manufacturing

Examining the growing ugly Christmas sweater market for SMEs and entrepreneurs on National Ugly Christmas Sweater Day, and the importance of the U.S. textile industry.

CERRITOS, California- December 15, 2017- Since 2011 the U.S. has celebrated National Ugly Christmas Sweater Day on every third Friday of December to commemorate eccentric, gaudy, or vintage sweaters for Christmas and winter Holidays.  Two decades after these sweaters originally became popular in the 1980s, the once small ugly Christmas sweater market now generates millions of dollars year round.

Toolots employees in their ugly Christmas sweaters.

Ugly Christmas sweaters and related products can be categorized in the U.S. textile industry.  According to the National Council of Textile Organizations (NCTO), the U.S. textile industry collectively comprises “…yarn and fabric manufacturers, suppliers in the cotton, wool, and man-made fiber sectors, dyers, printers, and finishers, the machinery and textile chemical industries, [and] customers in the U.S. apparel industry.”  As the leader in textile R&D globally, the U.S. has increased productivity of its textile mills by roughly 52% since 2000 and had $74.4 billion in shipment value in 2016.  Aside from creating ugly holiday sweaters, the U.S. textile industry is also responsible for manufacturing and producing advanced fiber products such as antimicrobial fibers, recycled polyester fibers, fire-retardant fibers, and more.  Additionally, the U.S. textile industry provides U.S. Armed Forces with over 8,000 textile products including, but not limited to, uniforms, ship composites, ropes and cables, ammunition pouches, and parachutes.  Furthermore, the NCTO reports that the volume of items provided to the military can vary depending on activity and engagement, and most recently has ranged between $1.8 billion to more than $2.2 billion.

Source: U.S. Bureau of Statistics Textile, Apparel, and Furnishings Workers (51-6099)

Following severe imports during the 1990s, a significant number of the U.S. textile and apparel industry’s annual profit currently derives from holiday shopping at the end of the year.  Data collected by the U.S. Census Bureau for the 2016 Holiday Season found that 21.8% of Clothing Stores’ annual profit came from holiday sales completed in November and December alone.  Similarly, holiday sales were roughly 23.7% of Department Stores’ annual profit, and 22.5% respectively for Discount Department Stores in 2016.

For SMEs in the ugly Christmas sweater business, a seasonal hobby that may have made them several hundred or several thousand dollars now has the potential to generate millions of dollars in profits.  Despite major retailers and fashion designers entering into the market, SMEs and entrepreneurs generate a significant amount of revenue by using e-commerce stores to sell their vintage, licensed, or customized sweaters.  For example, the Ugly Christmas Sweater Kit saw a sales increase of 1,000% just in 2013, the UglyChristmasSweater.com made $4.8 million in 2015, and the Tipsy Elves increased their revenue to $14 million last year from initial sales of roughly $900,000 in 2013.

About Toolots

Toolots, headquartered in Cerritos, California, offers an online marketplace and international distribution channel for factory-direct industrial tools, machinery, and manufacturing technology. Our user-friendly platform provides fast, easy access to high-quality, affordable equipment for manufacturers. More than a simple distribution channel, Toolots provides comprehensive services for companies around the world who produce the industrial machinery and equipment we sell, helping streamline the marketing, omni-channel sales, warehousing, fulfillment and after-sales service. On the customer end, Toolots simplifies the purchase, delivery, installation and warranty of industrial technology, machinery and components, and upholds product quality through a vetted network of vendors and service technicians. The company’s dedication to fostering international trade relations passes on cost savings to the consumer, contributes to reduced downtime, improves productivity and expands a manufacturer’s reach. Toolots has strategically located warehouses, showrooms, and offices across the United States, China and as of May 2017, has expanded into Taiwan. For more information visit us online at www.toolots.com.

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How additive manufacturing is being used to improve production and reduce costs in traditional manufacturing 

CERRITOS, California- October 26,2017- Since its creation in the 1980s additive manufacturing, also known as 3D printing, has gained recognition within the traditional manufacturing and industrial industries due to its versatility and cost-effective applications. Originally, models were printed layer by layer using photopolymer resins as material and commonly used for prototyping. However in modern day printing, models can be made from a variety of materials such as carbon fiber, magnetic, metal, clay, biodegradable, and many more. 3D printing is used in a multitude of industries to create prosthetic limbs in the medical field, components for aerospace construction, and tools to improve the manufacturing industry.  

