The Development Situation, Future and Counter Measures of Remanufacturing Industry in China

doi:10.15302/J-FEM-2016021

Front. Eng

2016, Vol. 3

Issue (2) : 123-131 https://doi.org/10.15302/J-FEM-2016021

ENGINEERING MANAGEMENT THEORIES AND METHODOLOGIES

The Development Situation, Future and Counter Measures of Remanufacturing Industry in China

Wen-qiang Liu(

), Jun-yuan Mo, Cheng-kui Gu

The Development Center of Information Industry of China, Beijing 100048, China

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Abstract

Currently, resource supply and demand contradiction, and over-loaded environment capacity have become a bottleneck for sustainable economic development in China. Electro-mechanical products are approaching a peak of obsolescence, and massive abandoned electro-mechanical products are causing severe environmental pollution, huge waste of resources and potential safety hazard. Remanufacturing is repairing or modifying worn mechanical products using high-tech method, which buffers the contradiction between wasting and shortage of resources, and brings industry towards a comprehensive utilization of resource and environmental protection. As a new strategic industry, remanufacturing, which is highly coherent with the development strategy of the circular economy, is still in its infancy in China. This paper analyzes the developmental trends and problems of the remanufacturing industry in China, and proposes promoting measures based on the engineering practices of remanufacturing.

Keywords remanufacturing industry measures development

Corresponding Author(s): Wen-qiang Liu

Online First Date: 20 September 2016 Issue Date: 22 September 2016

Cite this article:

Wen-qiang Liu,Jun-yuan Mo,Cheng-kui Gu. The Development Situation, Future and Counter Measures of Remanufacturing Industry in China[J]. Front. Eng, 2016, 3(2): 123-131.

URL:

https://academic.hep.com.cn/fem/EN/10.15302/J-FEM-2016021
https://academic.hep.com.cn/fem/EN/Y2016/V3/I2/123

Tab.1 Output of Major Electro-mechanical Products in China & Their Global Shares

Fig.1 Industrial value-added growth rate in recent 10 years.

Key project	Demonstration details	Objectives
Remanufacturing Demonstration Project for Entire IC Engines and Critical Components	The demonstration focuses on the creative research results with critical and common technologies, such as: High-efficiency and non-destructive disassembly & assembly, green cleaning, performance optimization matching and upgrade of the entire IC engine remanufacturing, in the fields relative to the engines for the mid/heavy-duty commercial vehicles, the passenger vehicles, engineering machinery, agriculture machines, and for fixed electricity-generating equipment, ships, petroleum drilling and locomotives.	Aim for the remanufacturing production capacity of 180,000 engines for mid/heavy-duty commercial vehicles, 70,000 engines for passenger vehicles, 60,000 engines for engineering machinery, 20,000 engines for agriculture machines, and 20,000 engines for fixed electricity-generating equipment, ships, petroleum drilling and locomotives, in 2015.
Remanufacturing Demonstration Project for Key Assorted Components	The demonstration focuses are the technology research & application achievements, such as performance quality inspection, life appraisal, process quality control in the fields relative to boosters, electricity generators & starters, oil pumps, fuel pumps and water pumps. Meanwhile, conduct the technological procedure research and demonstration application to measuring, assembling and balancing; create management processes associated with remanufacturing; have the massive production capability and complete the relevant technical specification.	Aim for the remanufacturing production capacity of 500,000 boosters, 1.5 million starters, electricity and generators, and 800,000 units of oil pumps, fuel pumps and water pumps, in 2015.
Remanufacturing Demonstration Project for High-Efficiency and Cleanness Upgrade of IC Engine	Comprehensively apply the technologies for upgrading fuel system, adoptive modification of replaced fuel, power optimization matching; modify the IC engine in stock for the purposes of high efficiency and cleanness. Improve major properties of remanufactured products. Increase the fuel economy and decrease the emission. Gain the demonstration promotion effectiveness.	Build an advanced platform for optimized design and electric control system development of the gas engine in 2015, and initially develop to large-scale production of remanufacturing with high-efficiency cleaning.
Promoting Project for Technological Procedures and Equipment in Remanufacturing	Intensively support the R&D, industrialization demonstration and application of the technologies-prototyping and manufacturing, dismantling and cleaning, non-destructive testing and life appraisal in remanufacturing, as well as typical remanufacturing technologies and equipment listed in “Catalogues of Remanufacturing Technology and Equipment for Electro-mechanical Products”.	In 2015, widely promote and apply the applicable technology and equipment, and greatly improve the technical level of remanufacturing industry.
Demonstration Project of Reverse Logistics System Construction for Remanufacturing	Expand the recycling channel and establish a stable network system for recycling old components. Relying on the sale network system for IC engines and fully utilizing other recycling channels, construct a reverse logistics system with the high-quality, high-efficiency and low-cost logistics featuring large-scale, professional, informatization and standardization for IC engine remanufacturing. Guide the remanufacturing enterprises to cooperate with IC engine customers, specialized logistics service organizations and maintenance service enterprises, so as to build a long-term stable recycling mode–– Old for remanufactured product, contract purchasing, etc.	In 2015, the major enterprises engaging in IC engines and critical components construct relatively complete recycling system for old components relying on their own network, and form the recycling capability of 3 million units/years of the entire IC engines and critical components.

