Germany in the third place.

in descending order according to weights of 2023

Import

Source: Bureau of Foreign Trade (Taiwan)

HS 7318 Screws, bolts, nuts, coach screws, screw hooks, rivets, cotters, cotter pins, washers (including spring washers) and similar articles, of iron or steel

Import

As one of the world's most important sources of fasteners, Taiwan, in addition to its huge volume of fastener export, its own annual import of fasteners is about 20,000 tons (equivalent to about US$200 million). Its top 3 major sources of fastener imports were Japan, China and Vietnam. Its overall fastener import in 2023 increased slightly, but the value of import showed a downward trend.

Export

The year 2023 was indeed tough for many Taiwanese fastener suppliers, as their total export volume of fasteners in that year was only 1.23 million tons. Compared to 1.61 million tons in 2021 and 1.6 million tons in 2022, the result in 2023 showed a significant decline. In terms of value, Taiwan exported US$5.319 billion of fasteners in 2021, US$6.14 billion of fasteners in 2022, and only US$4.6 billion of fasteners in 2023, which is about 25% less than the performance in 2022. Its top 3 export partners were the U.S., Germany and the Netherlands, and these three countries accounted for more than 60% of its export volume, showing that Taiwanese fastener suppliers still consider the European and American markets their main export targets.

Import

Japan imports about 300,000 tons of fasteners from the world every year, and in terms of value, it is about 110 billion to 150 billion Japanese yens per year. In 2022 Japan's fastener imports in terms of volume and value showed growth, but like many countries, in 2023 the scale of import started to shrink significantly. In terms of weight, the top three sources of imports in 2023 were China, Taiwan and Vietnam, with China accounting for nearly 70% of Japan's fastener imports and Taiwan accounting for about 20%.

Export

Japan's fastener export scale is slightly larger than its import scale, and its fastener export volumes in the past three years were between 300,000350,000 tons, showing a declining trend year by year. Nevertheless, the value of Japan's fastener exports still showed a slight growth curve, which increased from 324.9 billion Japanese yens in 2021 to 338.9 billion Japanese yens in 2023, indicating an increase in the unit price of exported fasteners. According to the data, most of Japan's fasteners were exported to the U.S., China, Thailand, Indonesia, India and Mexico, which may be related to the fact that many Japanese manufacturers have set up factories in these countries, thus boosting the demand for Japanese fasteners.

in descending order according to weight of 2023

Import

Over the past three years, Brazil's fastener import scale grew from 189,000 tons in 2021 to 192,000 tons in 2022, and then dropped to 173,000 tons in 2023. In terms of value, its import value was around US$884 million in 2021, and grew to US$921 million in 2023, though still lower than US$998 million recorded in 2022. The top 3 major import sources were China, Italy and Japan in that order. More than half of the fasteners came from China. Taiwan ranked as the sixth largest source of fasteners imported into Brazil, with an import volume of around 6,000 tons in 2023.

Source: http://comexstat.mdic.gov.br/en/geral

Import

Export

Brazil's fastener export scale is not large and has been declining over the past three years. It slipped from 50,000 tons in 2021 to 30,000 tons in 2022 and then dropped to 26,000 tons in 2023. Interestingly, however, in terms of value, Brazil's fastener export value has been growing year-on-year. Over the past three years, the value of fastener exports has grown from US$138 million in 2021 to US$170 million in 2023, indicating that the unit price of exports has shown signs of improvement. The top 3 export partners were Argentina, Paraguay and the U.S. Seven of its top 10 export partners are American countries.

Copyright owned by

World / Article by Gang Hao Chang, Vice Editor-in-Chief

on-year growth of 9%. These figures fully demonstrate that the momentum of the automobile manufacturing industry in Europe and neighboring countries is slowly picking up.

In Russia, Ukraine, and Central Asian countries, Russia's vehicle production in 2023 significantly reduced by more than 50% compared to the 2021 figure, and Ukraine shrank from more than 7,000 to less than 2,000 vehicles. However, Uzbekistan, Kazakhstan and Azerbaijan all showed significant growth over 2021.

The Americas, the world's 2nd largest automobile production region, grew from about 16 million units in 2021 all the way to more than 19 million units in 2023, an 8% increase from 2022. In North America, although Canada had the largest year-on-year increase; however, in terms of volume, more than 90% of production was still concentrated in the U.S. and Mexico. The overall production in South America was below 3 million units, with no significant year-on-year change. Brazil is the largest producer of automobiles in

South America, with production of more than 2.3 million vehicles in 2023, which still showed a slight year-on-year decline of 2%. Argentina and Colombia rank 2nd and 3rd respectively.

