The development trend of auto parts

The development trend of auto parts
First, foreign component companies have accelerated their entry into China.
With the in-depth development of China's automobile industry, many foreign parts enterprises speed up the pace of investment in China. For example, the second factory of German Bosch chassis system settled in Chengdu.

Second, new energy vehicle parts will become a hot spot of investment.
China has listed new energy vehicles as a strategic emerging industry. In this situation, the establishment of new energy vehicles and key parts industry bases across the country has been in full swing. In the future, domestic investment in new energy vehicles and key parts will continue to increase.

Third, merger and reorganization, overseas mergers and acquisitions will gradually accelerate.
The increasingly fierce price war in the vehicle market is also eating into the profit margin of the parts industry, and the requirements of the Oems to reduce costs and ensure profits are becoming more stringent. However, although the output value of China's auto parts industry is large, it does not play the scale effect, so the integration and reorganization of the auto parts industry is imperative. It can be predicted that China's auto parts industry will enter the stage of accelerated integration in the next few years. On the one hand, scale effect can be achieved through horizontal and vertical integration among domestic enterprises; On the other hand, through overseas mergers and acquisitions to achieve the optimal allocation of production, market and other resources in the global scope and obtain advanced technology and management experience.

Fourth, cluster development will promote the rapid growth of regional economy.
The auto parts industry has formed six auto parts industrial clusters in Northeast China, Central China, Beijing and Tianjin, Yangtze River Delta, Southwest and Pearl River Delta. Industrial clustering makes the division of labor more refined, more specialized, easier to achieve scale, makes information more centralized, faster, faster pace of technological innovation, logistics easier to organize, and significantly improves economic benefits.