Many overseas companies prefer to purchase investment casting
from China. Then why do they like to do that? Normally,
investment castings from China are 50-60 cheaper than that of
European and American countries. Maybe you guess the investment
castings from China foundry is rubbish. I can tell you that is a
mistake. For the long history of investment casting technology
in China, investment casting process is getting much more mature
than before. We could not only do investment casting blanks, but
also offer machining service as well, and supply finished
products to our customers directly. Nowadays more and more
overseas customers tend to buy the investment castings from
China. More investment casting advantages......
Now we would like to give a comprehensive view of it.
Cheaper cost of raw material
Purchasing investment casting material from material factory is
the first step to make investment castings. In China, the raw
material is also much cheaper than that of developed countries.
And we are also the long-term customer of material factory, so
they also offer us competitive prices with high quality, so that
we could maintain good business relations with them. Also the
delivery time is also shortest.
Low labor cost
In China, for large amounts of population, the supplying market
is much larger than that of demand market. So the salary of
labor is low, and they have to add working time to make more
money. Although the labor right is protected by law, it is not
so effective. And in developed countries, for its small
population, the labor costs seem very high, that is why some
Chinese peoples go to developed countries to achieve more
Other sources for making investment castings
In addition to raw material, workers, investment casting
foundries also need to buy casting machines, machining
equipments and testing equipments to finish investment casting
production. All these machines or equipments are not imported,
but from equipments factory directly, so the equipments cost is
also not high. And these equipments could serve many years.
Good export policy from China government
In general, all the Chinese enterprises need to pay taxes to our
government, which is the biggest income of our government. To
encourage domestic enterprises to export goods, China government
make it a rule that some tax will be reduced for exported
countries. And the reduced taxes will be decided on the name of
products. So many investment casting foundries are willing to do
business with overseas companies, even if the prices of
investment castings are very low sometime.
HOME PAGE | CASTING BLOG | CONTACT US