Independent Innovation: Leading the Future of China's Automotive Industry


After experiencing untold hardships, experiencing painful fission, and experiencing the trials of blood and rain, we stood at the door of the opening year of the “Eleventh Five-Year Plan” and looked at the path taken by the Chinese auto industry. We suddenly found out whether it was a commercial vehicle or a ride. Cars -

If the recently promulgated national policy has already ended the discussion on “Whether China should develop its own brand”, then what kind of independent innovation will domestic auto companies take? The independent innovation of the Chinese auto industry has been developed. What kind of realm to go to, and what aspects must be strengthened in the future, is the topic of concern for all people at the moment.

"Independent innovation and joint development are gradually becoming the mainstream trend of the development of China's auto industry." Recently, Shao Qihui, Standing Member of the National Committee of the Chinese People's Political Consultative Conference and Honorary President of the China Federation of Machinery Industry, summarized and summarized China's auto innovation.

He believes that during the "Tenth Five-Year Plan" period, China's auto industry has taken a big step and played the leading role of the pillar industries in the national economy. Judging from the technical level, China's auto industry is experiencing a transition from technology-dependent to independent innovation. It has focused on narrowing the gap between manufacturing processes and the level of foreign companies and has shifted its efforts to improving its scientific research and design capabilities.

At the time of transition, worries remain. Compared with other auto industries in the world, China's automobile independent innovation still has a considerable gap in strength and scale. This is also the direction that Chinese auto companies should strive for in the future.

Self-innovation from the perspective of national strategy

The state has given huge support to auto manufacturers in developing their own brands.

First of all, the State Council, in the Outline of the National Medium and Long-Term Scientific and Technological Development Plan (2006-2010) promulgated this year, stated that independent innovation means starting from enhancing national innovation capabilities, strengthening original innovation, integrating innovation, and introducing and digesting Innovation.

"We must improve our capacity for independent innovation as a national strategy, implement all aspects of modernization, implement various industries, industries, and regions, and greatly increase our country's competitiveness." The outline emphasizes: "Facts tell us that we are in the lifeblood of the national economy. In the key areas of national security, the real core technology cannot be bought, and if China is to seize the initiative in the fierce international competition, it must improve its ability for independent innovation, master a number of core technologies in a number of important areas, and have a number of autonomy. Intellectual property, creating a group of companies with international competitiveness.”

Secondly, the "Eleventh Five-Year Plan for the Development of China's Automobile Industry" outlines the independent innovation of the Chinese auto industry.

The reporter was informed that the "Eleventh Five-Year Plan for Development of China's Automobile Industry" is being submitted to the National Development and Reform Commission for consideration. In the three major tasks established for China's auto industry in the next five years, independent innovation has been put in the first place: "We must increase independent research and development by enterprises. And technological innovation capabilities, vigorously develop independent brands, and strive to increase the domestic market share of self-owned brand passenger vehicles to more than 60%.”

Thirdly, as a matter of fact, as early as June 1, 2004, the “Auto Industry Development Policy”, the national policy “encouraged auto manufacturers to increase their research and development capabilities and technological innovation capabilities, actively develop products with independent intellectual property rights, and implement Brand management strategy. In 2010, automobile manufacturers will form a number of well-known brands of automotive, motorcycle and component products."

Inspired by these policies, China's auto independent innovation has made great progress. According to statistics, there are currently 355 auto brand vehicles in China, with self-owned brands accounting for 69% and foreign brands accounting for 31%. Taking 2005 as an example, China's self-developed products accounted for 56.6% of all new products, and jointly developed products accounted for 28.3%. In the international market, in 2005, regardless of the amount of exports or the total number of vehicles, China has for the first time achieved a breakthrough in exports over imports.

Autonomous Commercial Vehicle Preemptive

When referring to independent innovation, we cannot but mention commercial vehicles. Its position in China’s auto brands can be regarded as important. Objectively speaking, after 50 years of accumulation and development, China has cultivated a large number of well-known brands such as Liberation, Dongfeng, and CNHTC that have strong influence in the domestic and foreign markets.

Statistics show that in the field of commercial vehicle trucks, China has a total of 97 brands, of which 88 are self-owned brands, accounting for 90.72% of the number of brands in the truck market. If calculated by sales volume, the self-owned brands account for 94.2% of the total sales of trucks; On the other hand, China has a total of 158 brands, of which 120 are self-owned brands, accounting for 75.9% of the total brand. If calculated by sales, autonomous brands account for 95.2% of the total sales of passenger cars.

