In 2023, it marks the 20th anniversary of the XYC brand's birth. Compared with twenty years ago, both the XYC brand and all the Yuanxing people have faced brand-new challenges. Over the past three years of the pandemic, the downstream acceptance of domestic tap brands has been gradually increasing, and the process of domestic substitution for imported taps is accelerating. With the development and progress of China's manufacturing industry, the contradiction between the market's demand for high-precision, high-efficiency and high-stability cutting and the slow technological iteration and long-term manufacturing backwardness of domestic taps has become increasingly prominent.

Opportunities and challenges coexist. How will the people of Yuanxing walk well in the next decade?

As early as the beginning of the New Year, when making medium and long-term strategic plans, Yao Aiping, the general manager of the company, proposed three development strategies for the future: accelerating product iteration, improving application technology services, and cultivating specialized, refined, distinctive and innovative enterprises. In summary, it can be described as "two fast and one slow" : fast product iteration, quick service response, and persistence in in-depth development in niche fields, while adhering to long-termism to "make slow money".

01

Product iteration to achieve domestic substitution of high-end imported taps

"Realizing the domestic substitution of imported taps" must not become a trendy slogan. Domestic taps have long been in the third echelon, with severe product homogeneity and slow technological iteration and upgrading. They can only win a large share of the mid-to-low-end market through differentiated product strategies and price advantages. There is still a considerable gap compared with the universality, stability and cost-effectiveness of cutting tools from Japan and South Korea. Not to mention that the European and American brands that can provide complete cutting tool solutions and dominate the high-end customized cutting tool field can only look up to them.

However, only challenges can stimulate creativity. For over a decade, Yuanxing people have been dedicated to niche fields, concentrating wholeheartedly on the research and development of taps and specializing in one thing. Through continuous investment in research and development and technological innovation, they avoid blind imitation and opportunism, and have developed their own technological system. At present, several series of technological iterations of taps have been formed and are continuously being upgraded.

Representative series and categories of taps include: X20 series, DS-SFT series, HHS-POT series, HUB-RLT series, CR-RLT series, TCE-HT turbine housing taps, RLT left-rotating right-cutting series, etc., which are widely used in the current mainstream high-end manufacturing and processing fields.

To achieve domestic substitution of high-end taps, it is actually about the iterative ability of domestic high-end tap product technology. Without products that can rival imported ones in terms of quality and performance, talking about domestic substitution is just a slogan. Yuanxing people can face up to their own gaps and shortcomings, understand that achieving domestic substitution of imported taps is a long and arduous task, and remain true to their original aspiration. Eventually, they will realize their beautiful vision.

02

Lay out the application technology service network and enhance the rapid response capability

With efficient, pragmatic and scientific management methods, Yuanxing people are rapidly enhancing their all-round high-quality service capabilities, accelerating the construction of a marketing channel network centered on complete sets of cutting technology services, and improving their comprehensive service and rapid response capabilities.

Whether one has the ability to provide customers with all-round high-quality services has become an important indicator to measure the competitiveness of modern cutting tool enterprises. What constitutes the ability to provide high-quality service for tool enterprises? It is the ability to provide customers with an overall solution for cutting processing technology. The two fundamental elements of this ability are advanced cutting tools and high-quality services.

In the post-pandemic era, the cutting tool industry has rapidly recovered. Facing the complex international and domestic environment and market changes, Yuanxing Precision Machinery has accelerated its pace of transformation and upgrading. On the one hand, we continuously launch new high-end taps of international quality; on the other hand, we accelerate the construction of a technical service network for customer applications.

In 2020, the Dongguan office was established. In 2021, the Wuxi office and the Chongqing office were set up successively. Currently, Yuanxing Precision Machinery has set up three offices. A pattern has already been formed where the Dongguan office radiates to the South China region, the Wuxi office to the East China region, and the Chongqing office to the southwest region. With a more dense service network, it provides local distributors and customers with more convenient and professional product support and technical services.

03

Slow and long-termism, deeply cultivating the niche market of tap tools

To grind a good tap, it requires a long period of soaking. Without a metallic smell, it is difficult to develop a good tap.

The changes in the external environment, the volatile international situation, anti-globalization, and industrial decoupling have become irreversible objective facts. These facts are not subject to "good subjective will". Against this backdrop, for enterprises to achieve autonomy and independence, they must increase patience in research and development, brand building, scientific management, and cultural construction. None of these dimensions can be achieved quickly. All must be the result of "long-termism".

Against this backdrop, the people of Yuanxing will continue to adhere to product technological innovation as the driving force to shape the core competitiveness of the enterprise. In the future, Yuanxing will take "iterative development of new products, application of new materials and new technologies, and intelligent manufacturing" as its main directions of attack, strive to develop and integrate technologies such as automation, informatization, and artificial intelligence, enhance the technical level in aspects such as product design and development, intelligent production, performance testing, precise inspection, and failure analysis, continuously increase investment in technological transformation, and integrate internal and external innovation resources. Strengthen the enterprise's technological research and development capabilities, forge a path of specialization, refinement, uniqueness and innovation in the niche field of tap tools, and persist in doing difficult but right things.

The future has arrived.

Deeply cultivate domestic national tap brands

The people of Yuanxing are ready for the next ten years

Manage deficiencies with an improved mindset

Predict and manage customers and other relevant parties, etc

Future demands and expectations

By continuously improving one's own performance

Promote customer satisfaction

Cultivate loyal customers

Achieve the improvement of survival and development capabilities