Chinese car companies have laid out overseas markets under the "One Belt And One Road" strategy


One Belt And One Road, the peak of One Belt And One Road on May 14, was attended by about 1,500 delegates from more than 130 countries and more than 70 international organizations. Xi jinping said along the ancient silk road, chairman of the region was once "flowed with milk and honey", under the guidance of our "area" strategy, China is likely to change the world economic landscape, and the auto industry is the economic belt under the construction of important role. According to the China association of automobile manufacturers data statistics, in the first quarter this year, China's exports to countries along the "area" car goods amount to $6.17 billion, up 11.5% from a year earlier, higher than the growth of 7.9% over the same industry, accounting for 34.6% of the total amount of all automobile exports. It exports 110, 000 vehicles, accounting for nearly 60 per cent of total car sales.

All roads lead to one's own. In recent years, with the convergence of the global economy, Chinese car companies have reached out to overseas. Driven by the construction of "One Belt And One Road", Chinese car companies are gearing up for overseas markets in countries along the route. Among them are auto companies such as yiqi, dongfeng, jianghuai, gac, baic and brilliance.

"One Belt And One Road" presents opportunities for the auto industry

For four years, our country is committed to promote and implement the strategy of "area", has been directly driven by China's railways, highways, ports and airports and other infrastructure development, also for the iron and steel, automobile, electronics and other industries to provide opportunities for development. For the auto industry, along with our country of investing heavily in countries along the "area", its economic development and continuously improve roads, Bridges and other infrastructure, demand could usher in a new car, for the Chinese brand passenger car into the countries along the "area" all the way to create opportunities.

Let's talk about the overseas layout and expectations of Chinese car companies.

First, China's steam. China faw's overseas business is given priority to with production of heavy trucks, at present already layout construction 15 overseas production base, Russia is China's faw strategic market. In the production base, to take the parts assembly assembling (KD) in a way that the whole car production, business has been all over southeast Asia, Africa, the Middle East, Latin America and so on five big area, covering 48 countries. China's auto industry will also play a strategic role in key overseas bases such as Pakistan, Iran and South Africa, and expand coverage of overseas operations. China faw said, the future will continue to accelerate overseas passenger vehicle localization projects, promote "neighbourhood" all the way along the coordinated development of auto industry in different regions of the world.

In 2016, the overseas export of dongfeng brand passenger vehicles increased 76.2 per cent year on year, and dongfeng motor is also further optimizing the export business structure. In the next five years, dongfeng motor will be in overseas more than 70 countries and regions launched more than 40 products, overseas markets include Indonesia, Algeria, Vietnam, etc., dealer network will increase to 912, after-sales service network to 971, by 2020, company overseas export sales goals expected by 150000.

Moreover, jianghuai auto jianghuai automobile group, general manager of xing said at the beginning, jianghuai overseas operations in more than 130 countries around the world, in the "area" all the way along more than 60 countries, has about 30 countries. There are currently 19 factories and two r&d centers overseas. Kazakhstan's factories will be able to enter the cis market with free tariffs, while also planning to introduce new energy models, the iEV6S. In November 2016, the international quality federation was established by the global suppliers of components such as the jac light card alliance Bosch, navistar and Knoll. In the first quarter of this year, jianghuai exported nearly 20, 000 vehicles. Among them, light card export ranked second, reka export ranking industry fifth, passenger car export rank third. According to the plan, the proportion of overseas sales will strive to exceed 15% by 2020.

In recent years, the brilliance group has successively in Egypt, Russia and other countries set up eight overseas factories, focus on layout such as Iran, Egypt, Russia "neighbourhood" all the way along the overseas markets. Its overseas distribution network covers more than 100 countries and regions in Africa, Middle East, central and South America, Asia Pacific, and has nearly 400 dealers. At present, the auto export model is gradually moving towards KD assembly, investment cooperation (product/technology output), etc. It is understood that brilliance plans to produce and sell 300, 000 vehicles in Iran between 2017 and 2019.

In addition it is understood that gac kei has completed the Middle East, southeast Asia, eastern Europe, Africa, America and so on five big plate of 14 countries move later layout, preliminary build up a global sales network and service system, earlier also established the SKD factory in Nigeria. In view of overseas markets, gac will be able to implement SKD from the vehicle export to a conditional place, and will explore the development of CKD bulk assembly and set up overseas factories in the future. Guangzhou auto is expected to sell 5,000 units overseas in 2017, 60,000 in 2020 and target 1 to 2 percent in each overseas market. In addition, the gac has established r&d centers in North America, and with ten companies such as denso, China, aisin seiki, signed a strategic cooperation agreement, in the face of overseas markets, gac kei global integration to meet production and marketing research.

Baic has built a strategic base around One Belt And One Road, which is based on yunnan ruili, South Africa, Mexico, Iran and Egypt. At present, Beijing automotive industry in 47 countries around the world set up sales network in 154, the construction of overseas industrial base four, seven overseas company, 22 KD project, signed 62 distributors, sales outlets, 154, 100 service outlets. In order to speed up the development of taxis, light trucks and self-discharging vehicles for the myanmar market, Beijing auto completed the development of the myanmar SKD project at the end of 2016. In addition, in Mexico, baic has developed three distribution channels and has built eight stores specializing in 4S, which is expected to reach 25 4S stores by the end of 2017, and will be able to assemble locally.

The independent brand layout overseas to borrow "business" to "multiply"

In fact, "One Belt And One Road" projects for China's auto industry market development and localization of manufacturing, pointed out the direction of Chinese car companies are also in the "area" strategy under the guidance, increased investment in along the country. At present, the countries along the One Belt And One Road have been the main overseas export market for Chinese car companies, and some of them are more heavily focused on the commercial vehicles. In fact, at present, many car companies are paying attention to the export development of commercial vehicles while also paying attention to passenger car export development. In the case of China's faw, it started to participate in the Russian auto show and, at the end of April, the first model of the local assembly, the pentium X80, went public. On February 1, jianghuai automobile united Mexico partner established a joint venture to manufacture S2 and S3 for the jianghuai SUV. Of course, car companies such as saic, geely and Great Wall are also paying more attention to the overseas layout of passenger cars.

Automobile industry branch of ccpit hap wong believes that "the time has come for Chinese car going abroad", and said that in addition to the "area" all the way along the national market, in the future, China's auto market will gradually expand to the Europe, South America. It is important to note that "One Belt And One Road" construction brought huge opportunities for Chinese car companies, but in the overseas automobile market, the independent brand is facing with other world-class car companies compete, competition more intense, independent car companies need more practice internal work "deep", improve product quality and reliability. More importantly, in the perspective of internationalization, the Chinese car companies should be in the larger pattern to the overseas market, based on the global auto industry development trend, carries on the international development trend of the automobile front, suitable for their own enterprise development strategy, to carry out the deep let China car occupies a place on the international stage.

All the way in the "area" BBS "strengthen the communication policy and strategic docking" parallel topic meeting, the delegates signed 32 bilateral and multilateral cooperation documents and business cooperation projects, involving eight 18 countries and international organizations. Governments will communication, cooperation, cultivating market conditions in the policy, to better attract the investment, the Chinese car companies should seize the "area" development opportunities. We can go a long way. Peak BBS "area" in 2019, Chinese car companies in the field, and more cooperation in the field of overseas business by layout and there will be how to answer, wait and see.