MATERIAL:

Aluminium
Brass
Copper
Stainless Steel
Steel Alloy
Steel Mild Low Carbon
Titanium
 

SITUATION:

Vietnam as well as other countries are suffering the same situation of world soaring machining material price. Vietnam Outsourcing Pte ltd also shared a full article on this: https://vnoutsourcing.com/en/news/news-events/high-fever-in-the-global-steel-market-113.html

 

Vietnam government's vision

Vietnam's industrial development strategy to 2025 with a vision to 2035 The Government has identified three groups of industries to prioritize development, including the Manufacturing industry, Electronics and telecommunications industry. Which, the manufacturing and processing technology industry develop strongly, which is influenced by the development of CNC technology, specifically the application of CNC machining.

CNC machining technology 

Recently, CNC machines have begun to show signs of price stabilization and are easier to use. Therefore, many processing factories are interested in investing in this type of machine. The application of CNC machine systems has continued to expand into other areas such as 3D printing, laser cutting, waterjet, wood, plastic and glass. Manufacturers' efforts on optimizing to cut machine costs, or the desire of outsourcing companies to increase productivity, reduce labour resources are expected to increase the CNC machine market shortly.

Human resources

Vietnam's main advantage over China is the low cost of the labor force. While in major Chinese cities, the wages have surged, and manufacturers are struggling to stay profitable, the cost of labor in Vietnam can be as little as 1/3 of China's. For instance, the minimum wages in Vietnam can be as low as $125 in certain regions. With that in mind, wages in Vietnam are increasing faster than they are in China and, in some cases, are reaching parity.
In recent years, Vietnam is expected or considered by some as the 2nd Factory of the world, or the next Manufacturing Hub of the world after China; there are many driving factors behind this:
The labor cost in Vietnam is still highly attractive to many investors, the so-called “golden population” structure is perfect for the development of manufacturing industries.

Manufacturing costs

Mr Daniel Pham – Vietnam Outsourcing Pte, ltd has written a full article to explain this phenomenon, you can find it here : The Myth of Manufacturing Cost in Vietnam

With our office located in Vietnam, Vietnam Outsourcing Pte ltd can negotiate on your behalf in the local dialect ensuring the manufacturer and the factory workers understand your expectations while obtaining the best quotes and deals. Our Vietnamese agent’s support is valuable in terms of conducting factory inspection, verification of the supplier’s authenticity and ensuring the parts reach you on time.

Controlling delivery timescales falls into two areas – production timescales and shipping times.
The only way to mitigate these problems is to develop a good relationship with 3 sides: Vietnamese CNC machining supplier,  shipping agents in both Vietnam and your home. Vietnam Outsourcing Pte Ltd can support you overcome this pain.

When sourcing from Vietnam, many encounter the difficulty of finding the right manufacturer or factories for machining metal parts. A specialised sourcing agent can step in here and help you opt for the right factory equipped with a range of tools, techniques and technology for precision machined parts. Our engineer experts help you find reliable machined metal parts manufacturers who are detail-oriented and who are willing to provide you with a sample for your evaluation before placing the order.

Our staff member including QA, Engineering, Sales and Marketing are fluently in English.

The best way to protect IPR is to keep the important clever parts in the house. If you do outsource these parts make sure you do not choose a supplier in a parallel industry to your own. It is also worth considering using more than one supplier so that no one supplier holds all of your parts. It also helps if you are an important customer to your supplier as they will not want to do anything to risk losing your business.