The automotive gear industry uses a lot of C steel
In recent years, Wang Shengtang, the Secretary-General of the China Gear Professional Association, highlighted a significant gap between China and global standards in the automotive gear industry during an industry development strategy seminar. He emphasized that product quality remains a critical challenge for Chinese manufacturers. Experts from the China Gear and Gear Steel Quality Monitoring Trade Collaboration Network, including Chang Shuguang, a former head of the Ministry of Metallurgy’s Gear Steel Technical Research Department, explained the underlying issues contributing to this problem.
Over the past decade, the price of automotive gear steel in China has risen by more than 60% since 2003. Meanwhile, vehicle manufacturers have continuously pressured suppliers to lower their component prices, reducing average annual costs by over 10%. This squeezing of margins has made it increasingly difficult for gear companies to maintain profitability. Small and medium-sized enterprises (SMEs), in particular, are struggling even more than larger firms. Many of them are resorting to low-cost, low-quality steel just to survive, which significantly affects the overall quality of gears produced in China.
According to data, SMEs account for over 70% of the total output in the Chinese automotive gear industry. As a result, a large portion of the steel used is of lower quality—often Class C steel. In contrast, developed countries typically use Class B or even Class A steel for automotive gears. For instance, the fatigue life of Class C steel gears is around 300,000 cycles, while Class B can reach up to 1.9 million cycles. Class A steel exceeds even that. Chang Shuguang noted that 75% of the steel used in heavy-duty gears in China is Class C, while only 25% of medium and heavy-duty gears use Class B. This reliance on substandard materials is a major barrier to building a strong automotive gear industry in China.
To address these challenges, the China Gear and Gear Steel Quality Monitoring Trade Collaboration Network has proposed several measures. These include standardizing procurement practices, improving quality control, and implementing joint bidding processes for steel purchases. Large enterprises already follow international procurement methods, using centralized tenders and setting strict requirements for hardenability and oxygen content. However, SMEs often purchase steel through middlemen, using only basic national standards like GB3077 and GB5216, leading to higher costs and lower quality.
The network recommends the following steps:
1. **Steel Procurement Standards**: Gear factories must adhere to the "Technical Requirements for Steel for Gears" issued by the China Gear Professional Association and the China Automotive Engineering Society.
2. **Steel Mill Certification**: Only certified steel mills should be allowed to supply materials to gear manufacturers.
3. **Joint Bidding Process**: The Standing Committee Secretariat of the network organizes joint procurement bids twice a year, helping SMEs access better quality steel at competitive prices.
4. **Transparency and Quality Control**: All procurement activities must be monitored, and the National Gear Product Quality Supervision and Inspection Center must conduct regular quality checks.
Additionally, market access conditions for gear steels have been set to align with international standards. These include specifications such as terminal hardenability, oxygen content, non-metallic inclusions, grain size, surface quality, and dimensional accuracy.
By enforcing these standards and promoting collaboration among industry players, China aims to improve the quality of its automotive gear products and strengthen its position in the global market.
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