The Economic Situation Of The Spring Industry In China · 9th INTERNATIONAL CONGRESS OF SPRING INDUSTRY Taormina 2017 1 The Economic Situation Of The Spring Industry In China China

9th INTERNATIONAL CONGRESS OF SPRING INDUSTRYTaormina 2017

1

The Economic Situation Of The

Spring Industry In China

China Spring Specialty AssociationSeptember 06, 2017


2

CSSA Members:

Coil Springs and Miscellaneous Springs

➢ Registrant: 194 Members

➢ Employees: about 8000 people / 42 Members,

Total about: 20,000 ~22,000 people

➢ Turnover: RMB 8.312 bil. /42 Members；

Total: RMB 22 bil. or so

➢ Main customers： Automobile, High Speed Train &

City Metro Train, Engineering Machinery, City

Architecture, Motorcycle, Electronic Products, and

etc. Industries.


3

Un-CSSA Members:

Enterprises(main products/Springs): 2000 ~ 3000

Leaf Springs（not CSSA members): Truck & Business

Vehicles,

Gas Springs（not CSSA members): Gas Springs


4

❖ Development of spring industry in the first 9 month 2017 in

comparison with 2016

❖ Expectation for the next 3 month

➢ From the statistic of 42 CSSA spring companies, Average

sales RMB 8.312 billion Yuan, and increasing rate 8.94%

( on year-on-year basis) in 2016

➢ From the statistic of 42 CSSA spring companies, Sales

expected RMB 9.551 billion Yuan, and increasing Rate

14.9% ( on year-on-year basis) in 2017


5

Detail List of Springs Exporting & Importing in 2016

Commodity

CodeCommodity Name

Imports ExportsVolume

(x1000 kg)

Sum of Money

（US$ Mil.）

Volume

(x1000 kg)

Sum of Money

（US$ Mil.）

74199920 Copper Springs 186.824 52.8707 94.066 11.1586

73209090 Unnamed Steel Springs 2587.497 49.9394 22281169 89.5519

73209010 Springs for Railway Coaches 241.597 3.5103 383.352 1.1482

73202090 Special Steel Coil Springs 25724.131 315.1434 60308.943 194.303

73202010 Coil Springs for Railway Coaches 844.033 10.7933 1790.792 4.5003

73201090 Leaf Springs 2102.257 73.6276 9392.681 25.9841

73201010 Leaf Springs for Railway Coaches 82.048 2.8402 10.314 0.0604

Total 31768.387 508.7249 94261.317 326.7065

National Total Exports & Imports Volume in 2016

Exports Imports

RMB Trillion 13.84 10.49

Increasing Rate - 2.0% 0.6%


6

❖ Development of the national economic situation in the next

six month (some slides or sentences)

➢ National GDP Situation

7,0% 7,0%

6,9%

6,8%

6,7% 6,7% 6,7%

6,8%

6,9%

6,7%

6,6%

6,6%

6,7%

6,7%

6,8%

6,8%

6,9%

6,9%

7,0%

7,0%

7,1%

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

2015 2016 2017

GDP


7

59,65

67,1

11,8916,0

8,80%8,0%

17,40%

20,0%

0,0%

5,0%

10,0%

15,0%

20,0%

25,0%

0

10

20

30

40

50

60

70

80

2016 2017 2016 2017

Investment in the fixedassets

Infrastructure Industry

RMB Trillion Inc. Rate

Investment in the fixed assets and infrastructure

➢ Total Investment in 2016 ➢ Investment in 2016 & 2017 (blue book)

1,88

23,18

34,58

11,89

21,1%

3,5%

10,9%

17,4%

0,0%

5,0%

10,0%

15,0%

20,0%

25,0%

0,00

5,00

10,00

15,00

20,00

25,00

30,00

35,00

40,00

Primary Industry 2nd Industry 3rd Industry

Investment in the fixed assets InfrastructureIndustry

2016



8

The initiative of “The silk road economic belt and

the 21st-century maritime silk road” , ( B & R) will

increase the export volume during the following

years.

