In the past 2010, although the growth rate of China's auto vehicle exports tends to be weak, the auto parts export business with which it is supporting remains strong. According to authoritative statistics, in 2010, the year-on-year export delivery value of auto parts and accessories manufacturing showed a gradual upward trend, with only the first nine months of imports and exports exceeding the year 2009. However, as countries’ stimulus to auto consumption gradually weakens or withdraws, the market recovery is showing signs of slowing down, which will have a certain impact on China’s auto parts exports in the next phase; at the same time, as raw material prices and the RMB exchange rate continue to rise, it will directly weaken China’s auto industry. The price competitiveness of spare parts and components, and the decline in export price advantages; In addition, foreign trade barriers are increasing, the export environment is deteriorating, and the pressure on China’s auto parts exports has become greater. Under the influence of various factors, the growth rate of China's auto parts exports will gradually slow down in 2011. In the face of this situation, how should China's auto parts export companies respond?
First, increase the development of key components and technologies and increase the added value of products.
One of the major advantages of China’s auto parts exports is the low labor cost. However, most provinces and cities in China have raised the minimum wage standard in 2010. The cost of employing people in China is also gradually increasing, and the advantages of auto parts products in terms of price are weakening. Exports are high energy-consuming and low value-added products, and the degree of compression of profit space can be imagined. Therefore, only by increasing investment in product development funds, strengthening the development of key components and technologies, and increasing the technical content and added value of auto parts products, can we obtain greater profit margins.
Second, while continuing to consolidate the traditional market, vigorously develop emerging markets.
China has been encouraging auto parts companies to go global, and has introduced a series of supporting policies. They have provided support for national auto parts export enterprises and export bases in terms of finance, export credit, etc. Domestic auto parts export companies should Grasping the opportunities, while consolidating the low-end market for complete vehicles in traditional developing countries, it will also increase the development of India, Brazil, and Russia's “brick†market, and endeavor to occupy the foreign matching market and the high-end market in developing countries.
Third, attach importance to the use of targeted regional e-commerce products and reduce the cost of trade.
As we all know, trade through e-commerce can not only save a lot of manpower and material resources, reduce transaction costs and inventory, but also create a free and equal competitive environment and more extensive cooperation space for small and medium auto parts export companies to enter the international market. E-commerce products with targeted areas have brought new opportunities to China's auto parts export companies. Good e-commerce products such as "Winner Network (China)'s "Quality Supplier (BQS)", this product is jointly launched by Win-Win Network (China) and Europe's largest purchasing logistics association - German Federal Logistics Association (BME) The new type of reverse e-commerce products only focuses on the export of Chinese auto parts manufacturers to the European Union. Up to now, not only have more than 7,000 European companies sourcing in China through “quality suppliersâ€, but also because BME’s member companies include top 200 German companies, including BMW, Volkswagen, Bosch, Mercedes-Benz, etc. As a world-renowned company, “quality suppliers†are uniquely positioned to promote the export of auto parts in China and are an excellent choice for China’s auto parts exports to the European Union.
4. Reasonably formulate export prices for auto parts to avoid vicious competition.
At present, some auto parts manufacturers in China are often eager to open the international market, and the prices quoted are often far lower than the international average price. Actually, this is not a wise move: once one's own profit rate is very low, it is not conducive to the long-term business. Development; Secondly, in the eyes of some big companies, it is not the lower the better the quotation, some big companies will think that if a product has no reasonable profit rate, its product quality may be greatly reduced. What is even more serious is that domestic enterprises that produce export products compete with each other in price competition and may cause foreign anti-dumping complaints. Therefore, when domestic manufacturers offer foreign companies, they must first master the international market and avoid the unfavorable consequences caused by unquote prices. In addition, the auto industry associations should also organize auto parts export companies to conduct price self-regulation, oppose lower prices, and vicious competition. Once there is an anti-dumping complaint against China's auto parts industry, relevant departments of the auto industry must organize enterprises to respond.
First, increase the development of key components and technologies and increase the added value of products.
One of the major advantages of China’s auto parts exports is the low labor cost. However, most provinces and cities in China have raised the minimum wage standard in 2010. The cost of employing people in China is also gradually increasing, and the advantages of auto parts products in terms of price are weakening. Exports are high energy-consuming and low value-added products, and the degree of compression of profit space can be imagined. Therefore, only by increasing investment in product development funds, strengthening the development of key components and technologies, and increasing the technical content and added value of auto parts products, can we obtain greater profit margins.
Second, while continuing to consolidate the traditional market, vigorously develop emerging markets.
China has been encouraging auto parts companies to go global, and has introduced a series of supporting policies. They have provided support for national auto parts export enterprises and export bases in terms of finance, export credit, etc. Domestic auto parts export companies should Grasping the opportunities, while consolidating the low-end market for complete vehicles in traditional developing countries, it will also increase the development of India, Brazil, and Russia's “brick†market, and endeavor to occupy the foreign matching market and the high-end market in developing countries.
Third, attach importance to the use of targeted regional e-commerce products and reduce the cost of trade.
As we all know, trade through e-commerce can not only save a lot of manpower and material resources, reduce transaction costs and inventory, but also create a free and equal competitive environment and more extensive cooperation space for small and medium auto parts export companies to enter the international market. E-commerce products with targeted areas have brought new opportunities to China's auto parts export companies. Good e-commerce products such as "Winner Network (China)'s "Quality Supplier (BQS)", this product is jointly launched by Win-Win Network (China) and Europe's largest purchasing logistics association - German Federal Logistics Association (BME) The new type of reverse e-commerce products only focuses on the export of Chinese auto parts manufacturers to the European Union. Up to now, not only have more than 7,000 European companies sourcing in China through “quality suppliersâ€, but also because BME’s member companies include top 200 German companies, including BMW, Volkswagen, Bosch, Mercedes-Benz, etc. As a world-renowned company, “quality suppliers†are uniquely positioned to promote the export of auto parts in China and are an excellent choice for China’s auto parts exports to the European Union.
4. Reasonably formulate export prices for auto parts to avoid vicious competition.
At present, some auto parts manufacturers in China are often eager to open the international market, and the prices quoted are often far lower than the international average price. Actually, this is not a wise move: once one's own profit rate is very low, it is not conducive to the long-term business. Development; Secondly, in the eyes of some big companies, it is not the lower the better the quotation, some big companies will think that if a product has no reasonable profit rate, its product quality may be greatly reduced. What is even more serious is that domestic enterprises that produce export products compete with each other in price competition and may cause foreign anti-dumping complaints. Therefore, when domestic manufacturers offer foreign companies, they must first master the international market and avoid the unfavorable consequences caused by unquote prices. In addition, the auto industry associations should also organize auto parts export companies to conduct price self-regulation, oppose lower prices, and vicious competition. Once there is an anti-dumping complaint against China's auto parts industry, relevant departments of the auto industry must organize enterprises to respond.
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