Venue : Bangalore International Exhibition Centre (BIEC) … · 2016-05-25 · Source : the Korea National Statistical Office Statistical Survey Report on Mining and Manufacturing

Source : the Korea National Statistical Office

Statistical Survey Report on Mining and Manufacturing (2015)

based on companies with 10 or more employees

COUNTRY REPORT

31TAGMA TIMES NEWS LETTER • -2015SEPTEMBER

INDIA-2016

Venue : Bangalore International Exhibition Centre (BIEC)

Bangalore, Karnataka, India

Date : 6th to 9th April, 2016

A. Market Trend

a. Market Overview

b. Production Status by Categories

• Total production consists of 62.5% of domestic

demand and 37.5% of export to over 120 countries.

• Although recent lasting exchange rate slump of JPY

and EUR leading to lower profitability, Korea die and

mold industry reached its record high in export in

2014.

• Die and mold production growth rate 5.6% export

growth rate 20.7%

• In 2013, plastic mold accounted for 44.1% of the

entire die and mold production and press die for

35.3%; both amounting to 79.4% in total.

• Average growth rate of plastic mold is 6.8% during

last 3 years.

Korea Die And Mold Industry June 24, 2015 _____________________________________________

• Average growth rate of press die is 11.2% during last

3 years.

• The total volume of mold export is 3.23 billion

dollars in 2014. (20.7% increased from 2013)

• In 2014, export to China and Japan recorded over

500 million dollars for the first time.

Export to China reached 563.17 million dollars, the

1st place on the list.

China remained the 2nd largest importer of Korean

die and mold products from 2010, but there was an

increased demand for press die due to development

of Chinese automobile industry, and it led entire mold

demand in China.

• Diversification of export

c. Distribution of Die and Mold Company in Korea

(2014)

d-1 Export

3

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3

3

3

Unlike major market was limited Japan, China, and

USA in past year, there were no country who has ratio

over 20% in total volume of Korea mold export 2014.

It came from the result of Korean mold makers’

effort to search new market.

Also, export to emerging markets such as Turkey and

Russia resulted in sharp increase in export at large,

especially export to Europe drove growth of entire

export during last year.

• The total volume of mold import is 160 million

d-2. Import

dollars in 2014. (2.4% decreased from 2013)

• Import of die and mold products in 2014 recorded

160 million dollar, 2.4% decreased from 164.4 million

dollars last year (2013).

• Change in import countries due to economic

recession

Imported 3.97 million dollars and 3.65 million

dollars of products from Thailand and Malaysia,

respectively, despite lower import dependence

before.

Even though its share plunged 3.7% from that of

2013, Chinese market share is increasing continuously

in Korean market with price-competitiveness, and

import from Southeast countries such as Thailand

rose as well.

Because of global economic recession, Korean

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32 TAGMA TIMES NEWS LETTER • -2015SEPTEMBER

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economy also continued to become sluggish, raising

demand for cheap imported die and mold products..

d-3. Demand for Molds by Industry

• Demand for mold in Korea according to industry,

automobile 34.3%, electronics 27.6%, IT 11.7%, H/A

8.9%, semiconductor 4.3%, O/A 3.8%, and others

9.6%.

• The mold demand would be increased mainly in

automobile and IT industry.

• Despite of economic hardship in major die and mold

export and import country, mold demand of

automobile industry expected to further grow thanks

to economic recovery in USA and Europe.

a. Prospects for Die and Mold Related Industries

Machine Tools

Tools

– As domestic economy was sluggish in 2014, Korea

machine tools industry growth rate was lower than

expected, 1.4% due to delayed development of new

cars and reduced domestic investment in facilities.

– By industry, automobile and parts accounted for

35.0%, general equipment 19.5%, electronics • IT

12.5%, metal 9.0%, and shipbuilding • aviation 5.2%,

there was no dramatic change in share compare with

the previous years.

– For 2015, the production is expected 5.66 billion

dollars, 5.3% up from last year according to moderate

recovery in the domestic and foreign economy.

– Increased demand is projected in existing major

importers like USA and Europe, resulting YOY 5%

increase in domestic investment in facilities.

– When it come to the IT industry, in particular, using

metal design in mobile phone will drive growing

demand in tapping center . Also, with the help of

release of new cars and decrease of consumption tax

for mid-size cars, growing demand in domestic

automobile industry is positive effect to machine tool

industry.

– In the 1st half, the unit price of Korean tool product

was decreased due to price competition because of

most market focused on cost reduction not only

existing but also emerging country, and fluctuation in

foreign exchange rate also led low profitability.

– However, demand for consumables is stable,

development of related industry such as automobile,

semiconductor, IT and electronics was main factor of

tool production could be increased by 4.6% compare

with 2013.

