The Belt and Road Forum for International Cooperation has come to an end. A total of 29 foreign heads of state and government attended the forum, which brought together officials, scholars, entrepreneurs and other elites from more than 130 countries, and 89 leaders and representatives of 70 international organizations. A total of more than 1,500 people gathered in Beijing to discuss the in-depth development of the Belt and Road construction.
The Belt and Road Initiative is a better platform
First, the "Belt and Road" provides a platform and development for domestic cars to go out. In the first four months of 2017, China exported 260,000 vehicles, up 37.9 percent year-on-year. This is a long overdue piece of good news. The improvement of the export situation, to a certain extent, can be attributed to the growth of China's exports to countries and regions along the "Belt and Road", which is closely related to the construction of the "Belt and Road" in China for more than three years. In order to achieve the goals of "entering the ranks of the world's automobile powers" in the ten years established by the "Medium and long-term Development Plan of the automobile Industry" and "achieving batch exports to developed countries' markets" by 2020, we must first achieve good results in the markets along the "Belt and Road". It can be said that the market along the "Belt and Road" is a big springboard for self-owned brand cars to export to developed countries and become car companies. At present, China FAW, Dongfeng Motor, SAIC Maxus, Jianghuai Automobile and other commercial vehicles, as well as GAC, Changan, SAIC and other independent passenger car enterprises have heard the wind and carried out strategic layout.
Second, the "Belt and Road" provides an important platform for China's manufacturing enterprises to reshape the industrial chain. By investing in Belt and Road countries, some Chinese manufacturing companies can allocate resources on a wider scale. On the one hand, this is conducive to Chinese enterprises to obtain effective and stable resources and markets, and on the other hand, it also helps some countries along the "Belt and Road" to integrate into the modern global manufacturing industry chain. With the formation of the Belt and Road regional industrial chain, trade relations under the Belt and Road Initiative can be upgraded from traditional inter-industry trade based on comparative advantage to more dynamic modern intra-industry trade based on direct investment.
Third, the mold import demand of countries and regions along the "Belt and Road" will increase significantly, which is very beneficial to the export of Chinese molds. At the same time, these countries are also increasing China's product tariffs, generally encourage domestic manufacturing is also the trend, the "Belt and Road" countries are also encouraging the development of a large number of molds and injection molding industry development, due to cost problems, China's low-end mold and injection molding industry in the next 5 to 10 years will be strongly impacted, China's mold industry only rapid transformation and upgrading, rapid transformation of high-end mold manufacturing, To ensure future advantage.
As a key industry in the "13th Five-Year Plan", the progress of Chinese cars in the past two years is obvious to all. In 2016, independent brands propped up the facade of the Chinese car market, and drove the growth of the entire industry with the excellent play of the SUV market. In the first quarter of 2017, the independent brand still maintained a strong, in addition to the unshakable advantage of the price range below 100,000 yuan in the past, the price range of 100,000 to 200,000 yuan, the independent brand has had enough competitiveness, and the joint venture brand has a head-on confrontation, and even a certain advantage. The price range of more than 200,000 yuan is no longer an "untouchable" ceiling. First-line independent brands such as GAC Trumpchi, SAIC Roewe, and Geely have entered the market. At the same time, the successive launch of high-end brands such as Lynk & Co and WEY also reflects the determination of independent brands to take advantage of the trend. Data show that throughout the year of 2016, independent brands achieved double growth in sales and market share, with cumulative sales reaching 10.529 million vehicles, breaking the 10 million mark for the first time while the growth rate will be fixed in double digits. This is also after a lapse of 6 years, the market share of independent brands has once again returned to more than 40%. In 2011, independent brands with the advantages of the low-end market, once occupied 42.2% of the market share, but then experienced three consecutive years of share decline, to 2014, only 38.1%, but also suffered a painful "12 consecutive decline." In 2015-2016, with the outbreak of the SUV market, independent brands began to "recover lost ground", and it returned to 42.7% of the market share last year, reaching a new high.
However, the "overseas journey" of independent brands is quite different. In 2011, the independent brand began to transform under the pressure from the joint venture brand market, practiced internal skills, focused on technological development, and made fine models. However, in order to make up for the lack of the domestic market, independent brands try to "go out", especially for Russia, Brazil and India and other countries and regions with relatively backward automotive development. In 2012, with the advantage of price, the independent brand has obtained a good "harvest" overseas, breaking the export volume of one million vehicles. However, exports began to decline after 2012, falling to 730,000 units in 2015. In 2016, China's automobile exports still fell year-on-year, to 640,000 units. Some analysts believe that in recent years, some independent brand automobile companies have built factories overseas, carried out localized production, and some vehicle exports have been transformed into parts exports, which has affected the export data. For example, in 2014, Chery invested in the construction of a factory in Brazil, creating a first for Chinese passenger car companies to build factories in the country. Subsequently, Lifan, Geely, Jianghuai, etc., have also established their own production bases in Brazil.
However, this localized production does not seem to be going well, and in terms of volume, the impact on export figures is small. It is reported that the utilization rate of Chery's Brazilian factory is only 10%, and on the sales list of various brands in Brazil in 2015, Chery sold only 5,328 vehicles, accounting for only 0.25% of the market share. Analyzing the reasons, objectively speaking, the downturn in the global market, the entry of traditional automobile powers into the market and the existence of trade barriers have really affected the process of overseas export of independent brands, but their own reasons can not be ignored. At that time, the independent brand in the core technology, key parts and other aspects are far behind the world level, independent research and development ability is insufficient, weak innovation ability and other problems make the independent brand in the expansion of overseas markets have been greatly limited.
We must admit that there is still a gap between the independent brand and the car brand, especially in the car is weak. However, in the aspects of "seeing", such as appearance level, configuration, assembly quality, etc., you can arm yourself with joint ventures and even foreign brands. "The Belt and Road" is a platform for independent brands to go out, and in the future, we will continue to work hard at the "invisible" level to improve product quality and reliability, create a business card that belongs to Chinese cars, and make Chinese brands. China's Beibeikang, the world's Beibeikang, strive to do the mold nitrogen spring industry!!
BeiBeiKang Develop Co.,Ltd