Global Fastener Summit 2018

Taiwan International Fastener Show held Global Fastener Summit 2018 on its opening day. The Summit centered on the topic “Taiwan Based, Globally Known”, inviting Taiwanese and overseas experts of the industry. The event unveiled with the opening remarks by TAITRA secretary chief Mr. Walter Yeh and TIFI chairman Mr. Tu-Chin Tsai. Taiwan’s total fastener export to the world reached USD 4.3 billion last year, up 13% from the previous year. In light of this, Mr. Tsai said he was pleased to welcome the invited dignitaries to gather at the Summit in Taiwan delivering the development on global trends and industry analysis.

    
 
The first speech with the title “Fasteners in the EU Automotive Industry” was given by EFDA president Dr. Volker Lederer. He said assembly facilities today do not have warehouses and that inventory is held directly on the assembly line, sufficient only for a few days’ production.
 
The responsibility for ensuring timely and accurate supply of fasteners, and many other so-called C-parts, now increasingly rests with distributors. Vendor Managed Inventory is crucial for the efficiency of many European industries. For Europe’s leading wholesalers and distributors, it means the following capabilities: vast, highly efficient, automatic warehouse operations; holding millions of euros of inventory; deploying sophisticated location and picking systems; automated packaging operations; dispatching hundreds of cartons or pallets every day. Today many distributors have dedicated engineers. Furthermore, more and more industrial fastener users demand close to zero- defect supply. Next, Volker briefed the audience on statistics indicating that the European GDP grew 2.4% last year breaking the record for the past decade. The economic performance for the start of this year was better than expected. The European automotive industry in particular takes up 20% of the world’s total automotive production. EU remains the second largest automotive producer of the world, achieving a minor growth to 28 million units of vehicles in 2017. In the EU countries, France grew 6.9% in vehicle production and Italy grew 4.2%, whereas UK was down 3%, Spain down 2.7% and Germany down 1.8%. The largest client for the European fastener industry is the automotive industry (taking up 30% which translates to 3.5-4 billion euros), followed by the construction industry (20%) and aerospace industry (15%). The top 4 fastener selling countries in Europe are Germany (3.4 billion euros), France (1.9 billion euros), UK (1.5 billion euros), and Spain (1.1 billion euros); the total European fastener sales amounts to 15 billion euros while fastener distribution amounts to 10 billion euros.
 
Geoff Budd, TR Fastenings’ director of the Europe region, made a speech titled “Specialization and Focus: The Keys to Success in the Automotive Fastener Sector” where he mentioned he was impressed and amazed by the highly integrated and concentrated up and downstream of Taiwan’s fastener supply chain capable of maintaining supply of high quality fasteners. He noticed the growing number of Taiwanese manufacturers doubling as traders, as well as the growing emergence of traders that come with their own manufacturing plants. He was optimistic for Taiwan’s foundation and advantages in automotive fasteners supply.
 
Vissart Europe CEO Eren Celikoglu introduced the functions of Prismefix in his speech “Automotive Fastener Market”. Prismefix is an independent corporate association dealing with assembly products as well as bolts and screws distribution. It is also one of the founding members of EFDA. Its aim is to gather French independent fasteners and C parts distributors that are growing in numbers. Its primary function is to provide communication, defend the rights of distributors, and collect technical and legal information for members.
 
Mercedes-Benz engineer Akramullah Aminy explained the best solutions for the uptick t / of automotive lightweighting and automated assembly in his speech “New Practice-oriented \ Approach for Setting and Determining the Coefficient of Friction”. According to McKinsey’s \ research, the use of lightweight materials could bounce up to 70% by 2030. This uptick, however, is posing a new challenge on the automated assembly lines of automakers. The use of composite materials has made coefficient of friction vary a great deal, possibly disrupting assembly due to breaking screws during screwdriving, or resulting in recalls due to quality issues. To lower the challenge in assembling, over the years Akramullah has been studying bi-material or multimaterial assembly, difference of property at the same material composition but different surface condition, as well as the difference between assembly with surface treatment and the one without it. The German automaker Daimler AG specifically developed a test norm called MBN10544 for fastener torque and clamping performance. He explained that fasteners’ (e.g., screws and nuts) surface must comply to the norms of coefficient of friction and possess corrosion resistance. Additionally, one has to specify test sequence and elaborate on boundary conditions to ensure consistency in test results of coefficient of friction.

    
 
Last but not least was Rodney Teng, assistant to chairman of QST International Corp., who elaborated on the development of Taiwan’s automotive fastener industry in his speech “Automotive 2030- Taiwan Based, Globally Known”. Taiwan is ranked 22nd in the world chart for GDP performance, 18th for trade volume with the world, 5th for fastener production, and 2nd for fastener export. The automotive sector is already the world’s largest single application market for the fastener industry. Intense competition has made suppliers keep alert and simultaneously brought opportunities for fastener makers. Next, he indicated that the market is shifting to Asia. By 2030, the accumulated car sales of both North America and Europe will land at 40 million units, taking up 35% of the world’s total but less of a significant growth compared to 39 million units recorded in 2016. Car sales in Asia and other regions by 2030 will reach 75 million units taking up 65% of the world’s total and much higher than 45 million units recorded in 2016. He predicted that 90% of car sales in the future will originate from Asia, and other countries excluding Europe and the U.S. He also predicted that EVs sales will reach 10%-50% of the world’s total by 2030, followed by autonomous cars at 15% and shared cars at 10%. 5G-connected cars are expected to bring 30% of revenue growth. Regarding the industry structure, the traditional automotive industry comprised various tiers and OEMs, but now this has evolved into a complex structure that suppliers and OEMs has been collaborating with technological giants, emerging automakers (Tesla, China-based OEMs), and emerging service providers (Uber, Didi) to bring about a change at origin in business models. He said the future market along with production, assembly, logistics, service and R&D will altogether shift to Asia. The future trend will be held by boundaryless coopetition, and new technologies will emerge everywhere with unlimited development. “The world is changing, and is going much faster!” 

Date : 06.08.2018