First, the small and medium-sized auto companies represented by Chery Automobile, Geely Automobile, and Great Wall Motors have made unremitting efforts to explore independent research and development and independent brands, followed by a series of large enterprise groups. For example, FAW Group officially announced that it will achieve one million cars of self-owned brand cars in 2009; SAIC acquires its own R&D roadmap newly established by Ssangyong and Rover China; and Changan has a full range of large-scale cars and mini-cars.
The exhibition strategy, etc., will undoubtedly make the domestic self-developed heat flow more fiery and passionate.
From 1996 to 2006, it was a period of rapid development of China's auto industry, and it was also the start-up period for independent research and development.
With the global multinational auto giants entering China, China’s auto industry’s foreign joint ventures have entered a new stage. At the same time, in the face of people's various criticisms, and even ignoring the historical conditions, not the customer's view of all kinds of blame, China's auto industry independent research and development gradually entered the start-up period.
Joint venture climax
From the beginning of Beijing Jeep, a joint venture between the Beijing Automotive Plant and the American Automobile Company (AMC) in 1984, to the Peugeot-Citroen Automobile Company, Volkswagen AG, and Daimler-Chrysler Automotive Co., Ltd., and the "three major three small" joint ventures. In addition, GM, Honda, Toyota, Nissan, Hyundai and Ford Motor Co., Ltd. have found joint venture partners in China since 1996. Almost all global multinational auto giants have placed a “chess piece†in China.
Obviously, with the continuous development of the Chinese auto market and even the “blowout†market, these foreign-funded joint ventures in China are no longer as conservative as Guangzhou Peugeot, which had previously withdrawn, and they have expressed ambitions while occupying about 80% of the sedan market. Brilliant investment plans and put into action.
On November 10, 2001, China formally joined the WTO. The Chinese auto industry, especially the autonomous auto companies, are facing new opportunities at this crucial historical moment as the policies of special protection for state-owned enterprises, reduction of tariffs on auto products, gradual elimination of quotas for import licenses, and gradual liberalization of service trade, etc., are gradually fulfilled. And challenges.
In this special era known as "dancing with wolves", the development of China's auto industry has also ushered in an unprecedented glory. According to statistics from the China Association of Automobile Manufacturers, the total size of the Chinese auto market reached 5.92 million vehicles in 2005.
Independent research and development
At this time, there was another strong voice in the development of the Chinese automobile industry. After rethinking the development of the Chinese auto industry over the past 20 years, an unprecedented auto-research and development flow for the auto industry is starting.
First, the small and medium-sized auto companies represented by Chery Automobile, Geely Automobile, and Great Wall Motors have made unremitting efforts to explore independent research and development and independent brands, followed by a series of large enterprise groups. For example, FAW Group officially announced that it will achieve one million cars of its own brand cars in 2009; SAIC Motor’s newly established R&D roadmap after its acquisition of Ssangyong and Rover China; and Chang’an’s all-round development strategy in cars and mini-vehicles. And so on, there is no doubt that the domestic self-developed heat flow has become more hot and passionate.
According to statistics from the China Association of Automobile Manufacturers, in the first half of 2006, the market share of the independent brands of the Chinese car industry continued to grow. It was once as high as 30%, and the independent brands represented by Chery, BYD, Geely, and Brilliance Automotive ushered in. A new historical development climax.
Unlike Chery, Geely, and Brilliance, which are almost starting from scratch, China’s traditional “three major groupsâ€â€”FAW, SAIC, and Dongfeng—have embarked on a big-name, independent brand line, through cooperation with foreign investors, purchase of technology, or mergers and acquisitions. And so on, their own brand lines have gradually become clear.
According to statistics, in 2005, the total number of automobile brands in China was 355, of which 245 were self-owned brands, accounting for 69% of the total number of brands. In 2005, the market share of domestic auto brands was 62.9%, which was 3.4% higher than that of 2004, and the market share of joint venture brands was 31.7%, which was a decrease of 9.4% from 2004.
In response, Chen Zutao, former general manager of China National Automotive Industry Corporation, pointed out that during the "Eleventh Five-Year Plan" period, it should be the period when China's auto brands really began to awaken, and it will further promote the changes in the competitive landscape of China's auto brand market.
"Independent innovation is an inevitable choice for the sustainable development of China's auto industry." At the 2006 China Automotive Industry International Development Forum, many people of insight in the automotive industry in China arrogated the importance of independent research and development.
Overcapacity
The high expectations of domestic and foreign auto companies in the Chinese market have created a huge enthusiasm for investing in China's auto industry, and the trend of overcapacity has begun to show.
In the history of Chinese automobiles over more than 20 years, there have been five times of annual production and sales increase in 1984, 1985, 1988, 1991, and 1992, which are all above 30%, and the highest is 49.78%. Each time of high growth has brought about expansion of production capacity and Staged excess capacity.
Since 2003, the inventory of automotive products has continued to increase, the prices of automotive products have continued to fall, and corporate profit growth has declined. From 2002 and 2003, 74% and 60% have rapidly dropped to -4.10% and -25.11% respectively. Based on this, some analysts believe that China's auto industry has entered a new round of phased excess capacity.
At present, the production capacity of China's auto industry is roughly 8 million. In 2005, the production and sales of automobiles were 5.7 million units. The capacity utilization rate is about 70%, which is lower than the 80% capacity utilization level in the international mature auto market, while the production capacity is under construction at 2.2 million. The new production capacity that is being brewed and planned will reach 10 million vehicles.
Even if the average annual demand of the Chinese auto industry increases by 15%, based on the sales volume of 5.7 million vehicles in 2005, the national car demand in 2010 is only 11.5 million, and according to the auto industry's five-year production period, 2010 The annual supply capacity of 2020 million will exceed the demand by about twice, and the capacity utilization rate will only be 50%.
At present, there are indications that the country is undertaking macro-control of major actions for the overheated development of the automobile industry. The country has strictly controlled the launch of new projects through the requirements for independent development of the automotive industry. Obviously, this is essentially to compress nearly 10 million new production capacity that may be idle.
Ningbo Cijie Chemical Equipment Co., Ltd. , https://www.zjchemicaltower.com