XiaoTong Column · 2025-07-27

Risk Compass”Tactical cut-resistant face mask in China”

1. Industry Risk Analysis

(1) Policy Risk

During the policy – making stage, the industry faces the risk of difficult product certification due to vague technical standards. In the implementation stage, if the supervision of security equipment is strengthened, the profit may be squeezed due to the rising compliance costs (such as mandatory impact – resistance testing and certification). In the evaluation stage, if the products are classified into the scope of police equipment control, business license restrictions will be triggered. In the adjustment stage, changes in international trade policies (such as the adjustment of the export control list of anti – terrorism materials) may cut off overseas sales channels. In the recession stage, if the policy orientation shifts to civilian security alternatives, the basic market of government procurement will be weakened.

(2) Economic Risk

Currently, the tactical cut – resistant mask industry faces double risks under the economic cycle fluctuations. During the economic recession, the reduction of government procurement and the contraction of industrial enterprises’ capital expenditure directly weaken the demand in the B2B core market. During the industry expansion period, the release of excessive production capacity combined with homogeneous competition will lead to price wars, squeezing the profit margins of enterprises. The prices of raw materials fluctuate sharply under the influence of the commodity cycle. Coupled with the tightening of the financing environment, start – up enterprises face a sharp increase in cash – flow pressure. They need to be vigilant against the risks of inventory backlog and bad debts of accounts receivable.

(3) Social Risk

The generational consumption theory reveals that the tactical cut – resistant mask industry faces a significant risk of social cognitive gap. Millennial and Generation Z consumers prefer fashionable and lightweight designs, while the function – oriented development logic of traditional safety protection products can hardly meet their social – attribute needs. Middle – aged and elderly consumers have low sensitivity to product technical parameters but high sensitivity to price, resulting in an imbalance in product positioning between cost – performance and technological premium. The spread on social media has magnified the controversy over product practicality. Young users question the necessity of protection in non – daily life scenarios, and the short – term demand fluctuations stimulated by public safety incidents intensify the inventory pressure. The conflict of generational consumption concepts weakens market stability.

(4) Legal Risk

The tactical cut – resistant mask industry faces the risk of patent infringement. Failing to avoid existing patents on protective materials may lead to lawsuits. The products need to pass the detection of the Ministry of Public Security’s GA68 – 2019 “Police Anti – Stab Vests” or the EN166 standard. Selling products without certification will be subject to administrative penalties. Advertising is restricted by the “Anti – Unfair Competition Law”. Exaggerated and false statements such as “military – grade bulletproof” will face a fine of more than 200,000 yuan. The production workshop needs to obtain fire – fighting and environmental protection approvals. Illegal discharge of waste gas from the processing of flame – retardant materials will lead to an order to stop production. Exports are subject to the control of the ITAR International Traffic in Arms Regulations. Failure to apply for an export license for bulletproof materials will trigger trade sanctions.

2. Entrepreneurship Guide

(1) Suggestions on Entrepreneurship Opportunities

Currently, the entrepreneurship opportunities in the tactical cut – resistant mask industry are concentrated in the innovation of lightweight materials (such as using new polymer composite materials to replace traditional metals), customized development for vertical scenarios (designing special protective structures for high – risk occupations such as fire – fighting and mining), the superposition of intelligent functions (integrating AR real – time safety information display and emergency communication modules), and the penetration into overseas emerging markets (entering high – growth areas for security equipment such as the Middle East and Southeast Asia through cross – border e – commerce). At the same time, it is possible to explore the formation of combined solutions with protective equipment such as anti – stab vests and tactical gloves to meet the systematic safety needs of users in special industries.

(2) Suggestions on Entrepreneurship Resources

Focus on obtaining core resources: Prioritize locking in the supply chain resources of cut – resistant materials. Establish strategic cooperation with manufacturers of high – grade aramid or ultra – high – molecular – weight polyethylene materials, and reduce raw material costs through bulk purchase agreements. Integrate the technology transformation resources in the military or police fields. Cooperate with university laboratories for civilian transformation to obtain patent licenses or joint – R & D qualifications. Take advantage of the industrial cluster effect, settle in the safety protection industrial park to obtain supporting resources such as equipment sharing and testing and certification. Connect with industry exhibition and labor – protection procurement platform resources, and quickly penetrate into high – risk industry customer groups such as construction and mining through B2B channels.

(3) Suggestions on Entrepreneurship Teams

Entrepreneurs in the tactical cut – resistant mask industry should give priority to forming a composite core team, which must include material engineers (to solve the product’s protective performance), supply – chain experts (to control the procurement and cost of special materials), and marketing personnel with a background in the security industry (to accurately meet the B – end needs of the police, security, etc.). It is recommended that core members have more than three years of work experience in military and police equipment or labor – protection products. The industrial design ability should be emphasized to improve product comfort, and weekly technology – market linkage meetings should be set up for rapid iteration. In the initial stage, retired special police or anti – riot team instructors can be introduced as consultants to optimize product details through real – scene feedback. At the same time, full – time compliance specialists should be arranged to deal with domestic and international security product certification systems (such as NIOSH and CE certifications).

(4) Suggestions on Entrepreneurship Risks

Entrepreneurs in the tactical cut – resistant mask industry need to focus on three major risk controls. In terms of materials, first ensure that the cut – resistant layer meets international standards (such as ISO 13998), find reliable suppliers and conduct spot checks on each batch. Regarding certification, make early arrangements for mandatory certifications such as the US NIOSH or European CE, and don’t wait until mass production to start the process. In the market, first conduct small – batch crowdfunding to test the demand, focus on conquering B – end procurement channels such as fire – fighting and security, and specify quality dispute clauses in the contract. To prevent patent risks, search for patents on mainstream mask structures and make independent micro – innovations in key connection parts. In terms of cash – flow management, at least 30% of the funds should be reserved to deal with certification delays or customer – complaint recalls, and the inventory turnover should be controlled within 90 days.

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