Introduction:
Liuyang is a city known as “the home of fireworks and firecrackers” in Hunan province of China. Fireworks and Firecrackers have become the pillar industry of Liuyang, where 50 percent of total jobs are related to fireworks and one third of the total workforce lives in fireworks. Out of total 6458 fireworks manufacturers, 2702 are in Liuyang and 2144 in the surroundings of Liuyang. 89 % of total chines production of fireworks and firecrackers comes from Liuyang. China produces 60% of the whole global production.
Fireworks and firecrackers are part of Chinese traditions and culture. Chinese display firecrackers and fireworks to celebrate new-year, see off the year, weddings, death. They also use fireworks to scare the evil forces. Pyrotechnics is the formal name for fireworks.
Trend has shifted from firecrackers to fireworks. In 2009, only 20 % of the total sales were generated from firecrackers. Fireworks related skills have improved also. First fireworks could hardly go 20 meters into the sky, but now it can go even 400 meters into the sky.
Firework industry is low-tech and highly labor intensive. Only few processes could have been automated and many key processes are still done with hand. Work place safety is high concern because a tinny spark caused by the drag of chair or dropping of a tool can result into an explosion. Employees are shifting to safer jobs. Skilled employees are insufficient in numbers. Number of engineers is also limited. Industry has to face environmental concerns too.
By 2009, 75% of the fireworks imports to Canada were from China. Fireworks industry was banned in one third of Chinese cities but by 2009, all cities removed restrictions. By 2009, fireworks exports reached $675 million. In 2009, Liuyang Fireworks Company was listed on Toronto Stock Exchange.
Fireworks industry is facing immense competition. Liling in Hunan province is a community fireworks manufacturer, which is