Stanley Factory Closes After 25 Years

[jackal]

I know Stanley isn't the same since it's conception by Frederick Stanley and Leonard Bailey patents. The quality is not the same but the price of Shenzhen manufactured Stanley products are more affordable. All my Stanley planes are vintage and I love to used them but my pals No7 is terrible in comparison. For the price he would of been better of with a Faithful?

Either way the closure will increase costs of these tools. Thoughts?

Link to article

US hardware giant’s Shenzhen factory bites the dust as costs soar

 

[marcros]

China certainly isn't the universally cheap manufacturing location that it once was. People think that the factories only churn out rubbish for peanuts, which in some cases is true, but there are some high quality items and these are charged accordingly. You get what you pay for, and if you want something you have to pay for it and validate it through QC. You then have to ship the items, all of which reduces the cost differential between Chinese and local manufacturing. I am not sure whether there are political reasons or tax incentives for relocating manufacturing too.

I got lost in Shenzhen city once. Nobody I found spoke any English at all. It was then that I first realised just how big Chinese cities can be, and we have never heard of most beyond the ten largest!

 

[AndyT]

It's a good example of how an interest in tools can give a window into world economics.

it won't affect me - I hardly ever need to buy any new tools.

Did they make Stanley brand hand tools though? I thought I had read that their revived Sweetheart range was made in Brazil.

It bothers me when I see poor countries subjecting their people to the sort of exploitative, unhealthy working conditions that prevailed in Victorian England. If the Stanley factory in China was a good steady employer treating its staff properly (as the news report says) then it seems likely that its replacement (presumably in some emerging country poorer than China) will be worse, in order to be cheaper/more profitable.

 

[marcros]

Or has the factory developed their skills sufficiently to be able to manufacture more premium products and have priced themself out of the entry level part of the market.

You wouldn't pay an experienced restaurant chef to cook at KFC, nor would I get Dr Bob to pop round and fit a kitchen in a 2 up 2 down terrace. It doesn't necessarily follow that anybody is being exploited.

 

[Stevem]

Good morning all
Reading the article, it appears there are several reasons behind the closure, not least the land lease renewal. Combine these issues and the current (apparent) US stance on China, perhaps Stanley are looking more towards Vietnam as a manufacturing base?
I haven't enough experience with tools to comment on old v new hand tools, I'm just entering stage three of the tool acquisition programme ( ie cheap handtools/cheap power tools/semi-pro power tools) - guessing I'll be moving onto quality hand tools into retirement... So I'll report back in a year or two (subject to finger retension).
I do know that I'm acquiring all those little gizmos and tools at an increased pace as I can clearly see the prices rising already - and expect them to rocket by Spring 2021. Stay safe.

 

[thetyreman]

I'm not too worried about this, the modern stanley tools are rubbish anyway, I only use vintage bailey planes. I think the company deserves to go out of business because of the ethics involved in using poorer countries for slave labour, it can't continue like this forever.

 

[D_W]

There are a couple of youtubers who vlog from shenzhen - it's technology and relative gentrification for china now. Just too expensive and too many other economic opportunities that are worth more than making tools.

Stanley will just make or have tools made elsewhere, and probably not at a higher cost.

In the world of guitars, Japan beat on the US makers in the 70s to the mid 80s due to yen values 1/2 or less than they are now. The yen gained strength and it dried up except for higher end guitars. The low end of the market moved to korea- then by the early 2000s, korea was becoming too expensive and the lower cost guitars moved to china...

......and now, indonesia is a fraction of the cost of manufacturing in a lot of up and coming areas in china so indonesia has taken over. The last I checked, which was a couple of years ago now, the average wage in indonesia was $2k and china had gone from that to $7k in only a decade, and that prices it out of a lot of the low margin businesses. $7k is probably closer to $10k, but i'm sure there's geographic disparity.

Interestingly, the internet also makes available glassdoor like reviews from workers in indonesian factories and they talk about liking the job of making guitars but wanting higher wages. It'll go somewhere else next.

There's a lot in the news about US china relations, but I'm sure this is an economic move and not related to drummed up news sentiment. Most people here have no issue with buying gobs of stuff made in china, and they'll do it if it's any measurable amount less than american made.

Vietnam has been an option for heavier (commercial) items for a long time - at least 15 years ago, an engineer friend of mine mentioned they'd have large forgings made there instead of china because it's cheaper - not sure why it hasn't gained more footing making consumer junk.

