In the mid-1950s, China's MIM injection molding industry began to gradually attract the attention of the development of automobile industry and material conservation. From 1991 to 2004, the output value of powder metallurgy parts in China increased by 7.3 times in 14 years, and now it has entered the stage of high-speed development. In addition to the many new Chinese companies that are coming to this limitless market, some foreign p/m companies are also actively participating and trying to snap up the market with existing Chinese manufacturers. Therefore, China's powder metallurgy market will present the following six development trends.

The company is gradually established in the high grade, middle grade and low grade commodity market. Among them, the scale advanced, the technology advanced enterprise mainly concentrates in the high grade and the middle grade commodity market; Medium and small companies will compete in the lower end of the commodity market. The division will facilitate progress in specialization, quality improvement, and lower commodity costs.

Competition in China's high-end market is increasingly internationalized. P/m manufacturing companies from various countries have successively built wholly owned or affiliated factories in China and realized the gradient transportation of goods, such as GKN and HOK of the United States, MG of Italy, Stackpole and QMP of Canada, sumitomo, Hitachi and mitsubishi in Japan. These foreign companies are learning more and more about China's powder metallurgy industry, including product grade, production capacity, product quotation, quality and other conditions. In addition, they are urgently developing competitive countermeasures and expansion projects.

In the middle and low-end market with fierce competition, although the quality of products keeps improving, the price of products declines year by year. As new companies continue to enter the market, they propose to compete with the old ones, while small companies pose a threat to the big ones. In the request higher quality and the service foundation, the main engine factory also proposed the price reduction request unceasingly. In this case, medium and small enterprises will have the greatest competitive advantage.

High-quality raw materials produced in China are gradually replacing imported materials. As the price of imported raw materials continues to rise, the price of metal powder will rise accordingly. For example, iron powder is up 25%, copper is up 50%, molybdenum is up 300%, and nickel is up 800%, which will reduce the company's remaining space and lower profit margins to more than 10%. To reduce cost pressures, many companies that use imported raw materials have started to use domestic materials. In addition, for products of the same quality,

That is, domestic high-quality equipment will be widely used. Equipment made in China, such as presses and electric furnaces, is improving. In addition, the price of the domestic mechanical press is only 1/3 of the same function and tonnage of the imported machine. Therefore, in order to reduce the cost pressure, many enterprises have begun to use domestic high-quality equipment.

Various forms of cooperation in the industry were accelerated. In the face of difficult market challenges, enterprises have begun to cooperate with each other in order to ensure their livelihood and development. Large companies expect to become bigger and stronger through cooperation, medium-sized enterprises want to maintain their territory and small companies want to maintain their livelihood. So they are looking for various forms of cooperation.