– Among others, production of the tool industry was

increased covering tools for difficult-to-cut such as


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Date : 6th to 9th April, 2016COUNTRY REPORT

nano-diamond and small tools related to mobile

phones last year, but cutting tool for automobile

related with die and mold industry suffered fall of

demand due to decrease of domestic production,

increase of overseas production, and sluggish

domestic sales.

– In 2015, economic growth rate of Korea is expected

over 3%, the production of the tools industry could

achieve 3.152 billion dollar, 3.7% up.

– Due to overall global economic was slow downed,

demand for consumer goods has fallen in 2014, the

profit of Korean plastic chemical industries is

decreasing during 3 years.

– The automobile industry, a major consumer of

plastic items , is likely to hit a low growth rate around

3% in 2015.

– However, demand for new technology refer to eco-

car and other goods to improve fuel efficiency is likely

to record sharp growth in 2015.

– In particular, the trend of regulation for gas refer to

greenhouse effect and smoke from car is leading

investment and research to develop new plastic

applied material, the plastic industry could be change

to rising curve based on such trend and traditional

existing demand for electronics, IT products.

– Also, applied industries in bio-plastic and recycling

technologies are expected to drive progress in the

industry.

b. Prospects for Demand from Major Die and Mold

Consumer Industries & Production Conditions

• Virtuous cycle of export and production of die and

mold by maintaining and reinforcing competitiveness

of the industry

Plastic Industry

Automobile Industry

– Operating automobile facility in China and Brazil.

– Export to overseas car makers and supply to

overseas factories likely to grow.

– Increase in demand for SUVs with high share in

export , launching new-car

• Automobile will drive the development of the

Korean die and mold industry with the IT industry

• The industry expected to grow both in production

and export.

– Having the brightest prospects among major die and

mold demand industries.

– Despite of PC and smartphone market was

saturated, increasing in export of overall

manufacturing industry will give positive effect to

semiconductor industry through by new applied field

demands for such as servers, wearable devices, SSD,

and cars.

• However, the ratio of semiconductor in the Korean

die and mold industry is only 3.4%, it seems the

positive effect is not very much critical.

• Worsening domestic and global conditions led to fall

in production and export last year.

– Despite favorable factors such as 2014 Brazil World-

cup, domestic demand continued to become sluggish

for a long time.

• Competition becomes fiercer; aggressive R&D

investments of competitors , fluctuation of exchange

rates, and FTAs.

• Growing global demand likely to increase export and

production.

– Better living standards of developing country lead to

growing demand for innovative items such as UHD

TVs.

– Industry leaders in Korea increase investments and

make efforts to gain differentiated competitiveness

based on technological advantage, expecting 3.4% of

export this year.

Semiconductor Industry

H/A Industry

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IT Industry

a. Result of Expo in Korea

• Growing export likely to continue this year.

– Growing subscribers of smartphones lead to

growing demand and release of newest smartphones.

– In emerging markets including developing countries,

replacement for SSD and computer parts results in

growing demand.

• Lower growth rate than before, though.

– Due to the nature of IT industry is most sensitive to

economic condition, effect of external factors and

increase of lower prices items from new competitors

results in fiercer competition.

• Title: INTERMOLD KOREA 2015

The 22nd Korea Int'l Die

• Mold & Related Equipment Exhibition

• Period : March 10(Tue) - 14(Sat), 2015 / 5 days

• Venue: Exhibition Center 1, KINTEX

• Participants: 430 companies from 20 countries,

32,000m (1,850 booths)

• Visiting countries: 32 countries

• Scale of exhibition held together with expos of

related industries

• Other events: over 20 events including seminars on

die and mold industry and related industries

• INTERMOLD KOREA 2017 is scheduled for Mar 2017.

(biannual)

b. Overseas marketing activities

• Participation in overseas’ die and mold exhibition

and other related industries

2

Content of report

Engineering supporting services

engineering supporting services

• Engineering supporting services - background

information

• Malaysia economy - facts and figures

• Engineering supporting services - facts and figures

Trends and opportunities

• Engineering supporting services - background

information

The Malaysian

covers the following sectors :

• The MOULD and DIE Sector

• The Metal Machining Sector

• The Metal Stamping & Pressing Sector

• The Casting and Pressure Die Casting Sector

Country Report - Malaysia ____________________________________________________________

• The Surface Engineering Sector

• The Heat Treatment Sector

• The Forging Sector

MOULD & DIE Sector

• Established since the 1970s with the arrival of

investments of multi-national companies, especially

in the E&E sector.

• Initially set up to support these MNCs.