Through traditional manufacturing, an engineer would create a computer model of an engine manifold and wait about four months for a $500,000 prototype. With 3D printing, multiple iterations of the same component takes four days and cost[s] $3,000. -Jim Joyce, Deloitte 

For manufacturing SMEs, 3D printers offer cost saving alternatives in various production processes. During machining for example, segments of a material are removed to create a part, therefore creating scrap. Conversely, scrap is significantly eliminated when the same part is made using a 3D printer because material is added, layer by layer, instead of being removed. Essentially, 3D printed parts are usually made in one uniform piece, thereby increasing the parts' durability and overall strength. Thus, by printing the part in one piece, the part is lighter in weight and reduces the need for assembly. Furthermore, the computer-aided design (CAD) files for parts saves costs in both labor and resources that previously may have been dedicated to dies and fixtures. CAD files can also be altered or paused mid-print to make design revisions when necessary. Additionally, one of the major benefits of 3D printing is ease of use for the operator when printing two or more products with vastly different designs.  Currently, manufacturing companies use 3D printing for part replacement, cheaper prototyping, complex tool fabrication, and more.  Manufacturers and machine operators are able to download or design CAD files to print replacement parts in a matter of hours. This can significantly reduce production down time, and the same layer by layer construction process that reduces scrap also allows more elaborate tools and parts to be printed. During machining, these same designs might be too elaborate or time consuming to create. In addition, during the prototyping process various models can more easily be printed and revised, therefore consuming less resources. 

While the complexities of 3D printing may be daunting, Toolots is positioned to help SMEs or hobbyists explore additive manufacturing through its latest product, the Desktop Mini ISEE 3D Printer. The ISEE can be powered by a 12V power source and includes PLA filaments, a biodegradable thermoplastic made from renewable resources like corn starch. PLA is one of the easiest filaments to work with, making the ISEE and its simpler design perfect for beginners. Learn more about purchasing the ISEE 3D Printer.

To learn more about the ISEE, or for purchasing information, click here. 

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NAM Q3 Manufacturers Outlook Survey shows the highest rate of optimism for 3 consecutive quarters in 20 years. 

CERRITOS, California- October 12, 2017- The National Association of Manufacturers (NAM) recently released their Manufacturers Outlook Survey for the third quarter of 2017 containing updated information on manufacturers' perception of the current state of the industry and its growth within the following year. As the U.S.' largest manufacturing association, NAM represents small to large manufacturers throughout the country and "...accounts for more than three-quarters of all private-sector research and development in the nation" (NAM). Data from the survey is pulled from the responses of approximately "...524 manufacturers from all parts of the country, in a wide variety of manufacturing sectors and in varying size classifications" according to the report.  

In their Third Quarter Manufacturers Outlook Survey, NAM reported an average optimism rate of roughly 90% among manufacturers. This is the highest record of optimism recorded since the survey began roughly 20 years ago in 1997. Comparably, the third quarter average in 2016 was only 59.7%. Furthermore, the positive trends continued throughout the report in regards to exports, production, sales, and more. Respectively, the average expected increase in sales and production was 4.5%, and overall positive outlook for business was 89.8% among manufacturers. 

Moreover, the increases in sales and production anticipated by these manufacturers also produced an anticipated increase in labor demand. Thus, surveyed manufacturers expected to increase their full-time employees by an average of 2.2%, resulting in a matching 2.2% average increase in employee wages excluding nonwage compensation. This reinforces NAM's prediction that the manufacturing industry, which contributes an estimated $12 trillion to the U.S. economy annually, will create roughly 3.5 million jobs over the next decade. 

Similarly, the NAM Manufacturing Outlook Index also indicates strong levels of confidence in business conditions year-to-date, rising from 60.8 in the second quarter to 61.0 in the third quarter. By comparison, the index stood at 41.3 one year ago.-NAM Manufacturers' Outlook Survey Third Quarter 2017

Overall, this quarter's Manufacturers Outlook Survey reveals a positive shift in the industry's outlook, and an anticipation for growth or revival in regards to production, sales, and staffing. Specifically, data within the report suggests that production within the manufacturing industry could grow as much as "...3.6 percent between now and the first quarter of 2018". With increasing optimism in the industry, SMEs in the U.S. have the opportunity to explore business expansion. Toolots is uniquely positioned to offer SMEs assistance expanding their distribution network domestically, or entering into the global market by providing assistance overcoming barriers such as inefficiency, slow innovation, and high prices. For additional information, contact us via phone at (844) TOOLOTS or via email at sales@toolots.com. 

