Seizing new opportunities to enhance competitiveness, Chinese auto parts enterprises are gaining momentum in going global

November 16, 2024

CCTV News: Currently, China's automobile industry continues to grow overseas, and the accompanying "industry chain going global" is also receiving attention. In recent years, the total export value of automobile spare parts in China has continued to rise, and many enterprises are also busy with production to meet orders. Let's take a look at our journalist's on-site visit together.

At a car parts manufacturing enterprise in Keqiao, Zhejiang, the reporter noticed that six production lines are operating at full capacity, producing spare parts for automotive braking systems such as automatic adjustment arms. The company's annual production and sales volume can reach up to 1.4 million sets, with increasing overseas orders, mainly exported to countries and regions such as the United States, Brazil, and the European Union.

This is a car parts manufacturing enterprise located in Ningbo, Zhejiang. Behind the reporter, this machine is producing super large structural components, which are various parts used for car bodies. With this machine, the car body can be die cast into shape every three minutes on average. The reporter learned that the company can produce over four million parts of various sizes every month. This year, the company's overseas revenue has performed outstandingly, accounting for over 70% of the total revenue.

The person in charge told reporters that the continuous influx of overseas orders has made the company's production line even busier. In order to ensure timely delivery of orders, the company has also expanded its personnel this year, increasing it to about 1.2 times its original size.

According to data released by the General Administration of Customs, from January to August 2024, the export value of China's automotive spare parts was approximately 438.406 billion yuan, a year-on-year increase of 7.9%; The export value of automotive spare parts in August was about 57.592 billion yuan, a year-on-year increase of 6.2%.

Wang Hongxi, Deputy Director of Fenghua Customs under Ningbo Customs in Zhejiang Province, introduced that from January to August this year, Ningbo exported automobile spare parts worth 20.84 billion yuan, a year-on-year increase of 15.6%, mainly to the United States, the European Union, Mexico, and ASEAN. Auto parts enterprises that have passed advanced customs certification can reduce document review, lower inspection rates, prioritize processing, and prioritize customs clearance.

Cross border e-commerce brings new opportunities for auto parts companies to accelerate overseas warehousing

Benefiting from the continuous development of cross-border e-commerce business, many auto parts companies are gaining momentum in going global. At the same time, Chinese auto parts companies have also grown rapidly on cross-border platforms, from initially trading oriented to deeply cultivating the supply chain, becoming vertical and boutique auto parts sellers. Continue reading the report.

Designing, launching new products, promoting, and communicating with consumers are the daily work of a team engaged in cross-border e-commerce of automotive parts in Changzhou, Jiangsu. Almost all of the company's revenue comes from cross-border e-commerce business, and currently it mainly exports to the US market. Generally speaking, the company's online products are about 10% cheaper than offline products. They will stock up two months in advance according to market demand and then ship them to overseas warehouses by sea.

At another local enterprise engaged in cross-border e-commerce of auto parts, the production line is busy producing components such as collision parts and special vehicle parts. More than 95% of the company's orders come from cross-border e-commerce business, and it is currently maintaining an annual revenue growth of 15% to 20%. The person in charge stated that after years of development, the demands of overseas consumers have also changed.

Ao Wenhui, Deputy General Manager of a cross-border e-commerce enterprise in Changzhou, Jiangsu, told reporters that the company has established 7 overseas warehouses, including a 75000 square meter warehouse in the United States, which has saved at least 10% in warehousing and logistics costs at the end. Nowadays, overseas consumers only need 3 days from online ordering to home delivery.

Author:

Mr. yin chang

E-mail:

yinchanghaoshuai@163.com