Lever locks

	Model HLO-0037 from mainland China-based Ningbo Two Birds has an aluminum or zinc alloy handle and an iron backplate.

Cost and pricing pressures are pushing mainland China and Taiwan suppliers of lever locks to introduce strategic production changes. Most of them are focusing on high-value models to shore up profit margins and stimulate export growth.

In the mainland, sophisticated yet cost-efficient technologies are being adopted as part of the upscale shift. A growing number of makers there are penetrating the high-end residential segment to sidestep the price war, which has intensified with the expansion of the domestic supplier base. They are targeting North America and the EU, offering visually appealing designs that provide optimum theft protection.

One of the techniques gaining popularity among mainland suppliers is metal injection molding. In this forming process, fine metal powder is combined with binders and transferred into a mold using standard plastic-injection machines, which some large companies source from Japan or Europe.

Suitable for mass production, metal injection molding is being tapped as a low-cost alternative to traditional machining, casting and stamping. It also allows makers to reuse excess materials and consequently decrease wastage. Furthermore, parts formed through this method can feature complex geometries and are comparable in strength with those made of wrought metal.

To generate R&D savings, mainland suppliers are relying on computer-based solutions that help shorten the mold-manufacturing cycle to one day or even a couple of hours.

Among these is rapid prototyping, which creates samples from CAD data, resulting in fewer engineering changes after the mold is completed. High-speed cutting machines are being employed as well to ensure precision and lower defect rates.

As the line is highly labor intensive, the latest production strategies in Taiwan aim to minimize worker-related outlay. Suppliers also hope to soften the impact of the material cost upswing, which reached 20 to 30 percent in past months.

Many companies are establishing factories in the mainland’s southeastern coastal provinces to take advantage of lower labor expenses. Operations focus on the large-volume manufacture of home-use models. Some suppliers carry out the majority of production there but retain domestic plants for critical processes.

ISO 9001-certified Je Tien Enterprise Co. Ltd, for example, has a mainland facility for semifinished lever locks. But cylinder manufacture, and final assembly and QC are performed in its Taiwan factory.

Suppliers that continue to produce lever locks in the island are reducing their reliance on manual labor by investing in CNC equipment. Output from these companies primarily consists of upscale designs for public and business establishments. Concentrating on such applications enables them to escape the fierce price competition in the residential segment and, in turn, gain a differentiation advantage over mainland counterparts.

Steel Mark Enterprise Ltd has been gradually shifting to CNC cutting machines for its commercial-use lever locks. Piece-by-piece testing is done to check the performance and appearance of finished products.
Top material choices
Boosting OBM exports

Mainland suppliers are also tapping durable materials in line with the upscale move. Despite being costly, many prefer to use brass and stainless steel for their strength and hardness.

Ningbo Micota Locks Co. Ltd has launched a range of mortise designs with brass deadbolts and a steel key. North America and the EU are the major export destinations.

Model ML001 from Glowing Hardware Manufacture Co. Ltd is fitted with stainless steel components and can come in a satin, polished or brass-, copper- and gold-plated finish. Five sizes are available.

Products are shipped to Europe, North America, Asia, the Middle East and Africa.

Less-expensive options, specifically aluminum and zinc alloy, are still commonly adopted in designs for price-conscious markets.

At Ningbo Two Birds Industry Co. Ltd, lever lock handles are made of aluminum or zinc alloy. The former is also employed for latches and bolts and the latter for backplates.

The supplier offers six models in the line. Its entire output is exported, primarily to Asia, the Middle East and Africa. Half of shipments are under OEM and ODM contracts.

Similarly, brass, stainless steel and zinc alloy are the top choices in Taiwan. Materials are either procured locally or from the mainland provinces of Guangdong, Fujian and Zhejiang.

Thase Enterprise Co. Ltd opts for brass and stainless steel in its high-end releases. These commercial-use designs target the US and the EU. OEM orders represent more than half of shipments.

Steel Mark’s TE500-630 model has a zinc alloy body with a satin stainless steel finish.

Brass lever locks from the island are usually priced at $6.70, while those in zinc alloy go for $3. Quotes are expected to rise in the months ahead due to metal cost inflation.

Although the industry remains OEM-oriented, some suppliers are also strengthening their OBM business to ensure long-term viability.

In-house-branded lever locks currently account for 5 to 7 percent of the mainland’s exports, which generate $0.6 billion annually.

This share is expected to increase in coming years as large companies step up R&D and QC to build brand recognition further. North America, the EU and Asia are their target markets.

Taiwan suppliers are gearing up OBM shipments, with Southeast Asia and Japan as the key destinations. Those eyeing the US are aligning their products with ANSI grade 1 or 2 requirements.

Je Tien is promoting models that carry the in-house Apolock brand. These constitute 60 percent of the company’s exports.

To attract more orders, Steel Mark is releasing aluminum alloy designs with a three-level management system and that meet ANSI grade 2. A two-year guarantee is also offered.

At present, 20 percent of Steel Mark’s output consists of OBM models. North America and the EU absorb the majority of outbound shipments.

The company introduces at least two new products each year to stay competitive.