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11-th FSC Conference
The 11th Global Foundry Sourcing Conference 2012, organized by Suppliers
China Co., Ltd. (SC) and co-organized by National Technical Committee on Foundry
of Standardization Administration of China, was successfully held in Grand
Regency Hotel, Qingdao, China on Sept. 19th 2012.
The conference has attracted over 460 participants from home and abroad
including more than 80 purchasers from 18 countries. There are also many
delegates from 18 World Top 500 enterprises attending the conference such as
Siemens, Bombardier Inc., ALSTON, Honeywell, Continental AG, Volvo,
Knorr-Bremse, Joy Global Inc., Carraro, etc. Moreover, the organizing committee
invites over 230 casting manufacturing companies from Germany, Australia, India,
China mainland, Hongkong SAR and so on to attend the conference.
It is reported that FSC conference is totally from other conferences like the Canton Fair featured with suppliers setting booth, the FSC conference is focused on purchasers, namely, the transnational buyers hold purchasing presentations and negotiate with suppliers all over the world face to face.
The director Mr. Wang Longhe said on the opening ceremony:” the global economy is experiencing recession, which naturally affects global foundry industry. The international buyers continuously promote and accelerate the global supply chain integration to reduce production cost of precision castings, through shifting the purchasing projects with low technical requirements in China to India, Thailand and Vietnam, etc. Meanwhile, the purchasers have switched to China`s market form Europe for more high-end castings to speech up their localization.” Mr. Wang Longhe also said:” there are already 80 enterprises from World Top 500 who have set up procurement centers and offices in China.”
It is seen by the reporters that the organizing committee has released most casting buyers` purchasing lists in advance. During the conference, the casting producers are looking for related buyers for negotiation with holding Global Casting Information. A delegate from the World Top 500 said:” we actually have a lot of projects required to be promoted. For the past several years, we have conducted some small pilot operations, through which we find that the foundry technology and management level in China`s foundry industry are growing quite fast. So our headquarter in Europe decides to carry forward the localization projects and hope to find more qualified casting suppliers in China, in order to reduce purchasing quantity in Europe as well as the procurement cost.”
The principal in China from the largest independent foundry company in Germany-Fritz Winter Eisengießerei GmbH & Co. KG, said:” our main clients cover some important manufacturers in European and American auto industry like Benz, Vlokswagon, MAN Inc., Caterpillar and so on. We now are willing to cooperate with China`s companies and establish factories in China to produce more qualified castings and cope with the trend of global supply chain integration.”
During the negotiation time, many Indian and Australian foundry manufactures have an enthusiastic discussion with the purchasers. Furthermore, A-cast Alloy from India makes a product promotion which attracts great attention from the buyers. Is China the “Global Factory”? Why the overseas casting suppliers come here to snatch orders with us? One Asia Pacific purchasing director of a World Top 500 enterprise who doesn`t want to tell his name expresses, most of the multinational enterprises purchase products from all over the world, they would like to choose the producing place with lowest cost under the premise of the spirit to ensure the quality and the date of delivery. Compared with China, India has the advantages of language and low labor cost, but it also has the disadvantages of poor infrastructures and imperfect supporting facilities. Currently, buyers still purchase in China for some important projects, however, they`ll switch to India, Thailand and other places because of labor shortages in China`s factories, increased environmental protection cost, unstable exchange rate, etc. As time goes by, the cost pressure of Chinese factories is about to exacerbate, which will make it possible for China to lose more orders.
As the committee principle says, FSC is a professional purchasing conference which is held the earliest time in China with the largest scale. The conference is held twice a year, namely in Shanghai and Qingdao, and serves over 80 World Top 500 enterprises. This time, most buyers are multinational manufacturing enterprises. With the international purchasers promoting and accelerating global supply chain integration, there are now not only the middle and low-end casting purchasing orders in China`s market but also more and more high-end projects. These orders also attract high attention of overseas casting factories and they come to China to negotiate directly rather than just wait and see as before. Actually, it is the immediate reflection of global economic integration and multinational supply chain integration.
The FSC conference can not only help shift the international high-end casting industry to China and push forward the upgrading of Chinese traditional industry, but also promote the production technologies and management levels, which will have a profound significance for the long-term development of China`s foundry industry.
It is reported that the 12th Global Foundry Sourcing Conference will be held in Rainbow Hotel, Shanghai on Mar. 28th 2013!
For further information, please visit http://en.fsc86.com