Tiangong International Creates Cutting Tools Industry Myth

Tiangong International Co., Ltd. located in Houxiang Town, Danyang City, Jiangsu Province, was originally a small township enterprise. In the 1980s, it was mainly engaged in the production of hardware, gadgets, and television antennas. Afterwards, as China’s open reforms continued to advance, the economy gradually took off. Under the leadership of the Group’s Board of Directors, Zhu Xiaokun, Tiangong continued to cross the difficulties and created a myth that could not be copied one after another in the industry. China's leading company in the special steel and cutting tool industry, and a modern international company that is widely sought after in the international market.

In 2008, Tiangong’s high-speed steel production continued to rank first in the country, becoming China's largest high-speed steel production enterprise for eight consecutive years.

Today, Tiangong already has more than 4,000 employees and owns the advanced production equipment and technology, large-scale production facilities and vertical integration business models of the two main industries of special steel and tools, and nearly 40 scientific research achievements have obtained national patent rights.

The myth of the transformation of township enterprises into modern international enterprises has evolved from a weak township enterprise to a large modern international enterprise. Tiangong International has embarked on a brilliant and innovative road. In Zhu Xiaokun's words, this is a road to innovation and a road to integrity.

Today, Tiangong International, located in Danyang, Jiangsu Province, has 52 high-speed steel production plants with a total area of ​​76,610 square meters, 39 high-speed steel cutting tools with a total area of ​​49,146.28 square meters, and 25 buildings with a total area of ​​83,280 square meters. Mould steel production plant. The large-scale production facilities and the vertically integrated business model have fully demonstrated Tiangong International’s dominance of the industry.

Starting from the undertaking of a village-run enterprise in 1981, Zhu Xiaokun led a group of people to engage in hardware and copper handles, and made plastic caps and long-range powerful antennas. Until it was determined that tool twist drills were the dominant products, Tiangong began to create miracles in the industry and climbed up. One peak after another in the industry.

Under the leadership of Zhu Xiaokun, Tiangong International has enjoyed significant advantages in the industry after more than 20 years of development. With the world's leading production equipment, technology, large-scale production facilities, and vertically integrated business model, special steel and tools, we have secured a leading position in the domestic and foreign industries; we have an active smelting, rolling, heat treatment, and precision alloys. A research and development team consisting of hundreds of technical talents and a number of industry experts in new materials fields, and formed alliances with a number of universities and the Beijing Iron and Steel Research Institute, gathering high-tech elites in the national high-speed steel, die steel and cutting tools industries. .

Tiangong International has been healthy and harmonious for nearly 30 years. The pioneering spirit of hard work, market orientation, credit management, and Zhu Xiaokun’s perseverance are the first pot of Tiangong’s development, and it is also the root of the great changes that have made Tiangong Group’s location and Qianxiang Village in Danyang City.

At the end of 2002 and early 2003, Tiangong Group complied with the trend of historical development and actively responded to the government's call. In strict accordance with the procedural requirements of various laws and regulations, Tiangong Group was reformed to further clarify the property rights and enhance the responsibility of the group's management team. The centripetal force that enables enterprises to develop rapidly in a market economy is the second gold that the Tiangong Group can take off and better pay back the villagers.

Last year, since the global financial crisis broke out, Tiangong Group has taken active measures to strengthen internal management, accelerate technological innovation, increase product adjustments, and improve the quality of its employees. This has made Tiangong Group overcome obstacles on the way forward and forge strong styles. The third barrel of gold that will make another leap.

Last year, Tiangong International was China’s largest exporter of high-speed steel cutting tools in terms of revenue, and its export revenue accounted for more than 15% of the total export revenue of Chinese twist drills.

In the face of achievements, Zhu Xiaokun is not satisfied. He said that Tiangong International (TG)'s business philosophy is "fine" and "fine", with the leading industry's competitive advantages, continue to expand the Chinese market, the ultimate goal is to Tiangong International to the world stage, become a global reputation Brand.

