Exhibition Overview - The 19th Uzbekistan International Mining, Metallurgy, and Metal Processing Exhibition will take place from October 28 to 30, 2025, at the Tashkent International Exhibition Center [1] - The exhibition is organized by ICA Exhibition Group and ITECA Exhibitions, with a yearly frequency [1] - The event is expected to attract over 170 exhibitors and 4,135 professional visitors from 19 countries, including UAE, Azerbaijan, Belarus, UK, Germany, Kazakhstan, Canada, China, Turkey, Uzbekistan, Kyrgyzstan, Latvia, and Mongolia [1] Market Overview - Uzbekistan is located in Central Asia, with a population of 38 million and an area of 447,400 square kilometers, making it the fastest-growing economy in the region [2] - The country is rich in mineral resources, with copper reserves of 25 million tons, gold reserves of 6,400 tons, and uranium reserves of nearly 140,000 tons [2] - In 2022, Uzbekistan's foreign trade volume reached approximately $500.1 billion, with a year-on-year growth of 18.6% [3] - China is Uzbekistan's second-largest trading partner, with bilateral trade amounting to $8.92 billion in 2022, a year-on-year increase of 19.7% [3] Industry Development - Uzbekistan is focusing on the development of its manufacturing sector, particularly in gold, copper, and uranium mining [4] - The country plans to open 20 new mining areas to attract foreign investment and upgrade its metallurgical enterprises [4] - There is a significant demand for metal processing machinery, with 70% of the machines currently imported, amounting to $920 million in 2023 [4] Product Range - The exhibition will feature a wide range of products, including mining and processing equipment, metallurgy equipment and technology, metal processing equipment, castings and forgings, and various metal materials and products [5] - Specific categories include crushing and screening equipment, smelting furnaces, welding equipment, CNC machining centers, and environmental protection technologies [5]

Core Insights - A German company specializing in high-precision CNC thread grinding machines has become a hot commodity due to its relevance in the humanoid robot industry, leading to a competitive bidding process involving over ten global firms [1][5] - The winning bid was made by Heng Er Da, which aims to expand its product offerings into high-precision grinding machines and become a key player in the embodied intelligent robotics sector [1][6] Company Overview - SMS Maschinenbau GmbH, established in 1995, has evolved from a machine tool modification company to a respected global supplier of innovative profile and thread grinding machines [2] - SMS's thread grinding machines have an average price of around €600,000, with some products exceeding €1 million, indicating a high-value market with few competitors [3] Market Dynamics - The demand for thread grinding machines has surged due to the growth of the embodied intelligent robotics industry, where ball screws and planetary roller screws are critical for enhancing transmission efficiency and precision [3][4] - The production of these high-precision machines is capital and technology-intensive, with significant reliance on foreign imports, creating a high entry barrier for domestic companies [4] Acquisition Details - Heng Er Da announced its acquisition of SMS for €8.5 million, a valuation aligned with SMS's net assets, following a competitive bidding process [5][6] - Despite not having the highest bid, Heng Er Da was chosen for its compatibility with SMS's long-term development goals [6] Strategic Integration - Heng Er Da plans to restore SMS's operational liquidity and efficiency, with an initial investment of €5 million to address cash flow issues [10] - The strategy includes leveraging "European technology, Chinese manufacturing, and global markets" to enhance SMS's production capabilities and expand its market reach [8][10] Future Outlook - The integration aims to enhance Heng Er Da's product matrix in intelligent CNC equipment and accelerate the localization of high-precision thread grinding machine production in China [11] - Analysts believe this acquisition will strengthen Heng Er Da's competitive position in the intelligent CNC equipment and rolling functional components sectors [11]