Way to understand more about the tool industry supply

1. -1-

2. Content
Content ......................................................................................................................................................................... - 2 -
Copyright Notice.......................................................................................................................................................... - 3 -
1 Overview of Hand Tool Industry ................................................................................................................... - 4 -
1.1 Definition of Hand Tool Industry .............................................................................- 4 -
1.2 Certification in Hand tool Industry ..........................................................................- 4 -
1.3 Regulations on Manufacture and Export Trades of Hand Tool Industry.................- 4 -
2 Current Status and Prospect of Hand Tool Industry Exports ............................................................... - 5 -
2.1 Current Status of Hand Tool Industry .....................................................................- 5 -
2.2 Introduction to Main products in Hand Tool Industry ..............................................- 5 -
2.3 Main Export Markets for Hand Tool Industry ..........................................................- 9 -
2.4 Analysis on International Market Demands in Hand Tool Industry.........................- 9 -
2.5 Main Production Places for Hand Tool Industry in China .....................................- 10 -
2.6 Stars in Hand Tool Industry...................................................................................- 10 -
2.7 Prospect of Hand Tool Industry ............................................................................ - 11 -
3 Analysis on Characteristics of Alibaba Hand Tool Industry Buyers ................................................. - 12 -
3.1 Continent Distribution of the Buyers.....................................................................- 12 -
3.2 Top 5 Countries/ Regions with Most Buyer Feedback .........................................- 12 -
3.3 TOP Researched Keywords .................................................................................- 14 -
3.4 Representatives of Alibaba Hand Tool Industry Buyers (Partial)..........................- 15 -
-2-

3. Copyright Notice
Alibaba.com Hong Kong Limited ("Alibaba.com") respects and rigorously abides by intellectual property laws.
Accordingly, Alibaba.com rightfully expects the same of all parties who use this www.alibaba.com website (“Site”).
Alibaba.com and/or its affiliates are owners or lawful licensees of all content (including but not limited to designs,
logos, color schemes, graphic styles, text, images and videos) displayed on this website. Any unauthorized copying,
publication, reproduction or distribution of copyrighted works is an infringement of the copyright owners' rights and
is therefore prohibited.
Any unauthorized use of Alibaba.com's patents, trademarks, service marks, logos, slogans, screen shots, graphic
styles, designs, copyrighted materials or any branded features ("Alibaba Proprietary Property") without the prior
written permission of Alibaba.com is strictly prohibited. If you infringe upon Alibaba.com's rights with respect to any
Alibaba Proprietary Property, you will be ordered to cease such illegal activity and you will be strictly liable to
Alibaba.com for any and all damages (including recovery of attorneys' fees) which may be suffered and/or incurred
as a result of your infringement.
If you are a legitimate copyright owner who believes that your rights have been infringed upon in any way through
the content or services provided on this website, please notify us at:
Alibaba.com Hong Kong Limited
c/o Alibaba.com Hong Kong Limited
Room 24F-05 Jubilee Centre
18 Fenwick Street
Wanchai, Hong Kong
Telephone No. (852) 2215 5100
Facsimile No. (852) 2215 5200
-3-

4. 1 Overview of Hand Tool Industry
1.1 Definition of Hand Tool Industry
Hand tools are also called general hand tools, mainly including the following varieties of products: the
wrenches, the pliers, the hammers, the screwdrivers (the screw drivers), the files, the hacksaws, tin snips and
other similar tools.
1.2 Certification in Hand tool Industry
Seen from the overall industrial standards of the hand tool industry, there are mainly these representative
types of certifications as follows:
Name of
Certification Logo Certification Organ Content of Certification
Certification
The GS Logo is a safety logo
accepted by the European
customers. Generally,
GS Certification Germany
products with GS Certification
are in higher unit prices and
are more popular.
In recent years, Russia
strengthens compulsory
GOST Russia certification management for
imported commodities,
including tool products.
It mainly restricts for the use
ROHS
EU of some dangerous materials
Instructions
in the products.
Certification for quality
ISO9001 General
management systems.
Test on whether the safety,
sanitation, environmental
protection and protection for the
C E Safety consumers of the products have
EU
Certification reached the required standards
of Europe and the New
Approach for Coordination and
Standardization of Technology.
1.3 Regulations on Manufacture and Export Trades of Hand Tool Industry
On June 18, 2007, after the discussion with National Development and Reform Commission,
Ministry of Commerce and General Administration of Customs, Ministry of Finance and State
Administration of Taxation issued C.S (2007) No. 90 Notice on Reducing Export Rebate Rates
of Partial Commodities which will take effect on July 1, 2007. The export rebate rate of hand
tools reduces from 11% to 5%.
-4-