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CERRITOS, California- October 17, 2017- Since 1945, the Food and Agriculture Organization of the United Nations (FAO) has celebrated World Food Day (WFD) on October 16 of each year to commemorate its founding. Yesterday, over 150 countries throughout the world celebrated WFD  to "... promote worldwide awareness and action for those who suffer from hunger and for the need to ensure food security and nutritious diets for all." Specifically, this year's theme focused on solving the issue of migration through increased food security and rural development. 

One major component in ensuring food security however is the actual processing and manufacturing of agricultural materials into food and beverage products. Within the U.S., food manufacturing is a vital component of the greater manufacturing industry as it essentially generates significant revenue for the economy and helps create edible food products. In 2015 the products created during food manufacturing and processing actually accounted for "16% of the value of shipments from all U.S. manufacturing plants."  

The Value of U.S. Food Manufacturing 

According to the United States Department of Agriculture (USDA), food processing occurs at food manufacturing plants where "... raw agricultural materials [are transformed] into products for intermediate or final consumption by applying labor, machinery, energy, and scientific knowledge." Essentially, these manufacturers help transform the food grown by farmers into edible products for consumption after preparation, or for immediate consumption. In addition to helping supply the U.S. with food, the industry also employs a significant number of employees. As of 2015 these facilities employed roughly 1.5 million workers, which accounted for 14% of employment within the U.S. manufacturing industry as a whole. 

Furthermore, food manufacturing is able to contend with fellow subsectors in regards to revenue generation. During Industry Week magazine's IndustryWeek US 500 2017 for example, a ranking of the largest U.S. public manufacturers by revenue, 31 food companies appeared on the list.  

Only four manufacturing categories -- petroleum & coal products, computers & other electronics products, chemicals and machinery -- had a greater number of representative companies on the IW 500 than [the] food manufacturers. -Industry Week 

Altogether these food companies earned a collective $337.3 billion dollars in revenue, out of the $12 trillion NAM estimates the manufacturing industry collectively contributes to the U.S. economy annually. Additionally, manufacturing production increased this month indicating signs of recovery since June 2017 following several hurricanes and natural disasters in the U.S. As such, Toolots is uniquely positioned to help food manufacturing SMEs expand their current distribution network, break into the global market, or offer assistance with after-sales services, organization, and competitive pricing to tap into the growing market. For additional information, contact us via phone at (844) TOOLOTS or via email at sales@toolots.com. 

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September 2017-Subsequent to Zhejiang, Jiangsu, Shandong, Guangdong, Sichuan, Beijing, Shanghai, Taiwan, Anhui and Hebei, the Toolots has continued its market expansion of merchant vendors in Northeast China. On September 20th, Toolots' Chief Executive Officer Jason Fu and Executive Advisor Dr. Peter Wei attended a business roundtable with their China team at the Shangri-La Hotel in Changchun City. The purpose of the event was to conduct exploratory market research along with a symposium on the topic of how Toolots, as a pioneering cross-border e-commerce company, can lead the small to mid-sized manufacturing enterprises (SMEs) into the global market. Toolots' unique cross-border platform mutually allows the opportunity for Chinese manufacturers to enter into the U.S. market, and also allows U.S. manufacturers the opportunity to enter into the Chinese market. 

Attendees of the event included major stakeholders such as Deputy Governor of Jilin Province JinYuhui, top officials of Jilin’s Government, in addition to several key manufacturing enterprises in Changchun City. 

Scene at the symposium.

Additionally, several top officials the city's correlational government departments in attendance included: Lihua Huang, Deputy Director of the Provincial Office of Foreign Affairs; Yugang Gong, Deputy Director of the Office of the Ministry of Industry and Commerce; Guohua Sun, Deputy Director of the Provincial Department of Commerce; Yong Xu, Deputy Director of the Provincial Economic and Trade Bureau Office, Zhijian Liu, Division Chief of the Provincial Department of U.S. and Europe; Chengjun Tian, Division Chief of the Provincial Department of the U.S. Commerce; Wei Wang, Division Chief of the Provincial Department of Foreign Trade; and Peng Gao, the Division Chief of Provincial Department of the Economic and Trade Bureau. 

