DUBLIN–(Business Wire)–
Research and Markets
(http://www.researchandmarkets.com/research/950eba/china_sourcing_rep) has
announced the addition of the “China Sourcing Report: Tools – 2010″ report to
their offering.

Report Overview

China’s tools industry is gearing itself to face an uncertain business
environment. While suppliers generally expect 2010 to yield better results than
2009, a number believe that exports will not revert to precrisis levels until
the next two to three years.

With this outlook, manufacturers and trading companies alike remain keen on
keeping their price advantage over foreign counterparts. The strategy is
becoming harder to sustain, however, since the outlay for stainless steel and
other key raw materials are again on the rise.

To mitigate the effects of cost increases on prices, companies will continue to
move the sales mix toward differentiated, higher-value models. Most will focus
on the DIY segment, but a number are also expanding their selections of
professional tools.

The report covers the major products of the industry, namely hand and powered
implements, garden tools and water-distribution devices, and tool storage
systems.

What you’ll get

* In-depth profiles of 26 major suppliers with a comprehensive look at their
manufacturing and export capability, verified contact details, and more this
information is not available anywhere else
* 81 full-color images that depict popular tool export models, complete with
product descriptions, prices, minimum order requirements and delivery times
* Supplier information in tabular format to help you compare companies at a
glance
* Results of the custom-designed supplier survey, which forecasts industry
trends for the next 12 months
* An extensive overview of the industry discussing the main challenges facing
suppliers
* An in-depth examination of the supplier base highlighting key characteristics
of different types of companies
* Details of the primary production centers
* An update of the latest trends in design, R&D, materials and components
* A review of the key factors that influence the price and quality of low-end,
midrange and high-end products
* Comprehensive pricing tables featuring export price ranges

Who should read this report

* CEOs, Directors, Presidents, Business Owners
* Export/ Import Managers, Sourcing Representatives, Sourcing Engineers, Supply
Chain Directors, Procurement Managers, Agents
* Sales Executives & Managers, Marketing Executives & Managers, International
Buyers
* Business Consultants, Investment Managers
* Anyone who needs to understand the China supply market

Chinas tools industry is gearing itself to face an uncertain business
environment. While suppliers generally expect 2010 to yield better results than
2009, a number believe that exports will not revert to precrisis levels until
the next two to three years.

With this outlook, manufacturers and trading companies alike remain keen on
keeping their price advantage over foreign counterparts. The strategy is
becoming harder to sustain, however, since the outlay for stainless steel and
other key raw materials are again on the rise. In fact, for many companies,
reductions are unlikely in the months ahead should these and other cost drivers
climb. Per-unit margins are already down to less than 10 percent due to price
cuts implemented in early 2009.

Besides rising expenses, makers are preparing to face continued appreciation of
the yuan against the US dollar and other currencies, which will similarly put
pressure on prices. Moreover, this will raise the quotes of China-made tools
overseas, even with companies not implementing any adjustments.

Suppliers capability to offer stable prices is also in jeopardy. When there is
little or no fluctuation in the exchange rate, the validity of quotas can be
longer than two months. Otherwise, quotes can only be fixed for 30 days or less.

Facing these challenges, the following are some of the key trends we see in
Chinas tools industry as suppliers aim for better margins and overall
competitiveness.

* To mitigate the effects of cost increases and the exchange rate on prices,
companies will continue to move the sales mix toward differentiated,
higher-value models. Most will focus on the DIY segment, but a number are also
expanding their selections of professional tools.
* Upcoming releases are expected to come in more colors, particularly with
regard to handles. Upgrades in ergonomics, environmental friendliness and
durability are also anticipated.
* Some makers will be offering more models under in-house brands to
differentiate themselves further. The strategy, however, is limited mainly to
those operating on a large scale.
* Eastern Europe, Central and South America, Africa, the Middle East and the
Asia-Pacific region will become important export destinations for many
companies. Even so, the EU and North America are projected to remain key
markets.
* For additional savings that will insulate them against cost fluctuation
suppliers are adjusting operations to achieve greater efficiency and reduce
defects. Further, a number are using forward contracts and other instruments to
mitigate foreign exchange risk.

The report covers the major products of the industry, namely hand and powered
implements, garden tools and water-distribution devices, and tool storage
systems.

The categories are discussed in separate sections. For each, details on the
different types offered line, their common features and key price determinants
are provided.

The latest trends in materials and designs are also discussed. Information on
the supplier base and key hubs can likewise be found.

The Industry Overview elaborates on issues affecting production and exports. It
also identifies the common strategies manufacturers are employing to cope with
challenges and enhance overall competitiveness.

To reflect the industry structure, the majority of the suppliers featured in
this report are local, privately owned enterprises. Fifty percent are based in
Guangdong, Zhejiang and Jiangsu provinces, which are the primary sources of
tools in China.

Key Topics Covered:

* INDUSTRY OVERVIEW
* Supplier summary
* Main production centers
* Supplier demographics
* Production & exports
* Hand tools
* Power tools
* Garden tools
* Water-distribution systems
* Tool storage
* Supplier survey
* Export prices, export sales, target markets, capital expenditure, challenges,
capability, R&D focus
* SUPPLIER PROFILES
* Supplier locations
* Industry composition
* Top 20 exporters
* Supplier matrix
* Production checklist
* Supplier profiles
* PRODUCT GALLERY
* Top-selling export products

Methodology:

To produce this report, Global Sources surveyed a wide range of suppliers.
Rather than focus simply on high-profile makers, we compiled a representative
sample of large, midsize and emerging manufacturers. All profiled companies are
export-oriented professional suppliers that may or may not be clients of Global
Sources.

The selection of suppliers is designed to reflect the composition of the
industry in China in terms of geographic spread, business type and company
ownership.

For in-depth company profiles, our research teams interviewed senior executives
and export managers who discussed their recent performance and provided R&D,
production and export forecasts for the next 12 months. The interviews were done
in person, by phone or e-mail.

In each case, companies were required to answer specific questions designed to
verify their manufacturing and export credentials, including their production
and export statistics, and a breakdown of exports by product type and market.
Our production checklist details the product-specific manufacturing capability
of each supplier.

All profiled suppliers participated in a survey designed to provide insight into
product and price trends, and challenges facing the industry. All survey
questions are single choice. Results were calculated based on the actual number
of valid responses to each question.

For more information visit

http://www.researchandmarkets.com/research/950eba/china_sourcing_rep

Research and Markets
Laura Wood, Senior Manager,
press@researchandmarkets.com
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716

Copyright Business Wire 2010