5. 2 Current Status and Prospect of Hand Tool Industry Exports
2.1 Current Status of Hand Tool Industry
In recent years, as the economic globalization accelerates, the hand tool processing industry of China
becomes the main force in hardware tool manufacturers throughout the world. No matter in the international
tool markets or in the Chinese tool markets, the wide application and large demands in hand tools are beyond
imagination. The demands of some developed countries in hand tools increased by more than ten percent
every year. At present, production of hand tools is mainly influenced by the prices of raw materials such as the
prices of steel products. Hand tools are products with meager profits, and the market competition is fierce.
Apart from reasons of the enterprise itself, the competitiveness of hand tool products is mainly decided by the
quality of raw materials, that is the quality of steel products. Presently, steel products for partial hand tools are
faced with the problems of surface quality and internal cracks, which are problems of steel smelting
technology that cannot be ignored
Export Volumes of Hand Tools over the Years
According to statistics from UN Website, from 2003 to 2007, export of hand tools in China increases
annually; in 2006, the export volume was USD 968 million; in 2007, the export volume reached USD 1.165
billion, a year-to-year increase of 20%. From January to May 2008, exports of this kind of products reached
USD 632 million, developing fast. (Note: the export volume mainly refers to the total export volume of the
following key products.)
Historical Export Revenue Distribution
(unite: 100 million U.S $)
11.65
9.68
8.22
6.89
6.32
5.41
2003 2004 2005 2006 2007 2008(1-5)
2.2 Introduction to Main products in Hand Tool Industry
• Axes and Bush Hooks
In recent years, exports of axes and bush hooks increased fast. In 2006, the export volume was USD 35
million; and in 2007 was USD 42 million, a year-to-year increase of 20%. Holland is the main export country
for axes and bush hooks in China, accounting for 12%; other main export countries are, in turns, USA, Kenya,
Germany and Russia.
-5-

6. Historical Revenue Distribution
(unite: 100 million U.S $) Distribution of export countries
0.42 Germany
Russia 4%
5%
0.35 Kenya 6%
0.31
0.26 US 11%
0.22
Oth ers 62%
Finland 12%
2003 2004 2005 2006 2007
• Junior Hacksaws
In recent years, exports of junior hacksaws increased fast. In 2003, the export volume was USD 33
million; and in 2007 was USD 78 million, increasing 136.4% in export volume compared with that in 2003.
USA is the main export country for junior hacksaws in China, accounting for 15%; and then England,
accounting for 7%.
Historical Revenue Distribution
(unite: 100 million U.S $) Distribution of export countries
Russia 6%Germany
0.78 6%
0.70
UK 7%
0.58
0.46
0.33 US 15%
Others 60%
Finland 6%
2003 2004 2005 2006 2007
• Steel Files and Rasps
Between 2003 and 2007, exports of steel files and rasps increased fast. In 2007, the export volume was
USD 30 million, increasing 25% compared with that in 2006. USA is the main export country for steel files and
rasps in China, accounting for 16%; and then Japan, England, Holland and Germany.
Historical Revenue Distribution
(unite: 100 million U.S $) Distribution of export countries
UK 5% Germany
5%
0.30
0.24 Japan 10%
0.20
0.18
0.15 Germany
Others 59% 5%
Finland 5%
2003 2004 2005 2006 2007
-6-