The Asia-Pacific region is the world's largest automobile production region, with its production volume rising from over 46 million units in 2021 to over 50 million units in 2022, and surpassing the 55 million-unit mark in 2023, representing a 10% year-on-year increase. The top 5 automobile producing countries were China (more than 30 million vehicles), Japan (nearly 9 million vehicles), India (about 5.9 million vehicles), South Korea (more than 4 million vehicles) and Thailand (nearly 1.9 million vehicles). Among the top 5 countries, except for Thailand, which experienced a slight decline compared to the year before last, the other countries still maintained positive growth. In addition, Indonesia in ASEAN and Iran in the Middle East also showed a production scale of more than one million units of strength. Malaysia's production volume was less than one million, but still had a 10% growth year-on-year.

Africa's production, though small compared to other regions, was still over a million units

CARS: Audi, BMW, JLR, Mercedes not reported COMMERCIAL

Scania, Daimler Trucks, Volvo Buses

Industry Focus

Audi,

in size and grew by around 15% year-on-year to 2023. Automobile production in the region was concentrated in South Africa and Morocco, with more than 600,000 and 500,000 vehicles respectively. Egypt, on the other hand, had no published data on vehicle production between 2021 and 2023.

Overall, Europe's automobile production rebounded the most significantly. Except for the Americas, where growth did not reach more than 10%, all other regions saw at least 10% growth, indicating that the outlook for global automobile production remains favorable.

Europe Leads Americas, Asia in Sales Gains / Automotive Market Remains Robust

The car sales of Europe (plus the UK) and their production can be said to be very close, which were about 17 million units in 2021, a short decline to about 15 million units in 2022, and a substantial growth of 18.7% to nearly 18 million units in 2023. The top 5 countries in terms of sales were Germany, the UK, France, Italy, and Spain. Except for Germany, the other four countries all had an yearover-year increase of at least 10%. Among all European countries, only Norway showed a 21% decline and Hungary showed less than 1% increase, while all the other European countries showed significant growth.

Turkey 's sales grew by more than 55% in 2023, dramatically increasing to nearly 1.3 million units. Its sales were just under a million units in 2021 and 2022.

In Russia and Ukraine, the data showed a significant decline in sales in 2022, but a significant growth has already begun since 2023, reaching more than 1.3 million and more than 700,000 units of vehicles, respectively.

The Americas is the world's 2nd largest market for automobile sales, only second to the Asia-Pacific region. Its sales in the past three years all crossed the mark of 20 million units and reached more than 23 million in 2023, an year-on-year increase of 11.4%. In North America, unlike Mexico, which also accounted for a large share of the region’s production data, sales were almost exclusively within the U.S., with less than 2 million units sold in both Mexico and Canada. In the Central and South American region, sales were between 3.8 million and 4.1 million units, a slight increase of about 2.8% over the previous year. Brazil alone accounted for more than half of the region's sales, followed by Argentina and Chile with only about 300,000-400,000 units, respectively. Sales in Chile and Colombia both contracted by almost 30%.

CARS:

BMW, JLR, Mercedes not reported COMMERCIAL VEHICLES: SINCE 2015Q1: Scania, Daimler Trucks, Volvo Buses not reported Estimate

: Not Available

Asia-Pacific/Oceania/the Middle East are the world's most important automotive sales regions. The overall sales grew from around 44 million units in 2021 to more than 50 million units in 2023, a year-on-year increase of 10.2%. The region alone accounted for about 55% of the global sales. The top 5 countries with the highest car sales were China (more than 30 million units), India (more than 5 million units), Japan (nearly 4.8 million units), South Korea (about 1.8 million units), and Australia (about 1.2 million units). Among these five countries, the year-on-year ratios of China, Japan and Australia were all over 12%. It is worth noting that the sales of ASEAN countries declined marginally by 0.1%, with only the Philippines, Malaysia and Vietnam showing growth of 16.4%, 9.2% and 2.6% respectively, while the other ASEAN countries were all in a decline. In the Middle East, Saudi Arabia, the UAE and Israel all posted sales growth of more than 20%.

Africa's sales, similar to its production, reached only about 1 million units in size, with a slight decrease of 2.4% year-on-year in 2023. South Africa alone accounted for more than half of the region’s total sales, and its sales in 2023 were up slightly by 3.4% year-on-year. Morocco and Egypt, which rank 2nd and 3rd, had sales of only 160,000 and less than 100,000, respectively, making their market sizes less influential.

Overall, Europe's automobile sales growth was significantly higher than those of the Americas and Asia, but all these three regions showed growth, with only a small contraction in Africa. This shows that in 2023, the automobile sales activities in Europe, America and Asia continued to be active.

Summary

Acc ording to the aforementioned data, the current global automobile production and sales still maintain a trend of positive development, and if the general environment does not change and there are no other major external factors to make any impact, the 2024 global automobile production and sales should be very likely to approach or even exceed the 100 million units mark.

