(LI SHIGONG) 

China is home to more than 3,000 pen manufacturers and more than 200,000 people are engaged in this industry. However, despite being a large steelmaker, the country had long been unable to produce steel used for ballpoint pen tips. That's why when Taiyuan Iron and Steel (Group) Co. Ltd. (TISCO) announced in January that its newly developed steel products had been successfully applied in the manufacturing of ballpoint pen tips, the news drew nationwide attention.

TISCO said it mastered the sophisticated technology after five years of research. Ballpoint pen tips made with Chinese steel, whose quality reportedly equals that of imported ones, are expected to be mass-produced, ending the country's reliance on imports.

Many people have cheered the victory of TISCO, seeing it as a tangible step forward for China's steel industry and manufacturing sector. They say it is something that again fills Chinese citizens with confidence and boosts their enthusiasm about innovation.

However, others feel this development should not be connected to national pride or the advancement of manufacturing in China. Companies in China do not produce ballpoint pen tip steel because it is not a lucrative product and moreover, in the era of globalization, it's unnecessary to produce every component by oneself.

Technology breakthrough

Ran Yu (China Business Herald): For so many years, something has weighed heavily upon China's ballpoint pen manufacturing sector. With a production capacity of 40 billion ballpoint pens every year, China imports both the raw materials and the equipment for producing ballpoint pen tips. This lack of manufacturing capability has been widely seen in China as representing a lack of craftsmanship in the country's manufacturing industry. As TISCO has finally produced steel for ballpoint pen tips, cheering for it is natural, as it demonstrates tangible progress toward a higher level in China's manufacturing sector.

TISCO's achievement has bolstered the confidence of China's manufacturing sector and the citizens of China. Besides, the experience accumulated in the process of researching and developing ballpoint pen tip steel will surely be translated into core competitiveness in China's manufacturing industry for other products. The success of TISCO is not an isolated event, but shows a path where breakthroughs in key products push forward the whole sector's progress.

Feng Shouyan (Shanghai Observer): The core technologies of a ballpoint pen are the tip and the ink. While the writing point is made in China, tip steel and ink—to a large extent—have to be imported. As a result, ballpoint pen producers in China gain only a small fraction of the industry's profits. Actually, this phenomenon appears not only in ballpoint pen production.

Thanks to low labor and material costs, China used to harvest huge wealth in international trade. However, in the past decade, people have increasingly realized that in global economic competition it is those who have grasped core technologies that are the most competitive. Take the ballpoint pen industry for example. Although China accounts for 80 percent of the world's production capacity, the lion's share of profits go to Japanese companies that provide steel and ink, as well as to Swiss companies that provide production equipment. In this context, surmounting technological difficulties carries strategic significance for companies in China.

The good news is that some of China's leading manufacturers have already secured a footing in the competition, possessing advanced core technologies. Particularly in the area of household electrical appliances, China has big enterprises like Gree and Haier, which are competitive across the world. Huawei is also playing a leading role in the telecommunications sector. These companies are now among the healthiest as well as the most promising players in China's economy.

Why don't China's ballpoint pen and other manufacturing enterprises learn from their success? Advanced technology is required to find solutions to major challenges. China has developed high-speed railways, nuclear-powered submarines and spacecraft. With this innovative spirit, the country can achieve breakthroughs in other areas.

A global market

Shu Shengxiang (Yangzhou Evening News): Ballpoint pen tips produced with domestic steel are not something that we should be proud of. Insiders have long said that in the case of ballpoint pen tips, it is not only a matter of technology, but also of market. Even if you produce the tips, yours may not be as good as others', and even if the quality is the same but your costs exceed theirs, your products will not sell well.

It's naive to think that tip steel produced by enterprises in China will totally replace imports. The fate of domestically produced tip steel will be determined by the market. If imported steel is much more expensive, then we can expect to see more active participation by Chinese businesses in the industry.

In an era of highly specialized division of labor, you don't have to produce something locally when you can buy it elsewhere, except for strategic products. Importing ballpoint pen tip steel does not shame China's manufacturing sector. We are strong not because we are capable of producing everything, but because we have our own strong points.

Ballpoint pen tips can't represent the whole of China's manufacturing industry. It's meaningless to play up their significance. Sometimes, it's not that Chinese businesses are unable to produce certain products; it's just because they are unwilling to. If it costs more to produce something than to buy it directly, of course businesses will not want to spend a lot of money

developing and producing it.

Cen Rong (Sanxiang Metropolis Daily): TISCO has overcome various technical difficulties to finally be able to produce steel used for ballpoint pen tips. The craftsmanship spirit exhibited by the company is much needed throughout China's manufacturing sector. China's economy should shift its focus back to the manufacturing sector from the real estate industry, which entails no high technology and promises no bright future. It is manufacturing that deserves to make big profits and attract huge investment for further development.

However, I don't think it's proper to link ballpoint pens to the technological advancement of China's manufacturing sector. Whether Chinese enterprises can produce ballpoint pen tips or not does not necessarily reflect the strength of China's manufacturers.

Indeed, producing ballpoint pen tip steel requires a complex process, and this is one of the reasons why China had failed to produce it until just recently. Another important reason is that the product is not sufficiently profitable to prompt companies in China to research and develop the technology. Pen producers in China widely use Swiss equipment and imported steel, which ensure the production of high-quality and cost-effective ballpoint pens. For steel companies, ballpoint pen tip steel accounts for a tiny fraction of their overall production. One day's output of such steel may be enough for one year's consumption in the pen manufacturing industry. Therefore, many steel companies don't feel developing the technology is worthwhile.

Without a lucrative return in sight, companies naturally give up on the idea of producing ballpoint pen tips. We are now facing a globalized market. If the country's national security and economic lifeline do not hinge on a particular product, we don't have to produce it by ourselves. We can choose to buy it from other countries. Even Apple does not produce all the components used in its cellphones.

Most inventions are not the outcomes of a pursuit for honor or glory, but result from a pursuit for bigger profits and market margins. When producing ball pen tip steel is sufficiently profitable, many companies will rush to produce it. We hope that TISCO made such effort not for the purpose of achieving a symbolic victory, but because it saw a bright prospect and the chance to generate huge profits.

Copyedited by Chris Surtees

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