MyWorldGo The development status of China's auto parts industry this year
The development status of China's auto parts industry this year

Blog Information

  • Posted By : anna xinxinmetal
  • Posted On : Aug 27, 2020
  • Views : 165
  • Category : Technology
  • Description : A recent survey conducted by the China Association of Auto parts factory on 212 parts and components companies shows that, affected by the epidemic, parts and components companies have the highest operating income loss of 2 billion yuan
  • Location : Jiaxing, Zhejiang, China

Overview

  • A recent survey conducted by the China Association of Auto parts factory on 212 parts and components companies shows that, affected by the epidemic, parts and components companies have the highest operating income loss of 2 billion yuan, and the proportion of companies with a revenue loss of 20 million to 50 million yuan Is 16%. Revenue loss may be estimated, but the impact of the epidemic on the entire industrial chain is immeasurable, and it is not limited to Chinese companies. Delays in starting work, isolation of personnel, and stagnant logistics have caused problems in the automotive supply chain to spread globally.

    More than 80% of global auto parts are related to manufacturing in China. According to data from the General Administration of Customs, in 2019, the export value of auto parts companies in China exceeded 60 billion U.S. dollars, of which foreign-funded companies' subsidiaries in China accounted for 40%. Multinational parts and components continue to increase investment in Chinese factories, which has also brought the supply chain into a situation that now affects the whole body. The chief financial officer of American parts supplier Anbo predicts that after the entire industrial chain has extended holidays and stopped supply due to the epidemic, China's auto production will be reduced by 15% in the first quarter and 3% for the whole year.

    Affected by the epidemic, the stagnation of offline transactions is likely to continue until mid-March, and China's auto production will be directly reduced by 1.7 million vehicles. McKinsey said that it is not yet possible to accurately determine when the epidemic will completely end, and it is also difficult to determine when the entire economy can fully resume normal operations. The harm that this uncertainty brings to Motorcycle parts factory is immeasurable.