In recent years, many Chinese, Japanese, European and American automakers have started to invest more resources in R&D of new vehicle models (such as electric vehicles, hybrid vehicles, new energy vehicles, etc.) in the hope of stimulating consumers' desire to buy and stimulating the market. Coupled with the fact that the average replacement cycle of automobiles is generally around 5-10 years, it is estimated that with the support of these favorable factors, automotive peripheral related components and fastening components suppliers should also be able to get some orders under the trend of growing demand.

Registrations or Sales of New Vehicles - All Types

e exc h a nge r a t e c o nve r sion b e t we e n USD a n d N T D, t h e ex p o r t va lu e i n 2019 was N T D 87.482/ KG, a nd i n 2023 it was N T D 114.661/ KG, a nd t he sa les va lue/ KG i ncreased by 31.0 68%, t ha n ks to t he depre ciat ion of N T D i n 2022 , wh ich act

Table

1. Taiwan's Steel Fastener (7318) Export Statistics from 2019 to 2023

1. US-China Trade War Began

2. The Hong Kong’ s Anti-Extradition Law Amendment Bill Movement

1. China-U.S. Trade War Continues

2. Covid-19 Outbreak Spread Worldwide

3. Britain formally left the European Union

1. China-U.S. Trade War Continues

2. Joe Biden assumed the 46th U.S. President

1. China-U.S. Trade War Continues

2. Europe imposed AD duties on Chinese fasteners

3. Russia-Ukraine war began

4. Nancy Pelosi visited Taiwan

5. Chinese military exercises around Taiwan and its missiles flied over Taiwan

6. RCEP agreement came into force

7. OpenAI's AI Chat Robot ChatGPT was officially launched.

1. The U.S.-China trade war continues

2. U.S. inflation caused bank interest rates to rise sharply.

3. Silicon Valley Bank (SVB) went bankrupt after a run on the bank

4. Israel-Hamas War began.

5. 28th Conference of the Parties to the UN Framework Convention on Climate Change (COP28)

industry was not affected by the Covid-19 in 2021 and 2022. Instead, it has hit a peak in recent years, with both export volume and output value hitting record highs. Compared to the golden two years in 2021 and 2022, 2023 was a relatively difficult year for Taiwan fastener industry to operate and this situation also continued to Q1 2024. Externally, Taiwan fastener industry is faced with Europe's continued economic downturn, U.S. inflation and high bank interest rates, Russia and Ukraine's ongoing war, and Israel-Hamas War that has yet to end. Domestically, it is faced with the fact that Taiwan’s DPP does not hold a majority of seats in the new Congress, the realization of the DPP's 2025 nuclear free homeland policy, the pressure of rising electricity costs, whether cross-strait relations will remain stable after President-elect Ching-Te Lai takes office, as well as the competition from emerging countries in Southeast Asia, and the European CBAM, etc., Taiwan fastener industry is facing the pressure of having to change, and in 2022, OpenAI's AI ChatGPT was officially launched, and in 2023 the world officially entered the era of AI, which is the beginning of a new business transformation. Will AI have an impact on the future industry and how? Taiwan fastener industry should definitely know!

Artificial Intelligence (AI), also known as machine intelligence, refers to the intelligence expressed by a human-made machine. AI can be defined as a machine or computer that imitates human cognitive functions related to human thinking, and AI has the ability to learn and solve problems on its own. A computer has the ability to sense its environment and interact with it, which improves the chances of success of the function, and AI is able to learn from past experiences, make reasonable decisions, and respond quickly, and under the learning function, AI is able to correct its mistakes, and gradually achieve the ability to work towards perfection.

In the article "How Taiwan Fastener Industry Should Use Smart Production to Improve Operating Capabilities" in the #197 issue of Fastener World Magazine in 2022, I described the 1st Industrial Revolution at the end of the 18th century, in which human beings got rid of the limitations of manpower and animal power, and used water and steam as the motive power for production and transportation. The 2nd Industrial Revolution in the 1920s, in which the development of the electric power system was carried out, utilized electricity to replace water and steam as the power source of production, and entered the stage of utilizing machines for production. In the 1970s, the 3rd Industrial Revolution began to enter the era of production automation and precision, using electronic devices and IT to increase production capacity, turning purely mechanical products into mechanicalbased, supplemented by motors, electronics and computers that can be programmed to set up the operation of machinery and vehicles. Industry 4.0, proposed at the Hannover Messe in 2011, is a big step forward in intelligent perception. The proposal provides a complete description of how to combine massive database operations, Internet of Fig. 1. Screws bring hope

Item

1 ChatGPT

2 Bing Image Creator

3 Claude AI

4 Capcut

5 Luma

Table 2. Websites for AI applications

It can automatically generate answers based on input questions and has the ability to write and debug computer programs. Application: Company business document processing and translation