The symposium was presided over by Ms. Lihua Huang, the Deputy Director of Jilin Provincial Foreign Affairs Office. At the beginning of the meeting, Ms. Huang expressed a sincere welcome to the Toolots team:   

"The Jilin Provincial Government views the arrival of your company as highly important [due to the fact that] we’ve heard Toolots is a well-known cross-border e-commerce platform in the United States, and that the company has made numerous beneficial endeavors in the aspect of constructing a cross-border e-commerce platform for industrial equipment between China and U.S. Through this meeting, we are looking forward to gaining some valuable insights and recommendations from Toolots for our forthcoming cooperation, as well as deepening the understanding of the manufacturing industry in Jilin. [We] hope that Toolots will assist our manufacturing industry to capitalize on the development of the growing U.S. market." 

Deputy Director of Jilin Provincial Foreign Affairs Ms. Lihua Huang (middle) greets Toolots CEO Jason Fu (left)and the Board Advisor Peter Wei (right).

Deputy Director of Jilin Provincial Foreign Affairs Office Ms. Lihua Huang, presiding at the symposium.

Following roundtable discussion, Mr. Jason Fu provided a detailed introduction to the attending governmental officials regarding three aspects of the company: the positioning of Toolots platform, the innovation of the platform, and how Toolots will develop and advance its next five-year plan through cooperating with and growing the local manufacturing industry. 

Jason Fu stated:  

"We have 17 years of accumulated market penetration and experience, and when the shareconomy emerged in 2015 we were able to predict our ability to help SMEs by sharing our resources, including our pre-established market, customers, after-sales services, and more. The trade market between China and U.S. for consumer goods has already been saturated. However in recent years, there continues to be a 650 billion-dollar U.S. market for industrial products imported from China. Nearly 90% of this value is actually made by factories in China that are set up by foreign countries and regions in the world. The portion made by native China manufacturing factories is stills mall, yet to those native China manufacturing factories, this is a potential billion-dollar blue ocean market”. 

Toolots CEO Jason Fu (middle) gives an introduction about Toolots to the correlational governmental department officials in Jilin. 

With the revitalization and resurgence of the U.S. manufacturing industry, Chinese industrial supply companies have the opportunity to simultaneously enter the U.S. market and assist in the growth of global manufacturing by providing SMEs with quality equipment at competitive prices. As a vertical e-commerce online platform focused on industrial equipment and manufacturing, Toolots has consistently been devoted streamlining global trade and e-commerce through the expansion of its big data system. With its innovative business model, the company has shared numerous resources and services on its platform with partnered vendors including omni-channel marketing, warehousing and logistics, operational management plans, and more. Toolots continues to develop its shared economic platform through VF (virtual firm) technology, thereby allowing them to provide various shareconomy services including e-accounting, e-register, e-insurance, e-finance, in addition to other shareconomy services. 

In traditional distribution models, distributors maximize their own benefits and distribution rights despite the vendors’ interests. However, Toolots provides a unique cross-border e-commerce platform using a global shareconomy method to eliminate these profit-blockers and maximize the benefits for partnered vendors. 

During the symposium, the Director of the Foreign Trade Department of the Jilin Provincial Department of Commerce Mr. Wei Wang stated that for the past two years, Jilin Province has been strongly promoting the development of cross-border e-commerce business, in four aspects:  

First is to encourage current enterprises to fortify their business through cross-border e-commerce; Second is to have the enterprises that lack the experience in foreign trade to utilize cross-border e-commerce platforms for entering international markets; Third is to use cross-border e-commerce to attract and bring back any enterprises that have left Jilin for other provinces; Fourth is to attract foreign enterprises to Jilin for participating in their business development on cross-border e-commerce. 

Deputy director of the Office of the Ministry of Industry of Jilin Province Yugang Gong inquired about the Toolots after-sales system during the symposium.