➢ Infrastructure investment

abroad

➢ 2nd industry investment &

export volume overseas


9

4,15 3,95 4,00

20,95 24,30

25,50 -10,6%

-5,0%

1,4%

7,8%

16,0%

5,0%

-15,0%

-10,0%

-5,0%

0,0%

5,0%

10,0%

15,0%

20,0%

0,00

5,00

10,00

15,00

20,00

25,00

30,00

35,00

2015 2016 2017

Business Vehicle (mil.) Passenger Vehicle (mil.) Inc. Rate (%) Inc. Rate (%)

Automobile Industry Situation

Total 29.50 mil

Total 28.25 mil

Total 25.10 mil


10

155,01

48,66

6,83

11,3%

21,4%

8,1%

0,0%

5,0%

10,0%

15,0%

20,0%

25,0%

0

20

40

60

80

100

120

140

160

180

M2 广义货币 Broad

Money

M1 狭义货币 Narrowly

Defined Money

M0 流通货币 Currency

in Circulation

At the end of Dec. 2016


Currency Situation in 2016 Labor Cost in 2016

人均可支配收入

The averager per capita

disposable income

RMB 23821

同比增长率

Increasing Rate6.30%


11

❖ the main challenges for the near future in spring industry (some

slides or sentences)

Recent Main-Challenges in China (1)

1. The possible Trade War between USA and China

The volume of China exporting USA is 18% total exports and 4.4%

GDP in 2016, the possible trade war probobly affect the whole

economic situation in China.

2. The rising price of Material (Spring Steel)

All the spring steel price were increased a lot in China during 2016

and Jan.-Sept. 2017.

For exsample, during 2016, and Jan.- Sept. 2017 Bao Steel

increased 17.76% and 6.99% in price; Xingchen Special Steel

increased 20.19% and 15.21% in Price as well.


12

❖ the main challenges for the near future in spring industry (some

slides or sentences)

Recent Main-Challenges in China (2)

3. The rising cost of labor

The average per capita disposable income is RMB 23821, net

Increased 6.3% ( including price factors). The citizen is RMB

33616, net increased 5.6%; Farmer is RMB 12363, net increased

6.2% in 2016. The labor cost will be sequentially and quickly

increased in 2017


13

❖ latest news

China Spring Specialty Association (CSSA) currently excludes Leaf

Spring and Gas Spring Members. The leaf spring group will merge

into CSSA step by step.

Leaf Spring Industry Information (1)

➢ Total Members: 300 or so Enterprises

➢ Main members:

Shandong Leopard Automotive Holdings Ltd.

Liaoning Fawer Spring Co. Ltd.

Dongfeng Motor Suspension Spring Co., Ltd.

Anqing Anhuang Auto Parts Co., Ltd.

Chongqing Hongqi Spring Co., Ltd.

and etc.


14

❖ latest news ( continuous)

Leaf Spring Industry Information (2)

➢ Total Overturn: about 800,000 ton in 2016

➢ Employee: 5000~6000 people (In leaf spring named companies)

➢ Direct Export: about 5% total overturn

➢ Main Customers:

• China FAW Group Corporation

• Dongfeng Motor Co., Ltd.

• China National Heavy Duty Truck ( Group Corp.)

• Shanxi Heavy Duty Automobile Co., Ltd.

• Beiqi Foton Motor Co., Ltd.

• Zhengzhou Yutong Bus Co., Ltd.

• and etc.


15

Thanks for your attention

ZHANG JunProfessor & Senior Engineer.

General Secretary of CHINA SPRING SPECIALTY ASSOCIATION

Http://www.cssa.org.cn

O.Tel: +(86) 021 51212804

M.Tel: +(86) 13801641658

Email: [email protected]

Version 20170906

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The Economic Situation Of The Spring Industry In China · 9th INTERNATIONAL CONGRESS OF SPRING INDUSTRY Taormina 2017 1 The Economic Situation Of The Spring Industry In China China