China’s auto parts industry expands abroad

Mature auto parts market has the characteristics of industrial concentration, while the current market concentration of China's auto parts manufacturing enterprises is low, the competition is fierce. In the future, the auto parts industry will accelerate the pace of mergers and acquisitions, integration and expansion of the industrial chain, market concentration will be further enhanced. Auto parts industry gradually achieve structural optimization and product upgrading China's auto parts enterprises are numerous, in addition to a few more competitive large parts enterprises, most enterprises are small, weak, inadequate research and development capabilities, in the lower prices, limited profits in the low-end parts market in fierce competition. With the disappearance of China's demographic dividend, labor cost advantage is increasingly weakened, the domestic auto parts enterprises only by strengthening technology research and development, improve product structure, to achieve to the system development, system support, modular supply direction, in order to maintain a sustainable competitive advantage in the increasingly fierce market environment. China's auto parts industry to accelerate the pace of foreign expansion of the 2008 global financial crisis to China's parts enterprises to bring a good opportunity for outward development. As the parts industry in Europe and the United States in the global financial crisis suffered a heavy blow, a large number of enterprises to stop production, reduce production or even bankruptcy. And China's parts and components enterprises benefit from the rapid recovery of the domestic auto consumer market, a short period of time to resume normal operations, domestic parts enterprises have tried to seek cooperation and mergers and acquisitions in the global context, while in the international market to absorb a large number of talented people to expand the strength of research and development. With the layout of domestic parts enterprises in the international market to expand and improve technology, China's parts enterprises in the export of vehicle supporting market has broad prospects for development.

Post time: Dec-31-2021