Simply enter a command that describes the image, and AI will automatically generate the picture based on the content. Application: Photo editing of company products

Specializing in text processing, it can generate a large amount of content including documents, letters, Q&A, etc. It can automate workflows, and it can logically solve tasks according to the instructions given by users. Applications: Interpretation of judicial documents, contract preparation

https://chat.openai.com/

https://www.bing.com/images/crea te?toWww=1&redig=6E696DD96B2 C469CB0A447A78D3749A2

https://claude.ai/ login?returnTo=%2F

Video editing software that allows you to quickly get started with a variety of powerful features including editing, text, transitions, and more. Application: Corporate video production https://www.capcut.cn

3D Picture Generator

Application: Mechanical design of products

Things (IoT), machine network, cloud computing, Big Data analysis and AI to achieve a high degree of automation to enable production environments with self-awareness, self-learning, selfdetermination, self-execution and selfadaptation.

All of the above points are based on the manufacturing industry's point of view to illustrate the advancement of technology and production techniques. The system integrates the core businesses required by enterprises' production, such as ordering, suppliers, logistics management, production, equipment maintenance, quality and yield control, etc., and visualizes all kinds of management information

in the factory, such as the number of finished products on each line, analysis of defective product data at the quality inspection station, monitor screen, machine parameter control, and anomaly. All of these information can be displayed on the screen, which can effectively reduce the production control risk and improve production efficiency. I will not go into details in this article, so please refer to the article in Issue #197 of Fastener World Magazine.

This article will discuss how to apply AI to other businessoriented aspects of enterprises. ChatGPT, an AI chat robot program developed by OpenAI, was launched in November 2022. ChatGPT is text-based, and in addition to interacting with natural human conversation, it can also be used for very complex linguistic tasks, including automatic generation of text, automatic Q&A, automatic summarization, etc. ChatGPT can automatically generate answers based on input questions, as well as the ability to program and debug computer programs, and all people can register free of charge and log in to use ChatGPT to talk with the AI robot. There are already many AI application websites on the market, which are listed in Table 2

I tried to type in "In the future world of technology, a transparent screw symbolizes hope and practice," and Bing Image Creator returned Figure 1, Screws bring hope.

https://lumalabs.ai

Emission Monitoring and Data Acquisition

Carbon Emission Data Analysis and Assessment

Carbon Emissions Management and Control

Carbon Disclosure and Transparency

Carbon Reporting and Certification

Carbon Emissions Trading and Cooperation

With the availability of AI application software for translation of business documents, market analyses, and writing of business documents, it will be easy and simple for enterprises to apply AI in workplaces. The future of intelligent enterprise management can be divided into: intelligent manufacturing, intelligent office, intelligent carbon management, as shown in Figure 2 - “AI will be the core of enterprise management.”

The AI talents needed by enterprises can be divided into "AI design" and "AI application". The former refers to professional information personnel who know how to design algorithms and train models; the latter is good at using AI-related software, such as ChatGPT, Bing Image Creator, Claude, etc., which can improve the efficiency of existing operations, and does not require a professional background in information technology, so Taiwan fastener industry should actively introduce specialized talents who are good at applying AI-related software to quickly improve AI application capabilities, which can accelerate the increase in competitiveness of enterprises. The three major areas of AI application in enterprises, namely intelligent manufacturing, intelligent office, and intelligent carbon management, are described as follows.

Fig. 2. AI will be the Core of Enterprise Management

Industry Focus

1. Intelligent Manufacturing:

(1) Product Innovation and R&D: Leveraging AI technology for product design, optimization, and innovation to accelerate the R&D cycle, improve product quality and performance, and meet market demands and customer expectations.

(2) Production Optimization and Predictive Maintenance: Using AI technology to monitor and optimize production processes to improve productivity and quality, and enable predictive maintenance to reduce equipment failures and downtime, and reduce costs.

(3) Supply Chain Management: Applying AI technology to optimize supply chain planning, inventory management, and logistics transportation to match supply and demand, reduce inventory backlog, lower logistics costs, and improve delivery efficiency.

2. Intelligent Office:

(1) Data Analysis and Forecasting: AI technology is used to analyze and mine large amounts of data to help enterprises understand customer needs, market trends, and business models, and predict future development trends. This helps enterprises make smarter decisions and plans.

(2) Intelligent customer service and virtual assistants: Using the help of natural language processing (NLP) and machine learning technologies to develop intelligent customer service systems and virtual assistants that can automatically answer customer questions, handle complaints, and provide personalized services to improve customer satisfaction.

(3) Personalized Recommendation System: Utilizing machine learning and data acquisition technologies to recommend personalized products, services, or content to customers based on user preferences, historical behaviors, and interests to improve sales and marketing results.