7. • Pliers and Tweezers
In 2007, exports of pliers and tweezers reached USD 269 million, developing fast. USA is the main export
country for pliers and tweezers in China, accounting for 34%, which is over one third of the market share.
Historical Revenue Distribution
Distribution of export countries
(unite: 100 million U.S $)
2.69 Other Asian
2.31 Countries
1.94 5% Germany
4%
1.71
1.34 Others 48%
US 34%
Finland 4%Canada 5%
2003 2004 2005 2006 2007
• Tin Snips
In 2007, exports for tin snips in China reached USD 16 million, developing fast. USA is the largest export
country , accounting for 21%; and then, in turns, Russia 5%, England 5%, Indonesia 5%, and UAE 4%.
Historical Revenue Distribution
Distribution of export countries
(unite: 100 million U.S $)
United Arab
0.16 Em irates
Indonesia
0.13 4%
5%
UK 5%
0.10 0.10 Russia 5%
0.07
Others 60% US 21%
2003 2004 2005 2006 2007
• Wrenches
Exports for wrenches increases fast in China. In 2006, export volume reached USD 201 million; and in
2007 it was USD 283 million, a year-to-year increase of 41%. USA is the largest export country, accounting for
35%.
Historical Revenue Distribution
Distribution of export countries
(unite: 100 million U.S $)
2.83 United Arab
Emirates
Japan 4% 4%
2.01
Canad a 4%
1.59
Other Asian
1.29 Others 46%
1.04 Countries
7%
US 35%
2003 2004 2005 2006 2007
-7-

8. • Hammers
In 2007, exports for hammers in China reached USD 153 million, developing fast. USA is the largest
export country, accounting for 23%; and then England, UAE, Holland and Indonesia.
Historical Revenue Distribution Distribution of export countries
(unite: 100 million U.S $) United Arab
Emirates
5%
1.53 Finland 4% Indonesia
1.34
1.18 4%
1.03
UK 5%
0.86
US 23%
Others 59%
2003 2004 2005 2006 2007
• Carpenter Planes and Chisels
In 2007, exports for carpenter planes and chisels in China reached USD 55 million. USA is the largest
export country, accounting for 20%; England 10%, Russian 8%, Holland 5% and Indonesia 4%.
Historical Revenue Distribution Distribution of export countries
(unite: 100 million U.S $)
Indonesia
0.55 4% Finland 5%
0.44
0.41 Russia 8%
0.35
UK 10%
0.26
Others 53%
US 20%
2003 2004 2005 2006 2007
• Screwdrivers
In 2003, the export volume for screwdrivers in China was USD 96 million; and in 2007 increased to USD
198 million. Exports for Chinese screwdriver products are mainly in European and American countries: USA is
the largest, accounting for 20%; and then Holland, accounting for 7%.
Distribution of export countries
Historical Revenue Distribution
(unite: 100 million U.S $)
Germany
5% Can ad a 5%
1.84 1.98
1.59 Finland 7%
UK 6%
1.28
0.96
Others 57%
US 20%
2003 2004 2005 2006 2007
-8-

9. 2.3 Main Export Markets for Hand Tool Industry
Main Export Markets for Hand Tools
Among main export regions for Chinese hand tools, USA accounts for 27%, England accounts for 5%,
Holland accounts for 5%, Canada accounts for 4%, and UAE accounts for 4%. These five regions are the
main export markets for Chinese hand tools.
Distribution of export countries
United Arab
Em irates 4% Canada 4%
Finland 5%
UK 5%
Others 55% US 27%
2.4 Analysis on International Market Demands in Hand Tool Industry
USA
Imports for hand tools in USA show a steady increase. In 2007, the import volume reached USD 922
million. China is the largest hand tool import country for America , accounting for 38%, which is over one third
of the market share.
Distribution of import countries
Historical Import Revenue
Distribution
Mexico 3%
(unite: 100 million U.S $)
8.86 9.22 India 3%
8.51 Oth ers 16% Germany
7.96
7.20 4%
Ot her Asian
Countries
36%
China 38%
2003 2004 2005 2006 2007
(The above data comes from UN US Customs Service)
UK
Imports for hand tools in UK show a steady increase. In 2006, the import volume was USD 554 million,
and in 2007 reached USD 309 million, a year-to-year increase of 22%. China is the largest import country for
UK, accounting for 22%; and then USA, accounting for 13%.
-9-