• Subsequently developed into full-fledged mould &

die making entities with capabilities in designs,

development, and fabrication of very high precision

and complex toolings.

• About 1200 companies, including SME’s in the

market, providing about 25,000 jobs.

• One of the leading supporting industries.


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Metal Machining Sector

Metal Stamping & Pressing Sector

Casting and Pressure Die Casting Sector

The Surface Engineering Sector

• About 1000 companies, including SME’s

• Two categories:

– Contract machining/components for the

automotive, oil and gas, standards parts like pins,

bushings and shafts, gears, E & E, etc.

– Low volume/high mix, made to order,

jobbing/repair

• Mixed of high precision & general

• It is a very well established sector


• Supporting industries such as automotive, E & E,

machineries & equipment, and packaging

• Demand for high speed stampings & high precision

parts

• Demand for stamping and pressing of

parts made from high strength materials

• Fine blanking


• 30% cater for the automotive industry

• 50% cater for consumable goods:

components for home appliances,

c a m e r a s , c o m p u t e r s , E & E ,

telecommunication

• About 40 companies, including SME’s; 80% of them

are foreign owned, or joint ventures

• General metal based plating process –

– All types of plating process, anodizing, phosphating

• Servicing semiconductor (e.g. lead frames), E & E,

automotive industries

• Thermal Spray, servicing e.g. the oil & gas industry


• Essential service for metalworking industries

• Services include hardening & tempering in

conventional and vacuum furnaces, standard

treatments such as annealing, normalising

• Surface treatment such as carburising,

carbonitriding, nitriding, PVD coating, flame and

induction hardening

• Cryogenic or sub-zero treatment

• Batch and continuous processes

Heat Treatment Sector

• Malaysia economy - facts and figures

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GDP 2005-2014

MALAYSIA INDUSTRIAL PRODUCTION INDEX (IPI) - MANUFACTURING 2014

Malaysia's Top 6 Exports in 2013 & 2014


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MAJOR EXPORT & IMPORT DESTINATIONS - 2014

MALAYSIA ECONOMY - TOP TEN TRADING PARTNERS

- 2014

Investments & employment in approved projects in

2013 & before : USD1.00 = RM3.00

2014 : USD1.00 = RM3.27

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manufacturing sectors

RINGGIT MALAYSIA against MAJOR CURRENCIES as

at 31 Dec, 2014

Engineering supporting services - facts and figures

Mould & Die Sector - Total Import & Export, USD

million

Import / Export Duties & Taxes

Industry Related Fairs & Exhibitions 2015

Mould & Die Sector - Total Import & Export, USD

million

Mould & Die Sector - Total Market 2014, USD Million

Mould & Die Sector - Total market, USD million

Engineering Supporting Engineering

• Moving towards high value-added chain; this

achieved through and driven:

– capabilities in high precision and complex processes.

– accumulated knowledge and experience over the

last 40-50 years.

– Investments in sophisticated equipment and

processes

– Relatively skillful workforce.

– stringent market demand for sophistication and

quality, both locally and internationally.

– Increasing costs of production and competition

demand higher efficiency and quality.

– moving towards quality rather than price driven

markets.

• The estimated total market size of the Malaysian

mould & die, tooling technologies is about USD 820

million

• If the machining sector is added to it, the total is

estimated to be worth approximately USD 1.2 billion

• This USD 1.2 billion includes imports, exports, and

the locally produced moulds & dies, toolings, jig &

fixtures, machined components for domestic

consumption

• The total GDP in 2014 for the manufacturing sector

in Malaysia at current prices is about USD 78.4 billion

Mould & Die Sector - Import & Export, USD million



INDIA-2016




• Focusing on high precision moulds and dies for the

semiconductor, and the electrical and electronics

industries.

• Companies are looking outward and moving into the

export market.

• The market is relatively large within ASEAN, with a

worth estimated at about USD 820 million.

• The value of imports of moulds & dies is substantial,

at about 40% of the total market size; hence this

presents encouraging opportunities.

• Excellent supporting services and infrastructure for

investments in the manufacturing and other sectors.

• Developing into a service and supply hub for the

precision engineering supporting industry.


For the Mould & Die Sector

For the Mould & Die Sector

The main focus of is in the:

• Both the import and export of the mould and die

sector registered an increase compared to previous

few years.

• The future remains bright with the continuing high

annual market demand; as indicated by the significant

importation of moulds and dies.

• Export opportunities to the ASEAN region remain

significant; and also with increasing export trend

towards the EU market.

Venue : Bangalore International Exhibition Centre (BIEC) … · 2016-05-25 · Source : the Korea National Statistical Office Statistical Survey Report on Mining and Manufacturing

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