(4) Human Resource Management: Applying AI technology to optimize human resource management processes, including recruitment, training, performance evaluation and employee benefits management, to improve human resource utilization efficiency and employee satisfaction.

(5) Risk Management and Security Monitoring: AI technology is utilized to monitor and predict risks within and outside the enterprise, helping the enterprise to identify and respond to potential risks in a timely manner, as well as to strengthen data security and network security protection.

3. Intelligent Carbon Management:

(1) Carbon Emission Monitoring and Data Acquisition: Using sensors, monitoring equipment and other technologies to conduct real-time monitoring and data acquisition of carbon emissions generated by various activities of enterprises or organizations, including energy consumption, production processes, and transportation links.

(2) Carbon Emission Data Analysis and Evaluation: Analyzing and evaluating the carbon emission data collected, including the analysis of emissions, emission sources, emission trends, etc., in order to gain an in-depth understanding of the carbon emission situation and its influencing factors.

(3) Carbon Emission Management and Control: Based on the results of data analysis to formulate reasonable carbon emission management strategies and control measures, including energy saving and emission reduction measures, carbon emission allowance management, carbon trading, etc., in order to reduce the level of carbon emissions and realize the carbon emission reduction targets.

(4) Carbon Emission Information Disclosure and Transparency: Proactively disclosing carbon emission information and management to stakeholders to improve information transparency and social responsibility, and enhance the image and reputation of the enterprise or organization.

(5) Carbon Emission Reporting and Certification: Regularly compiling and publishing carbon emission reports, and certifying and auditing the carbon emissions of enterprises or organizations to ensure the accuracy and credibility of the information.

(6) Carbon Emission Trading and Cooperation: Participating in carbon market trading to purchase and sell carbon emission credits, or cooperating with other units in carbon emission to jointly realize carbon emission reduction targets and promote the healthy development of the carbon market.

The mainstream of data science in the development of AI has evolved from expert systems and data exploration to machine learning and its advanced deep learning stage, and has been applied in business operations. The key to the implementation of machine learning and deep learning applications lies in the ability to process large amounts of data in real time. With the rapid accumulation of huge amounts of data and the advancement of AI technology, previously unknowable rules and correlations among industries, society, and nature, as well as personal preferences and behavioral patterns, can be further obtained through intelligent analysis. The future development of AI technology on the industry and the society will inevitably bring the impact and influence, Taiwan fastener industry needs to face up to the issue and respond to it ASAP.

To analyze the impact on Taiwan fastener industry, low carbon, flexibility and efficiency will be the keys to victory. Under the concept of intelligent enterprise management, all production equipment, personnel, processes and customer business records will be linked together, and various equipment is interconnected to monitor the surrounding environment at any time, and problems are eliminated immediately when they are detected. Then, the market and customer preferences and orders, sales, inventory and other information are combined for optimal analysis, and mass standard production is replaced with mass customized production (multiple low-volume production) to increase the added value of products. The key lies in the use of huge amounts of data, AI analysis, and the formation of synergistic operational systems to improve the overall operational processes of the enterprise, and to achieve a closer match with the needs of target customers. Under the purpose of quickly responding to market changes, it is also necessary to consider the factors of low-carbon emissions, because the changes in the low-carbon production process and supply chain mode will also change the original value chain structure. As a result, in order to quickly and accurately seize the opportunity to create new value, data must be properly collected and analyzed for application and the convenience of rapid application of AI will be the new core competitiveness of enterprises.

Copyright owned by Fastener World Article by Dr. Wayne Sung

Overview of the Standard Weather-resistant Steel High-Strength Bolts for Steel Structures

《鋼結構用耐候鋼高強度螺栓連接副》標準簡述

Brief Description of the Standard

With the development of bridge construction in China, many coastal and sea-crossing bridge projects are under construction. As the environment where the bridges are located is highly chloride corrosive, the use of conventional alloy steel is limited and the demand for atmospheric corrosion-resistant bridge steel continues to increase. Since the U.S. weatherresistant steel high-strength bolts cannot guarantee the torque coefficient, making them unable to meet the requirements of China’s torque method of construction, and the alloy compositions of Japan’s weather-resistant steel high-strength bolts mismatch with China’s weather-resistant bridge steel, so it cannot be solved through purely importing bolts, which also implies the need for R&D. Nowadays, there is no domestic standard for “Weather-resistant Steel High Strength Bolts for Steel Structures”, and many bridge designers and manufacturers are not clear about the performance indexes of this steel and how to use it. Therefore, in order to meet the needs of the domestic and international market and production of bridge steel for corrosionresistant atmospheric environments, and on the basis of domestic and foreign standards, technical data, actual product supply technical agreements and test results, the National Technical Committee for Standardization of Fasteners took the lead in preparation of the national standard “ Weatherresistant Steel High-Strength Bolts for Steel Structures” in order to further standardize and improve the quality of the products in real terms.