 

[D_W]

Just looking at the news here, stanley now owns the once extremely popular craftsman brand - and didn't have to pay that much for it, which probably reflects the outlook. They have 60k employees so opening, closing, divesting and acquiring is probably a constant there.

What's not as easy to find is how many factories stanley B&D has in china - and I guess nobody writing thought it would be interesting enough to know any facts like that.

 

[D_W]

I'm not too worried about this, the modern stanley tools are rubbish anyway, I only use vintage bailey planes. I think the company deserves to go out of business because of the ethics involved in using poorer countries for slave labour, it can't continue like this forever.

Based on their brand listing, and their recent acquisitions, it looks like they make more money on specialty (industrial fasteners, etc), mechanics tools and power tools (all the way to commercial windows and doors). From the perspective of how things are marketed over here, it looks pretty crowded. They list hand tools under the craftsman brand now, but funny enough, they're not prominent enough to get their own pictures!!!

The hand too listing is crowded. Irwin, stanley, craftsman, lenox - I can't figure too much at the consumer level why they need those four brands with enormous amounts of cross over from one to the next.

 

[TheUnicorn]

I wonder it will affect dewalt, as I gather stanley, b and d, dewalt are all interconnected, never know if that means they are all knocked out in the same factories or just owned by the same parent companies

 

[jackal]

I'm not too worried about this, the modern stanley tools are rubbish anyway, I only use vintage bailey planes. I think the company deserves to go out of business because of the ethics involved in using poorer countries for slave labour, it can't continue like this forever.

Not too different to Frederic Stanley, he stepped on the toes of his competition during the industrial revolution.

 

[jackal]

I wonder it will affect dewalt, as I gather stanley, b and d, dewalt are all interconnected, never know if that means they are all knocked out in the same factories or just owned by the same parent companies

I think they are the same company

 

[jackal]

I did a blog on The History of Stanley Tools Works History of Stanley Tool Works I think it is still valid but things keep changing?

 

[Jameshow]

I've brought faithful planes which seem decent quality for the price....

Indian made I believe.

Cheers James

 

[jackal]

Based on their brand listing, and their recent acquisitions, it looks like they make more money on specialty (industrial fasteners, etc), mechanics tools and power tools (all the way to commercial windows and doors). From the perspective of how things are marketed over here, it looks pretty crowded. They list hand tools under the craftsman brand now, but funny enough, they're not prominent enough to get their own pictures!!!

The hand too listing is crowded. Irwin, stanley, craftsman, lenox - I can't figure too much at the consumer level why they need those four brands with enormous amounts of cross over from one to the next.

Brilliant insite there... Thank you

 

[jackal]

I've brought faithful planes which seem decent quality for the price...

Indian made I believe. Their Jointer isn't bad at the price but they need a little flattening. I think it is better than the Stanley No7 that is available on Amazon.

Cheers James

 

[ivan]

According to Tesco info given to shareholders ,transport from china adds a few pence to the cost af a pair of jeans, and about £2 to a large flat screen tv.

 

[Stevem]

I'm not too worried about this, the modern stanley tools are rubbish anyway, I only use vintage bailey planes. I think the company deserves to go out of business because of the ethics involved in using poorer countries for slave labour, it can't continue like this forever.

I thought that 'cheap stuff ' was made by slave labour. It is nowhere near as simple as that. My experience is limited to short visit to India and North Africa off the beaten tracks. From what I saw , and speaking to very ordinary people, a job of almost any sort gives purpose, hope,dignity,and some income. Example I stopped to share a cuppa offered by a gang unloading timber into a workshop.several spoke english, and were very proud to be working in the very basic shop - bare belt driven saws that I would be petrified to get near! Their income was peanuts, but it put food on the table. Utterly humbled.And nope , they wouldn't take anything for the 'pot'. Similar chat in Mali -again , cash offered and refused.
Thinking back about my own family - G/Grandfather lining up at Hull Docks almost begging for a days work. Better than the dread workhouse. 100 very near years ago.
There's real slavery right under our noses here in UK. Check out the gang in the fields, the washers in the car wash, the waiters in restaurants... 2020.
Stay safe

 

[Stevem]

According to Tesco info given to shareholders ,transport from china adds a few pence to the cost af a pair of jeans, and about £2 to a large flat screen tv.

I understood container shipping (I actually unload these from some countries) from China are heavily subsidised by the PRC government

 

[artie]

According to Tesco info given to shareholders ,transport from china adds a few pence to the cost af a pair of jeans, and about £2 to a large flat screen tv.

I remember some TV prog I once watched stated, it was way more costly to get a tv from the docks to the retail outlet than to bring it from China.