It is worthy of vigilance to see Anhui's auto parts exports grow by nearly 50%.

In 2010, the export of auto parts in Anhui achieved a recovery growth. The total value of exports exceeded 200 million U.S. dollars, an increase of nearly 50% year-on-year. Industry insiders pointed out that while paying attention to the rapid development of auto parts exports, it is necessary to be alert to three major problems: low technical content, reduced profit margins, and weak international competitiveness.

The reporter learned from Hefei Customs that thanks to the rapid development of self-owned brand cars and the continued recovery of the international auto market, in 2010, Anhui auto parts exports showed a good growth trend, with annual exports of USD 210 million, an increase of 45.3% year-on-year. The export value of each single month in the whole year was more than 10 million US dollars, showing a trend of increasing month by month. Among them, the general trade method exported 180 million US dollars of auto parts, an increase of 55.8%, accounting for 85.7% of the total value of auto parts exports.

Hefei Customs analysis pointed out that despite the rapid development of auto parts exports in Anhui, it still does not exceed the level of exports before the financial crisis, and there are still three major issues that warrant vigilance: First, the high-tech auto parts sector is showing shortcomings. Anhui auto parts industry is mainly based on mechanical processing, and the degree of specialization is low, and the added value of products needs to be improved. The second is that the profit space is further compressed. The general increase in the price of raw materials in the upstream market has led to a continuous increase in the production cost of enterprises, and the downward pressure from the vehicle manufacturers on the downstream and the price competition among suppliers have also passed on to the parts and components manufacturer as an intermediate link, together with the import of high-end automobiles. With the sharp increase in the prices of spare parts and components, the profitability of domestic spare parts companies has been severely squeezed. Third, the continuous appreciation of the renminbi will reduce the competitiveness of China's auto parts in the international market.

To this end, industry experts recommend that: First, coordinate the "zero-zero" relationship and vigorously support key enterprises. The government should increase the support and training of key enterprises in the part industry, making it an enterprise group that attaches importance to innovation, has a flexible mechanism, and has international competitiveness. The second is to focus on energy conservation and emission reduction and improve product development capabilities. It is necessary to extend the high and new technology to all aspects of development and design, trial production, production, and management. The third is to improve early warning capabilities and actively enter the international procurement system. Through the reform of the entire vehicle manufacturer's procurement system and shortening the development cycle, the company will provide high-quality, low-cost products and increase its comprehensive capabilities in logistics, production, and management to enter the ranks of international procurement of automotive parts.

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