The standard is one of the projects proposed in the field of fasteners in the construction of the national standards system to further improve the existing national standards for fasteners and

provide technical basis for the design and selection of weatherresistant steel fasteners and production. The standard specifies types, dimensions, technical requirements, test methods, acceptance inspection, marking, quality certification, packaging, transportation and storage of weather-resistant steel high-strength bolts for steel structures with thread specifications from M12 to M36 and performance grades NH8.8S/NH8H and NH10.9S/NH10H; and establishes the requirements for the mechanical and physical properties of the weatherresistant steel fasteners, which are subject to long-term penetration by water, oxygen, salts and acids formed by ions such as H+, O2-, Cl-, and solves the problem of resistance to atmospheric corrosion and delayed fracture of high-strength fasteners. Weather-resistant steel fasteners are mostly used in remote/uninhabited areas and maintenancefree application scenarios, and are required to be used with mated parts, which increase the reliability of fastener connection and meet the requirements for steel structural bridges, power towers, infrastructure facilities and many other industries.

Types

Currently, weather-resistant steel products are mostly used in remote/uninhabited areas and maintenance-free application scenarios, which are required to be used with the mating materials and mostly applied to infrastructure such as steel bridges and power towers, etc. Therefore, the product category has been limited to weather-resistant steel high-strength bolts for steel structures of the performance grades NH8.8S/NH8H and NH10.9S/NH10H. Weather-resistant steel high-strength bolts for steel structures consist of high-strength bolts, nuts and washers made of weather-resistant steel. Weather-resistant high-strength bolts for steel structures consist of one bolt, one nut and one/two washers, with dimensions according to GB/T 1228-1230, GB/T 3632, GB/T 32076.3- GB/T 32076.6, GB/T 32076.8, GB/T 32076.9 and other product standards.

Materials

In the national standards development process, Chinese Steel Industry Association, Steel Structure Association, the Federation of Power Enterprises and other organizations have released their weather-resistant steel and fasteners related group standards. Taking the wide range of standard applications into account, the differences of material systems adopted by standards, as well as the reliability of

material application practices and other factors, and reference to the requirements of ASTM F3125/F3125M-2022type3 for corrosion-resistant chemical compositions, weather-resistant steel high-strength bolts, nuts and washers should be used with the same chemical compositions of materials, and chemical compositions (melting analysis) limits should be in line with the provisions of Table 1, the permissible deviation of chemical compositions of finished products should be in line with the provisions of GB / T 222.

The material should have sufficient hardenability and about 90% martensite after quenching and before tempering. The corrosion resistance index “I” of the weather resistant steel for connecting parts calculated according to the chemical composition of the material in accordance with GB/T 4171 shall be not less than the corrosion resistance index of the component steel and shall be not less than 6.0. On the premise that the upper and lower limits of the C content comply with the basic requirements of GB/T 3098.1, and integrating the material requirements of weather-resistant steels in the standards of the organizations such as T/CISA193 and T/CEC305.4-2020, the information on the chemical compositions of other materials of weather-resistant high-strength bolts is given as an appendix.

Table 1. Chemical Compositions of Weather-resistant Steel for Bolts/Nuts/Washers

Mechanical

Performance

Considering the use of weather-resistant high-strength bolts for steel structures, the mechanical properties are harmonized with the product standards GB/T 1231, GB/T 3632, GB/T 32076.3 to 32076.6, GB/T 32076.8 and GB/T 32076.9. Mechanical properties of bolts are shown in Table 2, With reference to ASTM F3125/F3125M-2022, the tensile strength of NH10.9S grade ranges from 1040 to 1190 MPa, and the upper limit value of 1240 MPa in GB/T 1231-2006 is not used; the section shrinkage rate is according to GB/T 3098.1, and the others are according to GB/T 3632; the Rockwell hardness and Vickers hardness are in line with GB/T 1231-2006. Rockwell hardness and Vickers hardness are basically consistent with GB/T 1231-2006.

The decarburized layer is required to comply with GB/T 3098.1 (Gr.10.9), and the height of the non-decarburized layer of the thread of the bolt made of weather-resistant steel is E ≥ 2/3H1 (H1 - the height of external threads under the maximum physical conditions); the depth of the fully decarburized layer of the thread is G ≤ 0.015 mm. The torque coefficient of the connecting part of the weather-resistant high-strength large-hexagon bolts used for steel structures is according to GB/T1231, the average value of torque coefficients of the connecting part of the same batch is 0.110~0.150, and the standard deviation of the torque coefficient should be not more than 0.0100. The tightening axis force of high strength weather-resistant torsion-shear bolts for steel structures is in line with GB/T 32076.8, which is calculated by taking the nominal value of tensile strength (1000 Mpa) for grade 10.9 in GB/T 3098.1 as Rm, and the coefficient of variation of the tightening axis force should be less than or equal to 0.10 (coefficient of variation= standard deviation/ average value). Adopting the coefficient of variation of the tightening axis force to determine its dispersion avoids the influence of the specification on the standard deviation.

