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Hardware product base model derived industrial cluster
In the 1990s, following over a decade of reform and opening up, China's hardware industry began to experience rapid growth. Companies gradually concentrated in regions with more developed market economies, such as Guangdong, Zhejiang, Jiangsu, Shanghai, and Shandong. Local governments recognized that developing specialized industries could boost fiscal revenue, optimize industrial structures, improve employment opportunities, and enhance residents' income, all of which contributed to sustainable regional economic development. As a result, they actively worked to establish characteristic industrial bases.
After more than three decades of development, China’s hardware industry clusters have become a major driver of economic growth in certain regions and a key source of international competitiveness. These clusters now play an increasingly vital role in local economic development. In eastern coastal areas, existing industrial clusters continue to mature, with more refined division of labor and the emergence of new ones.
Based on the development models of various production bases, 14 hardware production zones can be categorized into four types:
1. **Established Industrial Clusters**: Some areas have long-standing traditions in hardware manufacturing. For example, Daxin Town in Zhangjiagang City started as a township enterprise and has a production history of over 70 years. It was the first town in China to be awarded the title of "Hardware Town" by the Hardware Association. Another example is Anping’s screen industry, which dates back to 1488 AD during the Hongzhi era, making it one of the oldest hardware-related industries in China. Other similar bases include Yongkang hardware and nozzle manufacturing.
2. **Industrial Agglomeration Type**: With the development of the market economy, some regions saw early success in their hardware industries. A large number of private enterprises leveraged their technological expertise and local sales networks to form spontaneous industrial clusters. These quickly became pillar industries in the region. Local governments recognized this trend and implemented supportive policies to promote industrialization and improve the supply chain.
3. **Post-Commercial and Post-Worker Type**: Qiaotou Town in Wenzhou County, for instance, pioneered the first small commodity market and bridgehead button market in China in the early 1980s. Over time, it developed into a complete industrial cluster centered around buttons and zippers. Similarly, Xinhui’s stainless steel industry grew from trade-based production into a major hardware manufacturing base.
4. **Market-Driven Development**: The Wenzhou razor industry, which began in the late 1980s, is a classic example of a hardware sector that grew from scratch to become a major industry. Xiaolan Town in Zhongshan also capitalized on the reform and opening-up wave, developing hardware manufacturing and powder metallurgy. Today, it is one of the six pillar industries in the town. The area has formed a comprehensive cluster with locks, gas appliances, hinges, and nail care products at its core, led by companies like Guli, Huafeng, Vantage, Evergreen, Stanley, Gaotian, and Julong.
As traditional hardware industries have grown from small-scale operations to large-scale enterprises, their influence continues to strengthen. The rapid expansion of hardware clusters not only accelerates brand recognition but also drives overall industry development. Moreover, the high level of development in these clusters often stimulates related regional industries, contributing significantly to the broader economic growth of the area.