After years of development in China's hardware industry, with the improvement of China's international status and intensified industrial competition, the hardware industry continues to seek development in the new situation presents the following characteristics. From these characteristics, we can see the development trend of China's hardware industry in the future.

Growing demand for hardware tools As China's status in the world continues to increase, more and more countries around the world are starting to use Chinese hardware products, which to a certain extent stimulated the development of China's hardware products. In recent years, with the acceleration of the global economic integration process, the Chinese hardware tool processing industry has gradually become the main force of the world's hardware and tool industry. The demand for hardware tools in some developed countries, especially in Africa, the Middle East and other developing countries, is increasing at a rate of more than 10% per year. Hardware tools are labor-intensive industries. As a hometown of hardware, Yongkang has become a gathering place for hardware tools with low-cost traditional competitive advantages.

At the same time, the quality of hardware products will increase, and the requirements of international markets for China’s hardware products will gradually evolve and change. There will be higher requirements for the quality, packaging, and delivery terms of Chinese products, and even gradually extend to the production process and product development. Products are combined with environmental protection, energy resources, and the human environment. The huge market and central position attraction will further attract the hardware manufacturing center of multinational companies to transfer to China. The integration with foreign companies will continue to enhance the quality and competitiveness of Chinese hardware products. While continuing to expand markets in the United States, Japan, and other traditional countries, Southeast Asia, the Middle East, Russia, Europe, and Africa will also fully blossom.

Capital Expansion Intensified After China's accession to the WTO, under the global environment of competition, in order to enhance competitiveness, industrial capital has become an important theme for the operation of the industry. In 2004, Supor and Vantage went on the market successively. Hongbao was also working hard for the listing. Wanhe's capital market operation will not stop due to the failure of restructuring with Yuemei. From a capital perspective, the current major feature is the expansion of capital.

The cooperation between enterprises is increasing. From the perspective of competitive behavior, the cooperation between resource sharing among enterprises is increasing. On the one hand, manufacturers have strengthened control over retail terminals, and strive to reduce sales links, save sales expenses, and make sales channels more professional. The corporate sales model is developing in a direction that can adapt to multiple markets at the same time. On the other hand, the development trend of the sales industry has led to the continuous rise of the status of large-scale home appliance chain stores, increased control over the industry, and participation in the price competition that was previously dominated by manufacturers. Large retailers, with their broad market coverage, purchasing scale, and cost advantages, will increasingly control the production companies in terms of product pricing, payment, and delivery. As a subordinate small and medium-sized enterprise, it will be in a disadvantageous position in the competition under this trend.

From the above point of view, the trend of increasing tool hardware requirements, hardware product quality, capital expansion, and cooperation between companies is not a bad thing for powerful hardware companies. When such large companies comply with this trend, The development trend will only gradually become stronger and bigger. For small and medium-sized hardware companies, there may be gaps in product quality, and there are relatively few opportunities for cooperation, let alone capital operations. Therefore, in the hardware industry continues to develop and progress, the survival environment of small businesses will become increasingly difficult.