1. industry and enterprise profile:
Looking at the cutting tool market in recent years, domestic CNC cutting tools maintained the momentum of booming production and sales in 2017, and exports also reached a new high in recent years. In 2018, with the gradual decline of 3C and automobile industries, the growth rate slowed down. By 2019, the downward pressure will increase month by month. Tool enterprises will be more or less affected by Sino-US trade frictions, resulting in shrinking demand for cutting tools. From the perspective of enterprise feedback, the demand for tools in different fields and the market performance of different tool varieties are very different, which fully reflects the specific and subdivided characteristics of the tool industry. At present, the field of good demand for tool products are mainly aerospace, military, energy, construction machinery, rail transit, heavy machinery industry, etc., with the country's attention to national defense and aerospace, the aerospace field will become the following automotive After the field, another field of vigorous development. Especially in the field of aviation parts processing, it has almost become the power point of various tool manufacturers at home and abroad, and successively launched a series of aviation-specific tools. Although the overall scale effect of aviation is not enough at present, because all tool manufacturers have not entered the standardized application system, the market still needs a cultivation process, but the development potential is huge.

2. main problems and difficulties:
Due to the small size of the tool industry, the market size is only tens of billions, and even less than the annual marketing revenue of a single enterprise in some fields. For a long time, it has been regarded as a subsidiary of machine tools and has not received enough attention. Insufficient investment in industry basic research and product research and development, the market has long been occupied by brands such as Europe, America, Japan and South Korea, and it is difficult for domestic tools to have a major breakthrough. In fact, as an important part of cutting, cutting tools directly affect the level of cutting and are one of the important factors to measure the level of a country's manufacturing industry. The problem of talent is prominent. Talent problem is the current CNC tool industry in China and even the entire machinery manufacturing industry is very prominent common problem, has been serious to restrict the overall progress and development of the industry, the domestic tool industry started late, the foundation is thin. The development process of just a few decades, no matter from the technical precipitation or talent reserve, are far from enough, the main problem facing the enterprise is the shortage of professional and technical personnel of the tool, the other CNC grinding machine are imported, the price is expensive, technology and accessories are monopolized, rely on the enterprise's own capital investment is very limited, can not speed up the pace of technological innovation, product innovation.

3. strive to transform to meet market demand:
China's tool market is mostly occupied by imported brands, in 2018 the total consumption of 42.1 billion tools, imported tools (including foreign brands produced and sold in China) for the 14.8 billion, accounting for 35%. In the face of the operating pressure that may increase in 2019 and beyond, tool companies are trying to explore the path of transformation and upgrading.