Tab.2 Key Projects of IC Engine Remanufacturing (The Ministry of Industry and Information Technology, 2013)

1	China Machinery Industry Federation. (2015). Main equipment ownerships of engineering machinery by the end of 2014. (in Chinese).
2	The Central People’s Government of the People’s Republic of China. (2008). Circular economy promotion law of the People’s Republic of China. (in Chinese).
3	Editorial Department of China Industry News. (2014). China’s machine tool production accounted for 38% of the global share. China Industry News, B1 (in Chinese).
4	Ministry of Industry and Information Technology of the People’s Republic of China. (2009). Announcement from the General Office of the Ministry of Industry and Information Technology on carrying out the pilot work of electro-mechanical products remanufacturing (Ministry Issue No. 128, 2009). (in Chinese).
5	Ministry of Industry and Information Technology of the People’s Republic of China. (2013). Promoting plan of internal combustion engine remanufacturing (Ministry Issue No. 406, 2013). (in Chinese).
6	Ministry of Industry and Information Technology of the People’s Republic of China. (2014). Announcement from the General Office of the Ministry of Industry and Information Technology on deepening the pilot of electro-mechanical products remanufacturing (Ministry Issue No. 825, 2014). (in Chinese).
7	National Development and Reform Commission. (2008). Notice of the General Office of the National Development and Reform Commission on organizing and carrying out the pilot of remanufacturing of automobiles and components (Commission Issue No. 523, 2008). (in Chinese).
8	National Development and Reform Commission, Ministry of Science and Technology of the People’s Republic of China, Ministry of Industry and Information Technology of the People’s Republic of China, Ministry of Public Security of the People’s Republic of China, Ministry of Finance of the People’s Republic of China, Ministry of Environmental Protection of the People’s Republic of China, Ministry of Commerce of the People’s Republic of China, General Administration of Customs of the People’s Republic of China, State Administration of Taxation, State Administration for Industry and Commerce of the People’s Republic of China, General Administration of Quality Supervision, Inspection and Quarantine of the People’s Republic of China. (2010). Suggestions on promoting development of remanufacturing industry (Commission Issue No. 991, 2010). (in Chinese).
9	Smart Research Consultancy Group. (2015). 2015–2020 China automobile manufacturing market assessment and investment outlook forecast report. Beijing: Smart Research Consultancy Group (in Chinese).
10	The State Council. (2001). Regulations on recycling of abandoned vehicles (State Issue No. 307, 2001). (in Chinese).
11	The State Council. (2005). Opinions of the State Council on speeding up the development of circular economy (State Issue No. 22, 2005). (in Chinese).
12	The State Council. (2013). The circular economy development strategy and near-term action plan (State Issue No. 5, 2013). (in Chinese).
13	The State Council. (2015). Announcement from the State Council of the People’s Republic of China on issuing the “Made in China 2025” (State Issue No. 28, 2015). (in Chinese).
14	B. Xu, (2005). Foundations and applications of remanufacturing engineering. Harbin: Harbin Institute of Technology Press (in Chinese).
15	B. Xu, (2007a). Remanufacture and recycle economy. Beijing: Science Publishing House (in Chinese).
16	B. Xu, (2007b). Theory and technology of equipment remanufacturing engineering. Beijing: National Defense Industry Press (in Chinese).
17	B. Xu, (2010). Remanufacture engineering and its development in China. China Surface Engineering, 23(2), 1–6 (in Chinese).
18	B. Xu, (2014). Technology and application of remanufacturing. Beijing: Chemical Industry Press (in Chinese).
19	B. Xu, , S. Dong, , S. Zhu, , & P. Shi, (2012). Prospects and developing of remanufacture forming technology. Journal of Mechanical Engineering, 48, 96–105 (in Chinese). https://doi.org/10.3901/JME.2012.15.096
20	B. Xu, , X. Liang, , P. Shi, , & Z. Cai, (2015). Development of remanufacture engineering and its industry in China. Surface Engineering and Remanufacturing, 15(2), 6–10 (in Chinese).
21	B. Xu, , S. Liu, , & P. Shi, (2004). Boosting remanufacture engineering management and promoting the circular economy development. Chinese Journal of Management, 1, 28–31 (in Chinese).
22	S. Xu, (2014). The report of State Council of the People’s Republic of China on energy conservation and emission reduction situations. The 8th meeting of the 12th Standing Committee of the National People’s Congress, April 21, Beijing. (in Chinese).
23	T. Yang, (2014). Promote the healthy and orderly development of remanufacturing industry in China. China Surface Engineering, 27, 1–3 (in Chinese).

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