History of Standards

Weather-resistant steel is created based on ordinary low alloy steel and is added with appropriate amounts of Cu, Cr, Ni and other alloying elements to form a dense and stable surface layer to prevent it from rust and the penetration of H+, O2-, Cl- and other ions formed by oxygen, water, salts and acids in the atmosphere, significantly improving the corrosion resistance of weather-resistant steel. Weather-resistant steel can be used “without painting” in certain environments such as “good ventilation and drainage, alternating wet and dry conditions, low salinity, and weak acidity”. Compared with the traditional “ordinary steel structure + painting” solution, the “weather-resistant steel structure + paint-free” solution has the advantages of lower composite cost, shorter construction cycle, and obvious green and environmental protection, with significant economic and social benefits. As the development direction of high-performance steel, weather-resistant steel has been widely used overseas. The U.S. has more than 10,000 paint-free weather-resistant steel bridges, and most of the nearly 30 steel bridges added each year are made of weather-resistant steel, which has formed systematic weather-resistant steel, welding materials, high-strength bolts, design, material selection, manufacturing, maintenance and other mature

Table 2. Mechanical Properties of Bolts

technologies and standards. Japan, Canada and W. Europe have also widely developed and applied similar technologies.

The development of the standard “ Weather-resistant High-Strength Bolts for Steel Structures” plays an active role in improving and optimizing the system of fastener standards, leading the professional production of fasteners, improving the product grade and meeting the market demand, filling in the gaps in the field of technical specification of weather-resistant steel high-strength fasteners and driving the technological progress of the relevant industries, improving the safety of bridges and high-speed trains, and boosting the bridge construction of high-speed rail, railways, and highways.

The requirements of this standard are similar to other international standards.

For example, the U.S., Japan and other countries have mandatory requirements for the use of weather-resistant high-strength bolts in weather-resistant steel bridges, and have formulated corresponding material and use specifications. Weather-resistant high-strength bolts commonly used in weather-resistant steel bridges in the U.S., with strength grades equivalent to Chinese standards 8.8S and 10.9S, should comply with ASTM F3125/F3125M-2020

“Heat-treated high strength bolts made of steels and alloy steels with minimum tensile strengths of 120ksi (830MPa) and 150ksi (1040MPa) in both inch and metric dimensions.” The standard requires that the steel used for weather-resistant highstrength bolts should be added with sufficient amount of Cu (0.17%-0.63wt%), Cr (0.42%-1.05wt%), and Ni (0.17%0.83wt%), in order to make the weather resistance conform to the provisions of ASTM A709 for high-performance weather-resistant steel (HPS 50/70W ) for bridges. The installation and construction method of the weather-resistant highstrength bolts should also comply with the “Specification for Structural Joints Using ASTM A325 or A490 Bolts” formulated by the Structural Connections Council of the American Institute of Steel Construction.

In addition, for the use of weatherresistant bolts in different environments, the following surface treatment programs are recommended: weather-resistant bolts without surface treatment can be used in areas with mild and dry climate; weatherresistant bolts with blackening treatment are permitted for unpainted weather-resistant steel bridges; weather-resistant bolts with surface treatment, Dacromet or polymer coating are recommended for areas with complicated climate conditions.

Although there is no national standard for steel structure weatherresistant bolts in Japan, some local major steel companies have developed a steel structure with weather-resistant bolts. The composition and performance requirements for weather resistant high strength bolts commonly used in steel bridges are comparable to ASTM F3125/F3125M-2020. The R&D of Japan’s weather-resistant bolts is mainly based on the JIS B 1186 standard “Highstrength Hexagonal Bolts, Hexagonal Nuts and Flat Washers.” In recent years, it has also developed high-strength bolts with weather resistance and anti-delayed fracture features. Among these bolts, the ones with excellent weather resistance include New Nippon Steel’s NWB110, Kobe Steel’s KHB10W and JFE’s weather-resistant steel for high-strength bolts, while the ones with good anti-delayed fracture resistance include Sumitomo Metal’s ADS series and Kobe Steel’s KNDS series, whose strength grade is 10.9S. The U.S. and Japan, with years of experience in the construction of weatherresistant steel bridges, have established a sound standard system. However, the relevant technical data and info about weather resistant steel highstrength bolts are still stuck in the 1990s. At present, China often refers to U.S. standards when it comes to weather-resistant steel bridges and relevant technology, such as design details, corrosion resistance index and so on.