Jason Fu indicated that currently, the most applicable method for the cooperation of Toolots and the Province of Jilin is to establish model enterprises.  Toolots can start by choosing 2-3 products fields filled in Jilin, then cultivate 5-10 model enterprises. These model enterprises can then be used as sample cases in the following promotional stage in Jilin to directly promote a wider range of enterprises within the city.  

The Deputy Director of the Jilin Provincial Economic and Trade Bureau Yong Xu, showed immense interest in Toolots’ role in the future China-U.S. Industrial Park project. Essentially the industrial park will allow U.S. manufacturing SMEs to establish satellite offices, corporate branches, or manufacturing facilities within the city of Jilin to take advantage of a variety of benefits including distribution, market expansion, and more. The park will also provide a myriad of benefits for the city of Jilin ranging from increased jobs, strengthening relations within the global manufacturing community, and many more.  

After the meeting, the Deputy Governor of Jilin Province YuhuiJin, who oversees industrial businesses, as well as the top officials from the correlational governmental departments, hosted a luncheon for attendees including the Toolots team. The Governor warmly welcomed the participants event, and thanked them for their attendance before giving a full affirmation of Toolots’ business model. He concluded the event for the day by stating the provincial government would offer and provide their support for U.S. SMEs seeking to conduct business in Jilian, and cited Toolots as a pioneer company aiding manufacturing SMEs in their development and expansion. 

Deputy Governor of Jilin Province YuhuiJin (right) in discussion with Toolots CEO Jason Fu (left).

In Jilin, automobile manufacturing is its representative industry. The picture shows the Deputy Governor of Jilin Province YuhuiJin (right) offering a model car as the present for CEO of Toolots Jason Fu (left).

Group photo of the Jilin Province Governmental top officials and the Toolots team.

A Chinese version of this article is available here.

CERRITOS, Calif. – May 1, 2017 – With the guidance of Toolots, China’s second-largest manufacturer of plastic injection molding machines has developed a new brand of industrial equipment specifically for the U.S. manufacturing market. Haida, through its new brand Himalia for American customers, has begun manufacturing modern plastic injection molding machines built to U.S. specifications, voltage and other requirements. Machines are also custom-built at their state-of-the-art manufacturing facilities in China, where more than 400 employees work to produce quality machinery to meet increasing global demand.

Toolots has helped develop Haida's new brand, cross-border strategy and its products for the U.S. market from the very beginning, and Haida executives said during a recent site visit they are optimistic about the future.

Haida is the second-largest manufacturer of plastic injection molding machines in China.

Before partnering with Toolots in July 2016, Haida had limited international sales outside of Asia, the Middle East and Africa, according to Sean Xiao, Haida’s foreign trade executive. The U.S. market always caught their eye, he said, but it would have been expensive modifying existing models to match American specifications.

“How would we get the customers, and second, how would we provide after-sales service? These are two points that stopped us from getting into the U.S. market. And you solved this problem for us,” Xiao said.

Toolots engineers, based in Cerritos at the company’s headquarters, are currently training on Haida’s latest machines at their Ningbo factory to develop extensive product knowledge – all to provide better after-sales service and machine maintenance to American customers. Haida unveiled a new robotic system that nearly doubles production speed using their machines, according to Xiao, and is training Toolots engineers on the technology.

A member of the California-based Toolots engineering team builds and trains on a robotic device that greatly improves production speed to better serve U.S. customers.

Toolots helped Haida establish its legal, registered entity in the U.S., Himalia, and assists with ongoing branding and marketing efforts. The Toolots public relations/marketing and graphic design teams developed Himalia’s brand and provide critical market research data that guides Himalia in providing machinery that is in greatest demand domestically, and important specifications to match various state voltage requirements.

The Toolots team toured one of Haida's sprawling, modern factories during a recent visit to eastern China. Its cross-border business development and public relations/marketing team, headed by Toolots Director of Global Commerce Services Grant Montgomery and Director of Public Affairs Chris Foy on the U.S. side, and Product Manager Tony Chen with Toolots China, examined each step of Haida manufacturing process. The Toolots team met with Xiao in Ningbo to discuss future output and the impact of increased cooperation between China and the U.S. to provide highly engineered machinery at competitive prices.

“When we started our international trade, the U.S. was not our focus because if we sold there, we’d have had to change a lot out of the machines; it would take a lot of time and be very expensive to do that,” Xiao said. “With this new thinking (and partnership with Toolots), we are taking this time to develop another standalone machine, and we will be able to sell more machines.”

