China's CNC machine tool import substitution is an inevitable trend

At present, China's high-end CNC machine tools have long been occupied by foreign brands,  and the market share of independent brands is low. Import substitution is an inevitable trend. We believe that the production of automobile parts will still be in a relatively good period of development in the future. The production of machinery, railway equipment and other industries will also maintain a steady growth,  and the demand of machine tool industry, especially high-end CNC machine tools will continue to rise.

We are optimistic about the growth and profitability of high-end CNC machine tools.  Due to the low base in 2009, we expect that the machine tool industry will maintain a growth rate of about 15% -20% throughout the 10 years.