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Seven Measures, Opinions and Policy Recommendations for Developing China's Mold Industry

Without high-level molds, there will be no high-level industrial products, so mold technology has become one of the important symbols to measure the level of product manufacturing in a country. Precisely because of the importance of molds and their important position in the national economy, the mold industry has always been highly valued, and the state has also given some encouraging and supporting policies. For the mold industry to develop faster, it is necessary to mobilize all positive factors and obtain strong support from all aspects, among which the support from various government departments and their own efforts are the most important. Luo Baihui, CEO of Jinmo Network, put forward the following measures, opinions and policy recommendations for the development of the mold industry:

1. Introduce corresponding policies to guide investment direction

Formulate our laws and regulations for the mold and other industries that need to be revitalized in China. Cooperate with the newly formulated laws and regulations, adopt government intervention and economic support policies, and introduce corresponding policy measures to provide support in finance, taxation, technological transformation and other aspects in the form of legislation. In view of the high net added value rate of mold products, the VAT burden of mold enterprises is twice as high as the average level of other industries in the machinery industry. Luo Baihui, CEO of Jinmo Network, stated that investment in the development of molds should be encouraged. For example, the establishment funds invested in mold factories can be deducted from corporate income tax; import tax reduction or exemption can be implemented for mold enterprises to introduce key equipment and raw materials and spare parts needed for mold production to encourage the introduction of high and new technologies and their products.

2. Accelerate institutional reform and adjust industrial structure

At present, the industrial structure of the mold industry is unreasonable. It mainly refers to the organizational structure, product structure, technical structure and import and export structure of enterprises. Luo Baihui believes that during the "12th Five-Year Plan" period, active measures should be taken to adjust them under the guidance of relevant policies to gradually rationalize them. For example, encourage specialized and commercialized production, encourage the production of large, precision, complex, long-life molds and mold standard parts, and encourage the separation of main and auxiliary businesses to make mold production move from affiliation to independence.

3. Market-oriented operation and vigorously develop mold industry chain clusters

During the "12th Five-Year Plan" period, it is necessary to support and encourage qualified regions to establish mold production agglomeration bases (or called mold cities, mold parks) with high level and large capacity, and gradually form a regional and relatively supporting mold production industrial chain through market-oriented operation. Luo Baihui suggested that taking automotive panel molds as the main service target, through active guidance, form a regional automotive mold manufacturing network led by existing enterprises with strong strength and high level. The network is an enterprise consortium, or a strategic alliance, with a common technical platform and close cooperative relations, which can operate as a virtual enterprise and is a community of interests. If successful, it can be gradually promoted in the industry from 2012 to 2020.

4. Actively cultivate leading enterprises

From the perspective of current domestic and foreign development, it is time to put the "scale effect" on the agenda. Luo Baihui stated that there are already many mold enterprises in the world with an output value exceeding 100 million US dollars, and the largest mold enterprise has developed into a multinational group with an annual output value of up to 4 billion US dollars (including molds and mold-related products). Domestically, there are already a number of enterprises with an annual output value exceeding 100 million RMB. These enterprises play a pivotal role in promoting the development of the mold industry. During the "12th Five-Year Plan" period, we should focus on the development priorities, and with national support, select and focus on cultivating a number of "leading enterprises". To this end, we hope that a small number of key mold projects can be included in the national plan as national special projects, and policy inclination can be implemented for them.

5. Strengthen industry-university-research cooperation and promote scientific and technological research in the mold industry

It is recommended that relevant government departments establish a mold development fund for the development, research and innovation projects of common technologies in the mold industry, and give key support to "leading enterprises". With the strong support of relevant national departments, we should strengthen industry-university-research cooperation, promote the scientific and technological development and technical research of the mold industry, organize key industry-university-research units in the industry to divide labor and cooperate, work together, strive to achieve results early and more, share the results together, and industrialize the results to rapidly improve the technical level of the industry.

6. Establish a national mold testing center

With the continuous development of the mold industry, mold quality testing work has become more and more urgent, but so far China has only one national-level testing center. Recently, the Guangdong Hardware and Mold Testing Center was established in Songshan Lake National High-tech Zone, Dongguan City, which will vigorously promote the quality improvement of the mold industry in the Pearl River Delta.

7. Strengthen the standardization of molds

Promote the mass and large-scale production of mold standard parts, improve the connection between supply and demand of mold standard parts, and promote the continuous improvement of the application coverage of mold standard parts and the continuous development of the industry.

With national support, although China's mold output has ranked among the top in the world, the overall level is still far behind that of industrialized countries. The mold industry is still an immature industry in China, and the annual import and export deficit of molds exceeds 1 billion US dollars. With China's accession to the WTO, the prospect of mold exports is getting better and better. China's mold industry needs to develop faster to adapt to the development of the situation.