10. Distribution of import countries
Historical Import Revenue
Distribution
(unite: 100 million U.S $) Finland 10%
Germ any
3.09 Others 28% 11%
2.38 2.54
2.31
2.07
US 13%
Other Asian
China 22%
Cou ntries
2003 2004 2005 2006 2007
16%
(The above data comes from UN Website UK Customs)
Holland
In recent years, import volume of hand tools in Holland shows fluctuation. In 2006, the import volume was
USD 145 million, lower than that in 2004 and 2005; in 2007, the import volume reached USD 177 million.
Sweden is the largest import country for hand tools in Holland, accounting for 32%.
Distribution of import countries
Historical Import Revenue
Distribution
Belgium
(unite: 100 million U.S $) 6%
1.77 Others 20% US 5%
1.55 1.51
1.40 1.45
China 10% Sweden
32%
Germany
2003 2004 2005 2006 2007 27%
(The above data comes from UN Website Netherlands Customs)
2.5 Main Production Places for Hand Tool Industry in China
In recent years, the hand tool industry develops fast. Chinese hand tool manufacturers mainly focus on
international markets.
Hand tool manufacturers in China are mainly in: Fujian, Jiangsu, Zhejiang and Shandong, etc. These
regions develop international markets and obtain better marginal profits by production of medium- and
high-end products.
2.6 Stars in Hand Tool Industry
Domestic Stars of the Industry
Renowned Enterprises in Hand Tool Industry
Shandong Jinma Industrial Tianjin Jinmao Imp. & Exp. Co.,
Group Co., Ltd. Ltd.
Jiangsu Changheng Group
Yantai Jinguang Tools Co., Ltd.
Temperature Controller Factory
Leling Pangu Tools Co,. Ltd. Tianjin Jinmao Group Co., Ltd.
Penglai Welding & Cutting Tools
Ningbo Xuli Metals Co., Ltd.
Co., Ltd.
Laizhou Hongyuan Bench Vises Xixia Zhongsheng Tools Co.,
Manufacture Co., Ltd. Ltd.
- 10 -

11. Ningbo Tiangong Great Star Jiangsu Hongbao Group Co.,
Tools Co., Ltd. Ltd.
Hangzhou Great Star Tools Co,.
Wendeng Dongqi Tool Factory
Ltd.
International Stars of the Industry
Germany
Exports for German hand tools show increasing growth over the years. In 2006, the export volume was
USD 569 million; and in 2007 reached USD 677 million. German hand tools are mainly exported to Holland,
France, Austria, Italy and Spain.
Historical Import Revenue Distribution of import countries
Distribution
(unite: 100 million U.S $)
Spain 7%
5.69 5.77 Italy 7%
4.70 4.93
Austria 7%
3.87
France 8%
Others 59%
Finland 12%
2003 2004 2005 2006 2007
(The above data comes from UN Website German Customs)
USA
Exports for American hand tools show increasing growth over the years. In 2006, the export volume was
USD 387 million; and in 2007 reached USD 467 million, increasing 21% compared with that in 2006.
American hand tools are mostly exported to Canada, accounting for 31%.
Historical Import Revenue Distribution of import countries
Distribution
(unite: 100 million U.S $)
4.67 Canada 31%
3.87
3.19 3.36
2.75 Others 41%
Japan 8%
Mexico 7%
Austrlia 7% UK 7%
2003 2004 2005 2006 2007
(The above data comes from UN US Customs Service)
2.7 Prospect of Hand Tool Industry
China is now an important part in the international hand tool market. Export trade will be restricted and
affected by international markets and status of world affairs. Presently, though influenced by subprime crisis,
the US economy shows steady increase. Economy in Japan, Korea and Thailand are in restorative increase,
while Latin American and Brazilian economy pick up gradually. All these trends are advantageous for the
development and exports in hand tool industry in China.
Firstly, there are increasing foreign demands in hand tools.
Secondly, due to the industrial adjustment and rising of labor force expenses in industrial developed
countries such as European countries, USA and Japan, foreign countries invested to build plants in China
- 11 -