In late 2016, Toolots Chief Executive Officer and Founder Jason Fu signed an agreement with Haida's chief executive Jiang Zhongding to partner with the company, the second-largest manufacturer of plastic injection molding machines in China, to enter the U.S. market. Before partnering with Toolots, Haida’s product reach included Southeast and Central Asia, South America and 10 other countries, but the company saw an opportunity in expanding foreign sales. Haida's chief executive pointed out during the July 2016 signing ceremony that cooperation is essential to expand not only the international influence and reach of industrial manufacturing enterprises, but also to help solve the traditional manufacturing industry’s lack of effective online sales.

The agreement with Toolots was the first of its kind entered by Haida, according to Zhongding. Haida is utilizing Toolots as a complete warehousing logistics solution for fulfillment, after-sales machinery maintenance provider, and Toolots works directly with U.S. customers to sell, market, distribute and service Haida and Himalia’s plastic injection molding machines.

Haida Foreign Trade Executive Sean Xiao discusses how the company's machines can create finished products like this one, faster than competing companies.

As the product development and engineering processes at Haida wrap up and, both companies are training and testing the machinery to ensure American customers have the best possible experience with the industrial manufacturing equipment. Feedback from U.S. manufacturers will guide future efforts, and Toolots’ engineering team can provide service nationwide to ensure machinery is up and running.

“We feel it’s a great opportunity, this partnership with Toolots. In the future, I think we will have a lot of work,” Xiao said.

About Toolots

Toolots, headquartered in Cerritos, California, offers an online marketplace and international distribution channel for factory-direct industrial tools, machinery, and technology. The user-friendly platform provides fast, easy access to high-quality, affordable equipment to manufacturers. Toolots provides comprehensive services for companies around the world who produce industrial machinery and equipment, helping streamline the marketing, omni-channel sales, warehousing, fulfillment and after-sales service. On the customer end, Toolots simplifies the purchase, delivery, installation and warranty of industrial technology, machinery and components, and upholds product quality through a vetted network of vendors and service technicians. The company’s dedication to fostering international trade relations passes on cost savings to the consumer, contributes to reduced downtime, improves productivity and expands a manufacturer’s reach. Toolots has strategically located warehouses, showrooms, and offices across the United States, China and as of May 2017, has expanded into Taiwan. For more information visit us online at www.toolots.com.

The Toolots Inc. cross-border business development and public affairs team recently visited Haida Manufacturing's plastic injection molding machine factory  in Ningbo, China. Toolots is helping the state-of-the-art company develop a brand specifically for U.S. manufacturers customized to American specifications, introducing them to consumers later this year.

Haida showcased a robotic arm Tuesday that more than doubles the speed of the plastic injection molding process, reduces downtime and removes the need to pull each completed product from the mold by hand. The Toolots engineering team, based in California, traveled to China to train on the robotic arm and Haida's latest plastic injection molding machines to better serve the United States manufacturing industry.

Toolots provides industrial equipment, technology and tools to support global manufacturing. The company has a growing presence in the U.S. and Asia, and manufacturers on both sides of the Pacific use the Toolots online marketplace to sell their innovative, reliable and competitively priced equipment to industrial customers from around the world.

Haida Foreign Trade Executive Sean Xiao and Toolots Director of Commerce Services Grant Montgomery examine some of Haida's largest plastic injection molding machines

Stay tuned for more updates from our ongoing trade mission to China to establish connections with new suppliers of innovative, quality industrial equipment to support U.S. manufacturing.

Toolots has announced the addition of Advanced Precision Linear LLC (APL) products and services to our E-Commerce marketplace. APL is the exclusive U.S. distributor of TBI Motion Technology Co. who manufacture linear motion products including ball screws, precision ball screws and splines, and linear guard rails. Advanced Precision Linear distributes TBI Motion products for use in industrial machining and the robotic industry, and for tooling, medical equipment, solar energy equipment, and more. Additionally, APL provides servicing for all their linear motion products, as well as technical support in tandem with TBI Motion.

Toolots is pleased to offer our customers high-quality ball screws, linear guide rails, ball splines through the inclusion of Advanced Precision Linear LLC’s products in our marketplaces. For purchasing information, visit APL’s marketplace on Toolots.com.