Conclusion

The “Weather-resistant Steel High Strength Bolts for Steel Structures” standard is one of the projects proposed in the field of fasteners in the construction of the national standards system to further improve the existing national standards for fasteners and to provide a technical basis for the design, selection and production of weather-resistant steel fasteners. The standard specifies the mechanical and physical property requirements of weather-resistant steel fasteners and solves the problems of atmospheric corrosion resistance and delayed fracture for high-strength fasteners that have been subjected to long-term penetration of H+, O2-, Cl-, and other ions formed in the environment by water, oxygen, salts, and acids, and increases the reliability of the fastener connection to satisfy the requirements for the use in the steel structure of bridges, power towers, and other infrastructural facilities in the industry. The construction of weather-resistant steel bridges in China started relatively late; however, with the rapid development of national economy and the deepening of foreign technical exchanges, the application of high-performance weather-resistant steel to steel bridges has attracted the attention of relevant departments in China, but there are some technical problems that need to be solved. With standardization and improvement of the technology for the construction of weather-resistant steel bridges, relevant scientific research institutions in China should strengthen the basic research and start long time exposure corrosion test according to the climate characteristics of different regions in order to accumulate more basic information to determine what type of weather-resistant steel bridges best fits Chinese climate and formulate application guidelines for highstrength bolts. The construction of uncoated weather-resistant steel bridges in suitable areas shows environmentally friendly and lower life-cycle cost advantages, which has a broad development prospect.

Copyright owned by Fastener World / Article by Hsien Ming Chang

Wire Düsseldorf 2024

Machinery, Tool & Die Makers Showcase New

Products

The biennial Wire D ü sseldorf, which was co-located with Tube D ü sseldorf, took place in Messe D ü sseldorf on April 15-19 this year, with a total of 17 exhibition halls open. The exhibits included: fastener manufacturing, processing machines, precision formers & technologies, various wire & cable materials, manufacturing & processing auxiliary machines, press/ lubrication technologies, automation & quality control systems, welding equipment, quality inspection & measuring instruments, spring manufacturing, pipe materials & spare parts, etc. Visitors took opportunities during the 5-day event to keep pace with the development and latest trends of these industries in one visit.

The “wire” zone this year utilized 67,400 sq. m of exhibition space and attracted 1,500 exhibitors from 60 countries. The “tube” zone used 52,200 sq. m of exhibition space and attracted 1,200 exhibitors from 54 countries. Together, the two zones had about 120,000 sq. m of exhibition space and 2,700 exhibitors. Nearly 50 fastener machine equipment, mold & dies, and parts/components manufacturers from Taiwan also exhibited their latest products and services, demonstrating the soft power of Taiwanese related industries.

Fastener World Inc. also signed up to participate in the exhibition in 2024. Through the distribution of our magazines on-site, we interacted with buyers from Germany, neighboring European countries, and even from the Americas and Asia, and introduced to visitors a reliable and efficient sourcing platform that could enable them to search for more high-quality suppliers in a one-stop way, actively playing the role of a bridge between buyers and sellers. During the 5 days, our stand attracted buyers interested in cooperating with Taiwanese and global quality suppliers to make their inquiries.

德國杜塞道夫線材展

According to statistics of the organizer, this year’s show attracted visitors from 135 countries to D ü sseldorf, including not only domestic German visitors, but also those from Italy, Spain, Belgium, France, Austria, the Netherlands, Turkey, Switzerland, the UK, Sweden, Poland, the Czech Rep., the U.S., Canada, S. Korea, Taiwan, India and Japan. There were also visitors from Central and North America, Turkey and Asia, who wanted to meet the exhibitors face-to-face, explore innovative products and look for new suppliers.

Innovation was the main theme of this year’s show. Besides the exhibition itself, a few esteemed experts and industry leaders were invited to give speeches and presentations, and special shows and digital guided tours were also highlights of this year’s show. Exhibitors also actively demonstrated their companies’ sustainable development strategies and shared with guests their green energy policies and carbon reduction targets they already achieved.

The organizer has also officially announced that the next show will be held again on April 13-17, 2026.

Copyright owned by Fastener World Article by Gang Hao Chang, Vice Editor-in-Chief

Fastener World Inc.

TUNG FANG

JERN YAO

CHUN ZU CHIEN TSAI

CHING CHAN

JIE LE

SACMA

TSIN YING GWO LIAN

INFINIX

SAN SHING K. TICHO

CHUM YUAN

DAH-LIAN FRATOM

CHEN TAI

JIENG BEEING CHI NING

JI LI DENG

KEIUI

YESWIN UTA

KINGWIN

COS PRECISION

SHENG CHYEAN

KONFU

VERTIGO

TAIWAN METIZ ALLIANCE

SAN YUNG

JIA JIUN