Zhejiang Xinxing Tools' booth at the 14th China CNC Machine Tool Fair on April 24 in Shanghai. [XU WEIJIE/FOR CHINA DAILY]

Zhejiang Xinxing Tools rang the listing bell on the ChiNext board of the Shenzhen Stock Exchange on July 30, becoming the 12th listed enterprise in Haiyan county, Zhejiang province. Located in Liuli industrial park, Ganpu town of Haiyan, Xinxing Tools is a time-honored manufacturing enterprise. For more than 30 years, the company has focused on the hole machining tool sector and has been recognized as a single-product champion in manufacturing.

The enterprise specializes in the research and development and production of drilling tools such as annular cutters and spade drills. Drawing on its extensive manufacturing expertise, it accounts for more than 50 percent of the domestic market share for annular cutters. Its products are now sold to more than 90 countries and regions, and the company has established close partnerships with thousands of clients worldwide.

Through sustained investment in innovation, the enterprise has secured 170 patents. It has led the formulation of two national industry standards and set up a national-level postdoctoral research station in 2024, helping it remain at the forefront of technological innovation in this niche industry.

"Haiyan's business environment and full-cycle incubation services gave us the confidence to take root here, develop the real economy and march toward the capital market," said Zhu Dongwei, general manager of Xinxing Tools.

Currently, the main structures of the company's new digital factory have been completed. Once operational, the factory will produce precision tool holders and fixtures for computer numerical control machines. The project is expected to be completed and begin operation by the end of the year.

Once fully operational, the project will add an annual production capacity of 6.6 million high-end CNC tools, accelerating the company's transformation from a single-product manufacturer to a comprehensive solution provider offering a full range of hole machining tools.

"It has been an arduous journey from a small workshop of merely three people to a successful listing. I believe the key lies in Xinxing Tools' perseverance — perfecting one type of cutting tool for three decades. By concentrating on the hole machining tool sector with sustained dedication, we have finally reaped rewards," Zhu said.

In recent years, Haiyan has been implementing the Phoenix Action Plan — Zhejiang's flagship provincial strategy to develop a multitiered capital market — and stepping up efforts to cultivate high-quality real-economy enterprises and build a full-cycle, full-chain service system for enterprises seeking to go public.

To date, the county hosts 12 listed companies, 12 NEEQ-listed companies and 48 enterprises in the prelisting reserve pool, forming an expanding tiered cluster of capital market participants.

Haiyan's achievement reflects Zhejiang's broader efforts to foster the private economy. During the 14th Five-Year Plan period (2021-25), Zhejiang advanced an upgraded version of the Phoenix Action Plan. Supported by whole-process capital engagement, full-cycle policy backing and full-chain service guarantees, the province has remained a key player in capital market development in China.

The full-chain tiered cultivation system enables enterprises at different growth stages to access multi-level capital markets. The system is designed to create an important hub for fostering and expanding emerging industries, making forward-looking plans for future industries and piloting the high-quality development of listed companies.

In the five lists released by the All-China Federation of Industry and Commerce in 2025, namely China's top 500 private enterprises, China's top 500 private manufacturing enterprises, China's top 100 private service enterprises, top 500 private enterprises in R&D investment and top 500 private enterprises by invention patents, private enterprises from Zhejiang claimed the largest number of entries nationwide, achieving a clean sweep for two consecutive years.