China has become one of the world's largest hardware manufacturers, with a vast market and consumer potential. Although the financial crisis in previous years had a slight impact on China’s hardware exports, it has improved since 1999. The foreign exchange earned through exports rose from 2.76 billion U.S. dollars in 1995 to 3.847 billion U.S. dollars in 1999, an increase of 71.74%, an average annual increase of 11.4%, and has been steadily increasing since then. In 2002, the total output value of China's hardware industry reached 189.5 billion yuan, a year-on-year increase of 19.15%. Customs statistics totaled 6.774 billion U.S. dollars, an increase of 24.51% over the same period of the previous year, of which, gas water heater production was 2,244,400 units, an increase of 19.18% over the previous year; locks were 1,230 million. The increase of 9.43% over the previous year; daily stainless steel products 415,000 tons, an increase of 24.56%. It is understood that at least 70% of China's hardware industry is a private enterprise, which is the main force for the development of China's hardware industry. On the other hand, in the international hardware market, developed countries in Europe and the United States have shifted their universal products to developing countries due to the rapid development of production technology and rising labor costs. They only produce high value-added products, and China has a strong market potential. Therefore, it is more advantageous to develop exporting countries for metal processing.