Discussion on the Current Situation and Future Trend of Hinge Manufacturers_Company News

In recent times, there has been an influx of guests due to various exhibitions such as the furniture exhibition, hardware exhibition, and Canton Fair. The editor and my fellow peers have also engaged with customers from different regions worldwide to discuss this year's trends in cabinet hinges. Hinge factories, dealers, and furniture manufacturers from all over the world are eager to hear my opinion. Given this, I believe it is crucial to examine these three aspects separately. Today, I will share my personal understanding of the current situation and future trends of hinge manufacturers.

Firstly, there is a significant oversupply of hydraulic hinges due to repeated investment. Ordinary spring hinges, such as two-stage force hinges and one-stage force hinges, have been eliminated by manufacturers and replaced by the well-developed hydraulic damper. This has led to a surplus of dampers in the market, with millions being produced by numerous manufacturers. Consequently, the damper has transitioned from a high-end product to a commonplace one, with prices as low as two cents. This has resulted in minimal profits for manufacturers, prompting the rapid expansion of damping hydraulic hinge production. Unfortunately, this expansion has exceeded the demand, creating a supply surplus.

Secondly, new players are emerging in the hinge industry's development. Initially, manufacturers were concentrated in the Pearl River Delta, then expanded to Gaoyao and Jieyang. After a considerable number of hydraulic hinge parts manufacturers appeared in Jieyang, individuals in Chengdu, Jiangxi, and other places began experimenting with purchasing low-cost parts from Jieyang and assembling or producing hinges. While it may not have gained significant momentum yet, with the rise of China's furniture industry in Chengdu and Jiangxi, these sparks could potentially ignite a fire. Several years ago, I advised against the idea of opening hinge factories in other provinces and cities. However, considering the extensive support of numerous furniture factories and the expertise accumulated by Chinese hinge workers over the past decade, returning to their hometowns to develop is now a viable option.

Furthermore, some foreign countries, such as Turkey, which have imposed anti-dumping measures against China, have sought Chinese companies to process hinge molds. These countries have also imported Chinese machines to join the hinge production industry. Vietnam, India, and other nations have also discreetly entered the game. This raises questions about the potential impact on the global hinge market.

Thirdly, frequent low-price traps and intense price competition have resulted in the closure of several hinge manufacturers. The poor economic environment, reduced market capacity, and rising labor costs have spurred repeated investments in hinge factories. This, coupled with fierce price competition, led to significant losses for many companies last year. In order to survive, these enterprises have had to sell hinges at a loss, which further compounds their difficulties in paying workers' wages and repaying suppliers. Corner-cutting, reduction in quality, and cost-cutting have become the survival strategies for companies that lack brand influence. Consequently, many hydraulic hinges in the market are simply showy but ineffective, leaving users dissatisfied.

Moreover, the status of low-end hydraulic hinges may be on the decline, while large hinge brands will expand their market share. The chaos in the market has caused the prices of low-end hydraulic hinges to become comparable to ordinary hinges. This affordability has attracted many furniture manufacturers who previously used ordinary hinges to upgrade to hydraulic hinges. While this provides room for future growth, the pain of poor-quality products will prompt some consumers to choose products from brand-protected manufacturers. As a result, the market share of well-established brands will increase.

Lastly, international hinge brands are intensifying their efforts to enter the Chinese market. Prior to 2008, leading international brand hinge and slide rail companies had minimal promotional materials in Chinese and limited marketing in China. However, with the recent weakness of European and American markets and the robust performance of the Chinese market, brands like blumAosite, Hettich, Hafele, and FGV have started to invest more in Chinese marketing efforts. This includes expanding Chinese marketing outlets, participating in Chinese exhibitions, and creating Chinese catalogs and websites. Many prominent furniture manufacturers exclusively use these big brand products to endorse their high-end brands. Consequently, China's local hinge companies face challenges in entering the high-end market, impacting their ability to compete. It also influences the purchasing preferences of large furniture companies. In terms of product innovation and brand marketing, Chinese enterprises still have a long way to go.

Overall, it is evident that the hinge industry is experiencing significant changes and challenges. The oversupply of hydraulic hinges, the emergence of new players, the threats posed by foreign countries, the presence of low-price traps, and the expansion of international brands into China are all impacting the industry. To thrive in this evolving landscape, hinge manufacturers must adapt and innovate both in terms of product quality and marketing strategies.