In China, the precise parts and fittings machining lathe and tools industry has experienced continuous and high-speed development for nearly ten years, and has obtained great achievement attracting attention of the world. In 2009, the economic scale of the industry ranks the first place in the world. In 2010, the industrial output value of the industry was nearly RMB550 billion. Wherein, the output value of the metal machining lathe was USD20.9 billion, accounting about 1/3 of the world. When the economic scale grows rapidly, the product structure level of the lathe and tool industry is 　　continuously enhanced, the technical innovation capacity is obviously strengthened, the comprehensive quality and the market competitiveness of the enterprises in the industry are continuously improved. 
With development and accumulation for many years, the precise parts and fittings machining industry has the basic conditions for comprehensively developing high-end and subdivided markets. During “the Twelfth Five-Year-Plan Period”, the lathe and tool industry shall concentrate the force of the entire industry, and fast transform to building the capacity for developing the high-end and subdivided market based on the obtained service results. It shall take practical and effective measures and try to make breakthrough progress for providing equipments and services for core manufacturing fields for such key industries. 
　　The domestic market share of the medium-grade and high-grade digital control system and functional components is significantly improved. The domestic market share of the medium-grade and high-grade digital control lathe and the domestic market share of the medium-grade and high-grade digital control system and functional components are fairly low. These conditions specifically reflect the main contradictions in the industry presently. Realizing the goal that these two market shares are significantly improved is the important mark that the industrial structure level and core competitiveness of lathe and tool industry are improved, and is the main work direction during “the Twelfth Five-Year-Plan Period”. 
　　It shall be guided by the scientific outlook on development, transform the way, adjust the structure, focus on the domestic medium-grade and high-grade market, be piloted by the innovation-driving strategy, take the overall strategy that breakthrough is made in key areas for driving the entire conditions, use the driving and leading role of the significant and special project and realize transfer of the work focus of the entire industry. Namely, it shall transfer the work focus of the entire industry to providing service for the core manufacturing field of the key industries in national economy, transfer to continuously improve the domestic market of the medium-grade and high-grade digital control lathe, transfer to continuously to improve domestic market share of the medium-grade and high-grade digital control system and functional components. During such transfer of work focus, it shall drive the industry to transform from the scale expansion to development mode of technical progress, it shall gradually form a batch of world well-known brands and advantageous enterprises that have the world influence and achieve the stage goal that the industry realizes the strategic transform “from large to strong”. 
　　The precise parts and fittings machining lathe and tool industry is now at the key turning period for realizing significant strategic transformation. Since “the Twelfth Five-Year-Plan Period”, the precise part machining industry must realize the strategic goal that the industry transforms “from large to strong” by stages. This is not only the objective requirements of the market and development environment change for the industry, but also is realistic demand for the industry to realize sustainable and healthy development, and is even the historical mission and responsibility given by the national strategy to the lathe and tool industry. In addition, we shall pay attention to that, the development of the industry in recent years has provided solid industrial base for the entire industry to implement the strategic transformation “from large to strong”.