The myth of creating the industry's hegemony for many years Zhu Xiaokun once said more than once, based on the world, facing the future. Tiangong's future development goals and philosophy are: Continuously strengthen, refine, optimize, and specialize in the main business. Tiangong’s immediate goal is to achieve sales of more than 10 billion yuan in 2-3 years, and in a matter of ten years or so, to create a new and powerful world-class brand company.

In order to compete for the competitive advantages of high-speed steel and die steel, Tiangong International purchased large-scale production equipment from the financial crisis before and after last year's financial crisis. Some imported equipment is not available in domestic large steel plants, and its courage is evident.

In recent years, Tiangong has invested more than 2 billion yuan to purchase 910 reversing rolling mills, 850 flat steel production lines, 2,000 tons and 1250 tons fast forging machines and other advanced technical steel die production equipment, which has made Tiangong quickly become a domestic One of the most professional companies in the professional production of tooling and die steel technology equipment, to maximize the investment last year, for this year's performance growth challenges. For example, in terms of mold flat steel, Tiangong can produce China's widest mold flat steel with the advanced 850 flat steel production line. The width has been gradually increased from the widest domestic 600mm to 800mm; Tiangong invested 300 million yuan to import from Germany. A 1300-ton precision forging machine production line is currently the second high-end precision forging machine in China, which can inject steel ingots to 16 meters in length, far exceeding the record that most large-scale steel mills in China could only reach 12 meters at most. , And one-time product rate of more than 80%, compared with the previous increase of 10%, while economic efficiency rose by 5%, the production of its products to replace foreign imports, to achieve a leap in China's special steel industry. It is reported that 1,300 tons of precision forging machines can greatly increase Tiangong's annual revenue, and install a powerful engine for Tiangong's sales target of 10 billion yuan in the next 2-3 years.

From the sales of 80,000 yuan in 1981 to the nearly 2 billion yuan in sales in 2008, the achievements of Tiangong International are the envy of many colleagues, and the Tiangong model has been continuously recognized and studied. Zhu Xiaokun, who is at the helm, does not satisfy the traditional model development. Tiangong International has gradually embarked on the road of “competing an advantageous brand and achieving scale expansion”. With the help of Tiangong's self-manufacturing tools and the material advantages of producing high-speed steel, we have also purchased domestic and foreign brands of cutting tool companies to achieve the scale expansion of cutting tools.

Facing the continuous development of the enterprise, Zhu Xiaokun stated that it is necessary to develop special cutting tools to fill the domestic gap. He said: “The total consumption of metal cutting tools in the world is about US$13 billion, and the compound annual increase rate is 7.5%; China’s annual consumption of cutting tools accounts for about 30% of the world's total, and the compound annual increase rate is about 13.7%. With the rapid growth, the global manufacturing industry will migrate to China, and the amount of cutting tools consumed each year will increase by about 20%-30%. Therefore, the development prospects for vigorously developing high-speed steel cutting tools are very broad."

At present, Tiangong is committed to expanding the production of various high-quality automotive cutting tools and aerospace cutting tools. In recent years, it will import nearly 20 million U.S. dollars worth of advanced tool manufacturing equipment from the United States to meet the demand for cutting tools for domestic precision machine tools, laying the foundation for Tiangong to seize a broader domestic market.

Starting from a loan of RMB 2,000, from small to large, from domestic to international, from industry to capital, Zhu Xiaokun and Tiangong have left a brilliant footprint at every step.

On July 26, 2007, Tiangong International began another interpretation of mythology. Tiangong International was on the stage of the international capital market. Strengthen capital operation and provide capital protection. We will make full use of Tiangong International’s platform for listing on Hong Kong’s international capital market, seize the opportunity, and increase the number of new shares to be raised to provide capital security for Tiangong’s accelerated development.

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