Powder metallurgy products have great competitive advantages in various industries in China! Powder metallurgy parts have been widely used in various industries due to their good physical and mechanical properties, low material waste, clean and efficient manufacturing processes, low production costs, ability to manufacture complex shapes and difficult-to-machine parts, as well as their special process technology.
Automotive parts
The automotive industry is a larger and faster-growing market for powder metallurgy products. According to data from major automakers in the world, US automakers use an average of about 20kg of powder metallurgy parts per car, while Japanese automakers use an average of about 15kg. In China, the average usage of powder metallurgy parts in cars is only 4-6kg, indicating great potential for the industry. Many components such as engines, chassis, shock absorbers, power transmission fittings, steering fittings, and electrical fittings are made of powder metallurgy. Currently, about 70% of the world's steel powder is used in the automotive industry. However, China's powder metallurgy automotive parts started relatively late, and the proportion is less than 50%, so there is enormous potential for growth.
Home appliance parts
The Chinese air conditioning and refrigerator industries have strong international competitiveness, and the production capacity of the compressor industry has further expanded after industry integration. With the strengthening of the development in the central and western regions, the domestic demand for compressors will also increase. Many parts such as valve plates, connecting rods, upper and lower flanges of compressors are made of powder metallurgy products. The overall demand for powder metallurgy parts in the popularity and upgrading of household appliances will further increase. In addition, there is also space for exporting powder metallurgy products to foreign compressor manufacturers. In addition, in the context of industrial restructuring and energy conservation and emission reduction policies, powder metallurgy parts with energy and material advantages will gain greater competitive advantages.
Electric tool parts
More than 80% of electric tools worldwide are made in China, and more than half of the gears used in most electric tools are powder metallurgy parts, as well as some shaft sleeves, ratchets, etc. Therefore, electric tools are also a major application field for powder metallurgy parts. China's electric tool industry used to be a typical export-oriented industry, with exports accounting for more than 80% of total output. In recent years, under a series of measures such as economic stimulus and internal demand drive, as well as the gradual acceptance of DIY concepts, more domestic households have started to purchase electric tools, and the market has greatly developed. The sales of electric tools have accelerated, and the market demand is considerable. Powder metallurgy products have outstanding cost performance advantages in this field. Although the profit margin of electric tools is relatively thin, professional electric tools with demanding requirements still have certain profit margins.