12. successively. In Chinese markets, the products with the former brands will become more competitive due to
the low labor force expenses, low cost and complete supporting components in China, which provides
opportunities for developing and exploring markets in China, and becomes an important aspect in export
exploration of China.
Thirdly, on the basis of steadily improving the quality of the products, we should develop and enlarge
exports for products with advanced technology, create more Chinese famous brand products, gradually
reduce products of “neutral packing” and “manufacture of fixed brands”, and strive for more foreign
exchanges.
Hand tools are “low-value consumables”. In developed regions in Europe and America, hand tools are
not only tools commonly used in industrial systems, but are used by most households, and become a
necessary helper in the family. As is understood, in developed countries and regions in Europe and America,
each family has all kinds of hand tools of diverse varieties for diverse purposes. Some of them even have
several sets. In developed countries and regions in Europe and America, the hand tools are not only a kind of
tools, but are used as gifts to each other, thus showing a large potential for market development.
3 Analysis on Characteristics of Alibaba Hand Tool Industry Buyers
3.1 Continent Distribution of the Buyers
USA, UK and Holland are
important export markets for hand
tools in China.
In Alibaba buyer distribution,
Buyers from Asia and Europe
account for 64%, with a large
potential for market development.
3.2 Top 5 Countries/ Regions with Most Buyer Feedback
Continent Country/ Region Continent Country/ Region
United Kingdom Egypt
Germany Nigeria
Europe Africa
Italy South Africa
Spain Morocco
Poland Kenya
Australia Pakistan
New Zealand Hong Kong
Oceania Asia
Vanuatu India
New Caledonia Bangladesh
Fiji South Korea
Central & Brazil Middle East Turkey
South Argentina Iran (Islamic Republic of)
America Chile United Arab Emirates
Venezuela Jordan
- 12 -

13. Ecuador Saudi Arabia
North United States
America Canada
Mexico
Note: data quoted as from January 1, 2008 to July 31, 2008
- 13 -

14. 3.3 TOP Researched Keywords
Rank of Hotest buyer-searching keywords
hand tool
paint brush
hammer
knife
plier
scissor
pocket knife
screwdriver
painting brush
screw driver
brush
crimping tool
hardware tool
paint roller
spanner
axe
hand saw
adustable wrench
saw
multi tool
cutting tool
chisel
grease gun
cutter
scraper
pipewrench
claw hammer
hole saw
pipe cutter
hacksaw
Note: data quoted as from January 1, 2008 to July 31, 2008
- 14 -

15. 3.4 Representatives of Alibaba Hand Tool Industry Buyers (Partial)
NOTICE:
Above all, Some Sources are from:
China Customs
Ministry of Commerce of the People’s Republic of China
UN data statistics
China Industry Research
- 15 -

16. “Nearly all our sourcing originates from Alibaba.com.”
Todd Sachs, Bamko, USA
Real-Time Performance Analysis
Find out how your online performance compares to industry
averages with real-time statistical reports on customer clicks,
page views, buyer inquiries and more. That way, you can
better understand your buyers’ behavior to maximize your
return-on-investment and stay ahead of competitors.
Analyse your online performance with real-time statistical reports
“A Gold Supplier Membership did wonders for our reputation.
Greater Product Visibility We currently receive an average of 80 to 100 serious inquiries
Showcase key products on your online storefront to make per month, many of which turn into real orders.”
a powerful, visual impact and get up to 8x more exposure Mr. Lin, Shenzhen Eager Painting Craft Co Ltd, China
in buyer search results. They’re easy to change at any time,
giving you the flexibility to adapt your promotions to
seasonal demands and stand out even more to potential
buyers.
Showcased products get higher rankings in all buyer search results

17. Introduction to SuperDeals on Alibaba.com
Save time and money by knowing essential sourcing info upfront
SuperDeals are regular promotions on Alibaba.com featuring essential sourcing
information such as FOB, MOQ and product attributes.
Current Promotions on SuperDeals:
·Competitive Prices ·New Novel Products
·Wholesale Products ·Seasonal Products
·Stock Clearance ·Regional Products
·Eco-Friendly Products ·Business Services
Featured SuperDeals(Example)
Knowing pricing details can help
Tri-Band Watch Phone V2 your financial management
Normal Price: US$178.94
Compare prices and save more!
SuperDeals Price: US$123.00
You Save: US$55.94
MOQ: 5pcs Smaller MOQ units to suit your
Promotion Period: 3-16 Jun, 2008 business needs
Click here to view more SuperDeals promotions!
Want to know more about SuperDeals? Click here!
Questions or suggestions? Contact us at superDeals@service.alibaba.com