The deputy general manager of Dongfeng Motor Company recently stated that in terms of price, China’s own-brand commercial vehicles have obvious advantages. In the 5 to 14 tons of heavy-duty trucks, domestic and foreign brands have large price gaps. In general, the average bicycle price of self-owned brands is 62,000 yuan, while the international brand is 272,000 yuan; in trucks of over 20 tons, The average bicycle price of self-owned brands is 235 thousand yuan, while the international brand is 410,000 yuan.

According to Wu Shaoming, deputy general manager of FAW Group, FAW Group's commercial vehicles are mainly based on original innovations. Starting from the engine, many core components are made by themselves to form a full range of independent research and development capabilities for commercial vehicles. At present, FAW has mastered 32 items in 45 key technologies involving commercial vehicles.

It is worth noting that in May of this year, a new generation of heavy-duty heavy truck Dongfeng Tianlong Heavy Truck produced by Dongfeng Commercial Vehicle Company went offline, and Dongfeng Tianlong brought three categories, 11 series and 51 models representing the highest level in China. This is also an international brand with independent intellectual property rights built by Dongfeng Commercial Vehicles for 3 years.

In the end of 2004, China National Heavy Duty Truck launched its own brand HOWO7 series of products with independent intellectual property rights. A number of indicators have reached the world-class level. HOWO has also been called by the industry experts as an internationalized product made in China. During the “Eleventh Five-Year Plan” period, the plan for CNHTC is that by 2010, the production and sales capacity of heavy-duty vehicles will reach 125,000 units, and three one-thirds will be achieved, which means that the domestic market share will reach 1/3 of the industry; 1/3 entered the international market; new products accounted for 1/3 of the total market share, ranking among the world's heavy trucks.

However, compared with international commercial vehicle giants, China’s commercial vehicles are obviously lacking in competitiveness in high-end products. How to enhance technology to create high-value chains and further enhance the image of China’s commercial vehicles in the international market is that of commercial vehicles in China. The important tasks during the "Eleventh Five-Year" period.

Autonomous passenger cars catch up

It is not an exaggeration to describe the current independent brand of China's passenger car market with “catch-up and go hand in hand.” Not only are the “national team” FAW Group, SAIC, Dongfeng, but also Chang’an, JAC, BYD Auto, Chery Automobile, Geely Automobile, and Nanjing Automobile Group have all made efforts.

In the area of ​​independent innovation planning, FAW Group's passenger vehicles adopt integrated innovation, specifically to cars, and form an independent research and development capability for mid-size passenger vehicles. Of the 47 key technologies currently involved in cars, FAW has mastered 27 items.

Dongfeng plans to increase its automobile sales from 730,000 units in 2005 to 1.8 million units in 2010 at the end of the “Eleventh Five-Year Plan” period, of which self-owned brand vehicles will reach 720,000 units.

Recently, Xu Liuping, president of the Changan Automobile Group and secretary of the Party Committee, announced the development strategy and market goals of Changan’s own-brand sedan: the former is “strengthening independent innovation and building a well-known car brand”; the latter is “by 2010, Changan’s own-brand car production and sales The number of vehicles will reach 250,000 or more; in the next five years, Changan will launch more than 10 models of its own brand sedan products, achieve its leading position in the field of economical cars, and open the door to mid-size cars."

According to Kang Ping, deputy general manager of Hafei Motor Co., Ltd., during the “11th Five-Year Plan” period, Hafei will highlight Chinese characteristics, adhere to the road of innovation, and adhere to effective innovation integration. It plans to launch one new model and two to three improved models each year.

Dong Yang, general manager of Beijing Auto Holdings, revealed that Beijing Automotive's self-developed brand accounted for 60% of total production. Among them, Beiqi independently develops its main tasks, including the development of new, complete SUV platforms, economical cars, hybrids, and engines.

Just as car companies launched independent cars, an indisputable fact is that compared with China's independent commercial vehicles, autonomous cars have a large gap in R&D strength and scale. Some experts even believe that it is very difficult for China's own brands to make breakthroughs in the field of cars because there is no real support for joint ventures to develop their own brands in the sedan market that is currently dominated by joint ventures.

In response, Shang Yong, Vice Minister of the Ministry of Science and Technology, appealed at an independent innovation forum that the government should create a better environment for auto innovation, establish a quality and mechanism conducive to independent innovation, and encourage enterprises to become the main body of technological innovation. It is important to support, guide and motivate enterprises through industrial policies, procurement policies and tax policies.




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