Interview with China's spare parts development technology is still the key

The horses and horses are not moving, the food and grass are first, and the parts and components are like the food in the vehicle. Its importance should not be underestimated.

At the 5th China International Auto Parts Expo held from September 8th to October 10th, in the exhibition hall of foreign companies, the audience can not only see the latest core component products, but also learn about the most cutting-edge technologies in the industry; Most of the booths of domestic companies can only see wheels, rubber products and other products with low technological content. This reflects, to some extent, the "difficulty" of China's auto parts industry.

In recent years, the rapid development of the domestic automotive industry, with China becoming the world's largest automobile production and sales, the domestic auto parts industry is also growing. “Although the industry is large in size, it lacks economies of scale, and most of the key component subdivision areas are occupied by foreign capital. At present, the domestic parts and components industry in China is only weak, small and scattered, and the competitiveness of the entire industry is mainly reflected. In terms of cheap labor and resource costs, said Cai Jianming, a research fellow in the China Investment Group’s communications industry, in an interview with a reporter from the “China Sankei Shimbun”.

“The domestic auto parts industry is large but not strong. The fundamental reason is that the R&D capability is not strong. Especially the weak R&D capability of the core auto parts has become a bottleneck hindering the development of the industry.” Cai Jianming pointed out that domestic auto parts are currently Enterprises still cannot produce automatic transmissions, airbags, ABS, and other products. Although a few companies are able to produce some key components and products, the quality of the products is not stable and they are still unable to carry out large-scale applications. These have led directly to the The component industry is at the low end of the value chain in the vertical division of labor system of the global automotive industry, and the entire industry is showing a weak, small and scattered pattern.

In an interview with a reporter from the China Sankei Shimbun, Tie Zhihai, a researcher at the China Circulation Productivity Promotion Center, also stated that due to the lack of long-term strategic considerations for domestic parts and components companies, the low-end products and foundry industries will be easy to use and benefit quickly. Launched, thus neglecting the absorption and digestion of advanced technologies. At the same time, foreign investors are also interested in blocking core or cutting-edge technologies or processing them overseas.

The development of domestic auto parts can be described as "a mess." In addition, due to the intensifying inflation situation in China and the appreciation of the renminbi, rising wages of employees, rising land prices, and rising logistics costs, the long-term, labor-intensive and resource-intensive industries for domestic parts and components companies have taken the lead. Has gradually lost its advantage.

The level of domestic auto parts industry development is directly related to the competitiveness of China's auto industry. Therefore, Tie Zhihai suggested that the domestic parts and components manufacturers must go on the path of specialization and high added value, and domestic companies must increase investment in R&D to rapidly increase their own level of technological R&D. The joint ventures also need to introduce technology as a prerequisite for cooperation, and they can acquire relevant core technologies through overseas mergers and acquisitions.

"The government must also provide support for the development and innovation of parts and components, strengthen policy guidance and macro-control, actively promote mergers and reorganizations in the auto parts industry, increase industry concentration, and cultivate a group of representative large enterprise groups. On behalf of the whole industry to participate in international competition." Cai Jianming said.