Dialogue with the “Little Giant” | Zhou Sheng of Toyou Intelligent: Breaking the Impasse in Domesticating High-Precision Electronic Components with the “Tongyou Way,” Aiming for an Annual Output Value of Ten Billion Yuan

2025-12-19 09:12

Recently, Zhou Sheng, Chairman and General Manager of Toyou Intelligent Equipment, was invited to participate in the recording of the 38th episode of the China Enterprise Confederation Training Committee’s program “Dialogue with the ‘Little Giants.’” During the show, he shared in depth the company’s entrepreneurial journey—driven by a strategy of “large industries with small entry points”—to break through barriers in the domestic production of high-precision electronic components, outlined its path of technological breakthroughs, and laid out its vision for future development. His remarks highlighted the pragmatic spirit and sense of responsibility of “specialized, refined, distinctive, and innovative” enterprises as they remain rooted in the real economy and strive to scale new heights.

Recently, Zhou Sheng, Chairman and General Manager of Toyou Intelligent Equipment, was invited to participate in the recording of the 38th episode of the China Enterprise Confederation Training Committee’s program “Dialogue with the ‘Little Giants.’” During the show, he shared in depth the company’s entrepreneurial journey—driven by a “large industry, small entry point” strategy—to break through barriers in the domestic production of high-precision electronic components, outlined its path of technological breakthroughs, and laid out its vision for future development. His remarks highlighted the pragmatic spirit and sense of responsibility of “specialized, refined, distinctive, and innovative” enterprises as they take root in the real economy and strive to reach new heights.

The name “Toyou Intelligent” encapsulates the company’s core DNA and business philosophy.

The philosophy of “Making the complex simple and easy, fostering trust through good deeds” has guided the company’s development from start to finish: “Making the complex simple and easy” embodies a commitment to refining and strengthening even the most intricate tasks with a spirit of craftsmanship, while “fostering trust through good deeds” reflects an unwavering dedication to kindness, integrity, and pragmatic action—values that have coalesced into the vision of win‑win cooperation encapsulated in the motto, “We’re all good friends.” Under the guidance of the national smart manufacturing strategy, the company has precisely set its sights on achieving domestic self‑sufficiency in high‑precision electronic components, choosing intelligent equipment as its entry point and steadily advancing a comprehensive industrial‑chain layout, thereby forging a distinctive path of growth in the electronic information sector.

The strategic positioning of “large industry, small entry point” has endowed Toyou Intelligent with a differentiated competitive advantage.

During the program, Zhou Sheng noted that by focusing on the niche segment of PIM monolithic inductors, the company has been able to foster positive synergies with competitors—through equipment upgrades and technological collaborations—while gaining deep insights into end‑customer needs and driving collaborative development. From 2017 to 2020, the company concentrated on breakthroughs in core technologies, using integrated solutions to gain entry into the ranks of China’s leading enterprises. From 2021 to 2024, it embarked on large‑scale expansion across the entire industry chain, achieving in just three years a leap from two product series comprising 20 items to over 20 series encompassing more than 2,000 part numbers. Meanwhile, sales revenue soared from RMB 300,000 to RMB 300 million, marking an extraordinary period of growth.

Technological innovation is the core driving force behind corporate development.

Toyou Intelligence adheres to a technology‑driven breakthrough strategy of “internal cohesion and external collaboration,” bringing together its core technical talent while forging deep partnerships with research teams from institutions such as the Hangzhou Dianzi University Institute of Soft Magnetic Materials, Sichuan University, and the University of Electronic Science and Technology of China. This enables seamless integration across material science, equipment, and process technologies, breaking down vertical technological barriers. The company has established a technology‑iteration framework—“one mature generation, one in reserve, and one under development”—ensuring sustained innovation through forward‑looking foresight. In 2020, Toyou supplied Fenghua High‑Tech with a complete set of equipment and a comprehensive technical solution, securing a landmark commercialization milestone in this field with a RMB 5 million deal. By signing a core‑parameter guarantee agreement, the company completed technology implementation and team training within just over five months, setting a new industry benchmark. Subsequently, the company pioneered an innovative business model, mitigating overseas client risks through mechanisms such as equipment deposits and end‑to‑end on‑site support, thereby accelerating product internationalization. In the second half of 2023, it launched its own brand, “HuaCui MicroSense,” which quickly gained inclusion in Xiaomi’s supplier ecosystem and, leveraging contract‑manufacturing resources, achieved full coverage of leading terminal brands including Honor, Samsung, and Motorola.

Team building is the fundamental pillar of corporate development.

Toyou Intelligence has cultivated a “Three‑Heart Spirit” centered on confidence, craftsmanship, and a sense of responsibility, while placing great emphasis on employees’ independent thinking. This approach has fostered a highly cohesive, battle‑ready core team. From the very outset of its growth, the company implemented an ERP system along with self‑developed digital management modules, establishing a digital cockpit and computing hub that integrates people, machines, materials, methods, and the environment, thereby achieving end‑to‑end digital and intelligent control—from order scheduling to warehousing and inventory management. Zhou Sheng particularly underscores the importance of “controlling costs and boosting efficiency” rather than merely cutting expenses. By proactively deploying proprietary photovoltaic power stations and energy‑storage facilities, the company has reduced electricity costs from RMB 0.80 per kWh to just over RMB 0.40 per kWh, saving tens of millions in annual expenses. This disciplined cost management ensures robust gross margins, laying a solid foundation for sustained investment in research and development.

Turning to the core elements of business operations, Zhou Sheng emphasized that capital, talent, and energy are the critical pillars underpinning the development of the manufacturing sector. The company has set ambitious growth targets, aiming to achieve an annual output value of RMB 10 billion within five years. At the same time, guided by the principle of “shared benefits and win‑win outcomes,” Zhou Sheng pledged to provide industry partners with unconditional access to its brand‑level customer network, calling on upstream and downstream industrial clusters to join forces and drive China’s electronic information industry onto the global stage.

From deeply cultivating niche markets to building out the entire industry chain, and from technological breakthroughs to innovative business models, Toyou Intelligent is writing a new chapter in the rise of domestically produced high‑precision electronic components through its unique “Toyou Way.” Looking ahead, the company will continue to forge quality with meticulous craftsmanship and pursue growth through innovation. Amid the twin currents of domestic substitution and global competition, it remains committed to the goal of “creating the finest inductors for Chinese customers,” advancing steadily and injecting stronger momentum into the high‑quality development of China’s smart manufacturing sector.