The overall market of China's cutting tool industry is developing rapidly, but there are many low-end products, and there is a phenomenon of profiteering by using cheap labor to produce inferior products at the expense of the environment. The low-end market is in chaos. During the 12th Five Year Plan period, China's cutting tool industry will present a state of fierce competition. The reorganization of state-owned enterprises and the entry of foreign capital will inevitably lead to bankruptcy due to poor management. In the face of this severe test, the majority of enterprises should always remain vigilant, change the traditional concept, and accelerate the development of enterprises

Luo Baihui, Secretary General of the International Mould Association, believes that in the next five years, the cutting tool industry will usher in a period of rapid development, and China's cutting tool industry is facing a transition period from low-end products to high-end products. High precision and sharp complex cutting tools in automobile, mould, aerospace and other industries will be the main direction of modern efficient cutting tools in China. Modern high-end cutting tool production will be a bright spot in the industry, and it is one of the important methods for China's cutting tool enterprises to enter the global market in the future

The change of idea includes the change of management idea and innovative production idea. We should be aware of how to improve work efficiency and reduce production cost to the minimum if we want to create more profits. Break through the traditional production mode, creatively produce new products that meet the needs of the times, and liberate from the traditional mode. At the same time, we should think in another place, fully understand the current situation of products from the perspective of consumers, and clearly recognize the shortcomings of products