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Although entering the year 2012, the Chinese auto market lost its rapid growth over the past few years, but it still maintained a slight growth momentum. Some analysts predict that by 2020, China’s light vehicle sales will reach 30 million units, which is almost double that of 2011. At that time, the size of the Chinese auto market will catch up with the sum of today’s European and US markets.
The temptation of a huge market has been favored by many overseas car companies. Today, not only are overseas vehicle companies investing in China, but also some cross-border auto parts companies and distributors are optimistic about the Chinese auto market.
Multinational Suppliers Bet China Magna International Corporation ranks fourth in the "Automotive News" global auto parts supplier top 100, mainly producing seats, body and chassis components, automotive electronics and electrical systems. In 2001, Magna International had only one factory in China. At present, the company is optimistic about the Chinese market and has formulated a plan for market expansion. The company plans to increase the number of factories in China from 20 to 28 by the end of 2014, and sales in China will reach about 1.5 billion U.S. dollars, double that of last year. In order to cater to the needs of the Chinese market, the company also specifically designed and produced modified models suitable for Chinese consumers.
It is understood that one of the top five auto parts suppliers, the famous German transport industry manufacturer, and the Continental Group, the world’s fourth-largest tire manufacturer, mainly produces tires, brake systems, vehicle body stability control systems, engine injection systems, and tachometers. And other car and transportation line parts. At present, the company has a total of 16,000 employees in China. In order to conduct business in China, the group plans to add another 5,000 people in China by the end of the year.
In addition, the Johnson Controls Power Solutions Group, North America's largest manufacturer of lead-acid and lithium-ion batteries, is investing more than $1 billion in expanding its production capacity in China. This year, its battery production in China will be approximately 17 million, and will increase to 30 million by 2017, accounting for approximately 70% of the aftermarket and 30% of the automotive manufacturing market. The company said that all of these batteries are available in the Chinese market. The company predicts that by 2020, China will become the world's largest car battery market, which also brings unprecedented opportunities for the company.
It is understood that a few days ago, the global battery industry giant U.S. Exed car batteries also formally entered the Chinese market. United States Exeter Technology Group is one of the world's largest lead acid battery manufacturers, with 43 plants in 14 countries and operations in more than 140 countries and regions. Exxard's battery product applications include automotive batteries, power supplies, network energy, and military applications.
Overseas car enthusiasm and China's marriage to China's car market is far more than overseas auto parts companies, China's car rental market is also favored by overseas car rental companies. They have frequently contacted Chinese rental companies in various ways such as marriage.
It is understood that at present, 80% of the domestic car rental companies operate less than 50 vehicles, 70% of the company's formal staff number is less than 5, 10 largest car rental companies account for less than 10% of the market share, the industry concentration is very low. This shows that the future of China's car rental industry has great potential.
In the past two years, the domestic car rental industry has been dominated by the local private car rental companies Shenzhou, Yiyi, and Supreme. Domestic rental companies are also willing to contact well-known overseas counterparts. Last year, Shenzhou Car Rental and Enterprise Holdings signed a strategic cooperation agreement and officially opened an international car rental service. At present, EnterpriseHoldings cooperates with a rental car. At the end of March of this year, Enterprise Holdings had a stake in a car rental, owned a 15% stake, and entered the company's board of directors, allowing it to enter the Chinese market.
Sales channels have accelerated the expansion of the European market. The Chinese market has strong demand and high-end luxury car brands have begun to fight for market share.
With the large number of vehicles entering China, the expansion of sales channels has become inevitable. It is understood that the import luxury car companies to accelerate the expansion of channel networks, mass production marketing strategy implementation. The world's top luxury cars have accelerated their entry into the Chinese market. Rolls-Royce reached 11 at the end of this year, with a target of 18; Ferrari, Maserati will reach 20 at the end of the year; Lamborghini will have 14 additional stores at the end of the year; Bentley's Sanlitun showroom will open and increase the layout of the South market.
Yan Jinghui, deputy general manager of the Beijing Yancheng Yayuncun Automotive Trading Market, said that the current international first-line brand network expansion has two major characteristics. The first is to build a large number of stores. It is understood that BMW 4S shop city showroom has soared from 180 to 300 within one year; Mercedes-Benz nationwide has 207 stores and plans to reach 440 in 2015; Audi will only reach 20 at the end of the year in Beijing stores; Porsche will increase to 60 at the end of the year. There will be 80 next year and 100 in 2015; Jaguar and Land Rover will have more than 100 specialty stores. The second is to invest in the pursuit of large-scale and functional integration of single brand stores. According to Yan Jinghui, Audi's “Ocean Tour†flagship store invested 110 million yuan; BMW's world’s first “Macro†5S shop invested 320 million, covers an area of ​​22,000 square meters, 5S new experience in automotive culture, leisure and entertainment. Some experts said that the growing Chinese auto market has also provided opportunities for many overseas auto companies and component suppliers to develop. This is a rare opportunity for a win-win situation. Chinese auto and auto parts companies should take this opportunity to make themselves strong and fast.
