News
The black hole of the debt crisis has heavily stricken the European manufacturing industry which cannot expand fastener demands and results in downstream fastener makers getting close to bankruptcy. Thus, in the short term the weakening fastener demand in the European market is not reversible. Losing the domestic demand, the European fastener industry can only go abroad to other continents, but long-distance delivery will cause the cost of European fasteners to rise, resulting in far less competitive advantages in the global market.
In addition, the black hole also poses tremendous challenge on attracting investments and developing high-end manufacturing industry. Because the investment chain of the fastener industry often breaks, investors are not willing to make investments and many plant go bankrupt. Some high-end fastener production technologies that are under R&D come to a pause as well due to funding problems. Hence, the black hole has drawn the European fastener industry down to the bottom.
