At the symposium on China's auto industry returnees held on November 17th, the returnees of the delegations unanimously appealed that the development of parts and components companies has become the key to the robustness of China’s auto industry, and the government is continuously stimulating and encouraging the development of vehicle companies. At the same time, whether it can tilt the scale to the parts and components companies and help China's parts and components industry develop better.
A large part of the technical content of automobiles is reflected in parts and components, and strong parts are strong in the automotive industry. When the General Motors Group defeated Ford Motors in one fell swoop, it was inseparable from its strong component system support. For example, automotive electronic lighting devices and automatic transmission technology, etc., are developed by GM's parts and components companies first and successfully applied to GM, which has achieved a rapid technological breakthrough and become the leader in the automotive industry.
China's parts and components companies have long been weak and have scattered resources. The world's largest parts and components company, the Bosch Group, has achieved a production value of 58 billion euros, while China has more than 30,000 parts and components companies, and 80% of the company's production value is around 1.2 billion yuan. This is the same as the self-owned brands of vehicle companies encountered the plight of "a small and broad". In particular, investment in technology research and development, small-scale enterprises have limited funds, fighting alone, lack of investment in cutting-edge technology development capabilities.
China's core auto parts technologies, such as automatic transmission technology, ABS, and ESP, have been firmly controlled by foreign parts and components companies, which has directly led to the unfavorable position of self-owned brand vehicles.
Repatriation experts have made suggestions that the state should increase its support for Chinese parts companies. The same amount of funds, if subsidy to large auto companies is likely to be a "slip," but if it can be provided to small and medium-sized parts companies, the help will be very large.
In addition to direct financial subsidies, helping parts companies to unite and develop together will yield better results. For example, Hangzhou Bay New District of Ningbo City, Zhejiang Province, is the location of the most rapidly developing large-scale automobile parts and components park in Ningbo, and has gathered 29 auto parts enterprises. At present, Ningbo has a number of parts and components companies to achieve the country's first, such as Huaxiang, Siweier, Shuai Telong and other private enterprises, has entered the supply chain of multinational car companies.
Parts are not strong and the automotive industry is rootless. To realize the dream of building a strong national automobile, it is more urgent to strengthen the foundation of parts and components.
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