Remanufacturing industry welcomes new development stage

The "eighteenth party" of the party has raised the resource-saving and environment-friendly ecological civilization to a higher position. The most recent executive meeting of the State Council put forward the "12th Five-Year Plan" circular economy development plan, which explicitly makes remanufacturing a "12th Five-Year Plan". As an important task for the development of circular economy, it is necessary to carry out pilot projects for the development of remanufactured industries and establish a remanufacturing industry cycle model. A series of policy directions have pointed out the direction for the development of the remanufacturing industry.

There are a large number of social possessions for all kinds of mechanical and electrical products in China, such as 100 million possession of automobiles, more than 8 million machine tools, 200 million internal combustion engines, and an accumulated total of 1.5 billion kilowatts of electric motors.

With such a large amount of possession, a large part has basic functions, but performance indicators have declined. Whether these products are remanufactured or scrapped is a big issue related to ecological civilization.

Specifically for the machine tool remanufacturing industry, China is the world's largest machine tool consumer market, and it is calculated according to the 3% annual machine tool scrapping elimination rate. Every year, 240,000 machine tools enter the remanufacturing ranks, accounting for about the annual production of new machine tools. About half. Heavy-duty, super-heavy machine tools are estimated at 2% (total machine tool), and about 4,000 heavy-duty and super-heavy-duty machine tools enter remanufacturing every year. According to statistics, 60% of the heavy-duty and super-heavy machine tools currently used in China will face elimination of technology or functions. In the “Twelfth Five-Year Plan” period, about 50,000 units will enter the remanufacturing market, pending a full-scale technological transformation. It can be said that the market potential of remanufacturing industry is very great.

The remanufacturing industry faces new development environments and opportunities. Many industries in China have experienced severe excess production capacity, and the new product market is substantially declining. However, the use of waste machinery and electronic products for processing and development and remanufacturing are precisely important models for resisting economic downside risks and opening up new consumer markets. Because the remanufacturing of electromechanical products not only has the typical energy-saving, material-saving, and environmental protection effects, it is also competitive in terms of price. The price of remanufactured products is more than 30% lower than the price of similar new products, and the profits of remanufactured enterprises are generally not less than 30%, so this is a very profitable market.

In this way, it is possible to use lower-than-market costs to reduce the production costs of products and achieve high quality standards. In our country, which is accustomed to the price war to achieve the purpose of occupying the market, it will further improve its product competitiveness and provide a solid foundation for China's future sustainable development.