Vertical E-Commerce platform by Chinese American entrepreneur link up Chinese mechanical and electrical products with the American market

Chinese American entrepreneur Jason Fu, who emigrated from Ningbo City located in the Zhejiang province of China, created the vertical cross-border e-commerce platform named Toolots in 2011. Toolots’ platform concentrates on complementing the markets of industrial equipment products from both China and the U.S., while an after sales service companion app called YuuTool been established as the key to mechanical and electrical product sales.

Jason Fu

The YuuTool platform strives to build branding for Chinese manufacturing in the international mechanical and electrical products market. As of now, more than 3,000 maintenance engineers across the United States have registered.

Fu wants to improve the product quality and standard for Chinese manufacturing industry through data feedback from the American market, setting product standards, and enterprise training to allow the Chinese mechanical and electrical products a more competitive edge in the international market.

Fu hopes that landing on Toolots will be the fastest way for companies in the Chinese manufacturing industry to build an international brand in America. As CEO of Toolots, Fu is well versed with the American industrial equipment market. He was first to coin the phrase Internet 4.0, which refers to adding service to data, finance, and business development.

Essentially Toolots provides a business suite that grants smaller businesses who plug in access to Toolots’ platform, business network and intelligence, market research, and tools such as their YuuTool app. This gives smaller businesses working with Toolots the ability to tap into a vast network of products, services, and people without the difficult task of discovering and building this information on their own.

Fu reiterated that Toolots is a vertical e-commerce platform that concentrates on industry mechanical and electrical products sales, and is specifically unique due to its after sales repair and maintenance services. In addition to his expertise of the American market, Fu has a wealth of experience with the Chinese market, and his vision has always included mutual market expansion and improved relations for both the U.S. and China through streamlined industrial commerce.

Currently, there is room for tremendous growth of the Chinese market, as in 2014 the U.S. market imported over $600 billion in mechanical and electrical products. However of that $600 billion, roughly only $7 billion was generated from imported sales for machining tools for Chinese manufactured mechanical and electrical products. This is significantly less than Taiwan, who has a lower country population than that of China, and recorded $70 billion in machining tools imports to the U.S. the same year.

One advantage for the Chinese market has been the recent increase in demand for low-end industry equipment. Due to technological advances and industry improvements in Chinese manufacturing, Chinese low-end industry equipment that is unavailable and no longer manufactured overseas now complements American high-end ones. Another positive factor is the product price from Chinese manufacturing is attractive to small and medium size manufacturing enterprises with tighter budgets.

Jason Fu said that removing the middle man in traditional foreign trade is the greatest innovation that Toolots has implemented, as mechanical and electrical products from Chinese factories can be sold directly to American customers through Toolots and allow more profit for factories. Furthermore, for the American customer, the overall price is lower while the product quality remains the same.

Since its establishment, Toolots has accumulated more than 30,000 customers for mechanical and electrical products in the USA and South America, which Fu has overseen for more than a decade. Toolots also has a distinguished customer service team with years of experience that provides assistance with troubleshooting, purchasing, and product information.

Currently Toolots has a showroom covering 120,000 square feet, and plans for a new an overseas warehouse for Chinese enterprises covering roughly 1 million square feet is scheduled to be built in the near future.

On the afternoon of January 7th, 2017, professionals and scholars from a variety of known venture investment companies and enterprises met for an investors conference that took place at Toolots’ headquarters located in Cerritos, California. During the conference, Fu provided an overview of Toolots’ business model thus far, as well as future projections for 2017.

Hermann Liu

Hermann Liu from the venture investment fund Andra Capital, traveled from San Francisco to Cerritos present at Toolots’ investor conference. Liu said that the American mechanical and electrical product market is huge due to high demand for after sales service, but also for complicated operating procedures as well. Liu elaborated that given this situation, the room for innovation will be bigger and the chances for making value will be greater. The founder of Toolots has strong knowledge for this industry, Liu stated before continuing, Jason Fu has started businesses several times, and he has always had clear business plans, great foresight, and leadership skills.

Liu stated the stockholder and operating teams for Toolots also have a high level of skill. The challenge from technical service, marketing, team building and enterprise culture building will help Toolots to get over the chasm on the way, Liu concluded.

Wei Guangping, an alumnus from Peking University and big data specialist in Southern California, presided over the conference. Zhu Tianhe, a Toolots director who previously worked in CAS, Shi Dixia, a Toolots director and founder of known fashion suit-dress brand Ever-Pretty&AlisaPan, Toolots directors Pan Leibing and Yang Jianhong, and Toolots Chief Operating Officer Raymond Cheng were all in attendance at the conference as well.