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In recent years, China’s automobile industry has developed rapidly. In 2005, China’s automobile production reached 5.7 million vehicles. In 2006, the automobile output increased by 27.6% year-on-year, reaching a record high of 7.28 million vehicles. The automotive electronics industry has also seen a full-fledged rise in the entire vehicle. In 2005, the demand for China's automotive electronics market has reached 62.4 billion yuan, while the market demand in 2006 is expected to reach 80.5 billion yuan, a year-on-year increase of 29.0%.
The huge Chinese automotive electronics market is monopolized by foreign brands. From the brand structure chart of China's auto electronics market in 2005, it can be found that among the top ten manufacturers in China's auto electronics market, only Shenzhen Hangsheng Electronics is a Chinese manufacturer, and the rest are foreign automakers. Only the top nine foreign electronics giants already accounted for 59.8% of China's automotive electronics market. If we add the share of other foreign companies, it is expected to be close to 90%.
Among the automotive electronics market in China, the most important manufacturers are among the top ten foreign-funded manufacturers. Their tremendous influence in China is not only an important supplier of Chinese automakers, but also the backbone of China's automotive electronics industry. According to the “2005 Top 100 Auto Parts Enterprises†list released by the China Association of Automobile Manufacturers in 2006, 27 automotive electronics companies were on the list, totaling RMB 37.61 billion in sales revenue. Among them, the foreign-funded large-scale wholly-owned or joint venture company's sales revenue totaled 30.26 billion yuan, accounting for as much as 80.4%. This is enough to see how the status of foreign-funded big companies in the Chinese industry is outstanding.
The dominant position of foreign-funded automotive electronics manufacturers in the Chinese market has been established, and foreign-funded large-scale manufacturers have secured their position through continuous capital increase and acquisition activities. Therefore, it is basically impossible for Chinese domestic automotive electronics companies to exceed these market sizes. Dachang.
In addition, the long-term development of large foreign-funded companies has accumulated a large number of products and technological advantages. These products and technological advantages are the fundamentals for the development and expansion of foreign-funded large-scale plants, and are also the biggest obstacles for Chinese manufacturers to catch up. Therefore, Chinese manufacturers cannot We hope that through the means of operation and operation, we will surpass the large foreign-funded factories in the short term, concentrate on some of these areas, and continue to learn from the experience of the big manufacturers, accumulate and develop themselves, and there will eventually be opportunities to catch up.
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