The temptation of a huge market has been favored by many overseas car companies. Today, not only are overseas vehicle companies investing in China, but also some cross-border auto parts companies and distributors are optimistic about the Chinese auto market.
Multinational Suppliers Bet China Magna International Corporation ranks fourth in the "Automotive News" global auto parts supplier top 100, mainly producing seats, body and chassis components, automotive electronics and electrical systems. In 2001, Magna International had only one factory in China. At present, the company is optimistic about the Chinese market and has formulated a plan for market expansion. The company plans to increase the number of factories in China from 20 to 28 by the end of 2014, and sales in China will reach about 1.5 billion U.S. dollars, double that of last year. In order to cater to the needs of the Chinese market, the company also specifically designed and produced modified models suitable for Chinese consumers.
It is understood that one of the top five auto parts suppliers, the famous German transport industry manufacturer, and the Continental Group, the world’s fourth-largest tire manufacturer, mainly produces tires, brake systems, vehicle body stability control systems, engine injection systems, and tachometers. And other car and transportation line parts. At present, the company has a total of 16,000 employees in China. In order to conduct business in China, the group plans to add another 5,000 people in China by the end of the year.
In addition, the Johnson Controls Power Solutions Group, North America's largest manufacturer of lead-acid and lithium-ion batteries, is investing more than $1 billion in expanding its production capacity in China. This year, its battery production in China will be approximately 17 million, and will increase to 30 million by 2017, accounting for approximately 70% of the aftermarket and 30% of the automotive manufacturing market. The company said that all of these batteries are available in the Chinese market. The company predicts that by 2020, China will become the world's largest car battery market, which also brings unprecedented opportunities for the company.
It is understood that a few days ago, the global battery industry giant U.S. Exed car batteries also formally entered the Chinese market. United States Exeter Technology Group is one of the world's largest lead acid battery manufacturers, with 43 plants in 14 countries and operations in more than 140 countries and regions. Exxard's battery product applications include automotive batteries, power supplies, network energy, and military applications.
Overseas car enthusiasm and China's marriage to China's car market is far more than overseas auto parts companies, China's car rental market is also favored by overseas car rental companies. They have frequently contacted Chinese rental companies in various ways such as marriage.
It is understood that at present, 80% of the domestic car rental companies operate less than 50 vehicles, 70% of the company's formal staff number is less than 5, 10 largest car rental companies account for less than 10% of the market share, the industry concentration is very low. This shows that the future of China's car rental industry has great potential.
In the past two years, the domestic car rental industry has been dominated by the local private car rental companies Shenzhou, Yiyi, and Supreme. Domestic rental companies are also willing to contact well-known overseas counterparts. Last year, Shenzhou Car Rental and Enterprise Holdings signed a strategic cooperation agreement and officially opened an international car rental service. At present, EnterpriseHoldings cooperates with a rental car. At the end of March of this year, Enterprise Holdings had a stake in a car rental, owned a 15% stake, and entered the company's board of directors, allowing it to enter the Chinese market.
Sales channels have accelerated the expansion of the European market. The Chinese market has strong demand and high-end luxury car brands have begun to fight for market share.
With the large number of vehicles entering China, the expansion of sales channels has become inevitable. It is understood that the import luxury car companies to accelerate the expansion of channel networks, mass production marketing strategy implementation. The world's top luxury cars have accelerated their entry into the Chinese market. Rolls-Royce reached 11 at the end of this year, with a target of 18; Ferrari, Maserati will reach 20 at the end of the year; Lamborghini will have 14 additional stores at the end of the year; Bentley's Sanlitun showroom will open and increase the layout of the South market.
Yan Jinghui, deputy general manager of the Beijing Yancheng Yayuncun Automotive Trading Market, said that the current international first-line brand network expansion has two major characteristics. The first is to build a large number of stores. It is understood that BMW 4S shop city showroom has soared from 180 to 300 within one year; Mercedes-Benz nationwide has 207 stores and plans to reach 440 in 2015; Audi will only reach 20 at the end of the year in Beijing stores; Porsche will increase to 60 at the end of the year. There will be 80 next year and 100 in 2015; Jaguar and Land Rover will have more than 100 specialty stores. The second is to invest in the pursuit of large-scale and functional integration of single brand stores. According to Yan Jinghui, Audi's “Ocean Tour†flagship store invested 110 million yuan; BMW's world’s first “Macro†5S shop invested 320 million, covers an area of ​​22,000 square meters, 5S new experience in automotive culture, leisure and entertainment. Some experts said that the growing Chinese auto market has also provided opportunities for many overseas auto companies and component suppliers to develop. This is a rare opportunity for a win-win situation. Chinese auto and auto parts companies should take this opportunity to make themselves strong and fast.
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