Auto Parts China Manufacturing intends to purchase globally

The Fifth China International Auto Parts Expo (CIAPE) will be opened in Beijing on September 8th. The fair has been successfully held for 4 sessions. The international level and social influence have been widely recognized by the industry. In 2011, coincided with the beginning of the 12th Five-Year Plan of the Chinese economy, and also the time when China’s auto industry entered a “big to strong” period, the holding of the fifth session of the CIAPE was particularly eye-catching.

"The next decade will be the transformation and upgrading of China's auto industry and realize the goal of moving from a manufacturing powerhouse to an industrial powerhouse!" Zhang Xiaobiao, executive vice president of the China Federation of Machinery Industry, has repeatedly made this assertion in public. When China became the world’s largest automobile production and sales country, the auto industry in the world has invariably placed more eyes on the Chinese market. At the same time, the rapid development of the Chinese auto industry is gradually changing the focus of the global manufacturing industry. On the one hand, developing countries undertake industrial transfer, China's open policy environment and fast-growing markets provide domestic and foreign companies with an excellent competitive arena; on the other hand, China has a large number of powerful parts and components companies that need to go global. Participate more in international division of labor and cooperation, and acquire and integrate resources, technologies, talents, brands, markets and opportunities on a global scale. CIAPE is precisely the period when the Chinese auto industry has entered a period of rapid development and the Chinese government has established a platform to promote the development of the industry.

â–  OEMs are interested in optimizing supply systems

In the next decade, the global automotive industry faces common challenges. Like the common requirements of social development such as low-carbon, energy saving, environmental protection, safety, comfort, and economy, energy, materials, technologies, and processes must be continuously innovated and upgraded. How will OEMs and component manufacturers use global scientific and technological achievements and intellectual resources to adjust their structure, upgrade their transformation and upgrade their core competitiveness? How will multinational corporations, joint ventures, and independent brands respond?

According to the person in charge of the CIAPE Organizing Committee: “The CIAPE positioning is oriented to the global automotive accessory market and aftermarket. That is to say, a considerable part of the exhibitors can meet the matching needs of the OEMs, although many OEMs have relatively stable supply. Traders and suppliers often organize technology and product exchange teams to visit the main engine plant, but these methods still cannot replace the comprehensive functions of CIAPE, and it is even more impossible to respond to the ever-changing objective world. One of the industries is a highly competitive industry. In the face of the economic globalization, it is bound to continue to integrate resources, optimize the allocation, and adjust the supply chain. This has been a change in the automotive industry during the post-financial crisis and the Japan earthquake. According to the report, China International Auto Parts Expo is China's only national international platform, and from the date of its establishment, it has established eight transnational vehicle groups, including GM, Toyota, Volkswagen, Ford, BMW, and Hyundai, FAW and Dongfeng. , SAIC, Chang'an, BAIC, Chery, JAC, CNHTC, Yutong, etc. China Enterprise Co pattern. So, in this sense, China International Auto Parts Expo is the world's OEMs mutual cooperation platform support. "

“Many domestic and foreign OEMs will participate in the 5th China International Auto Parts Expo. Some will be exhibitors carrying new energy vehicles, new products and new technologies; others will be exhibitors to explore, observe and learn And the forefront of technology; some to find new partners; some to participate in the collision of ideas, on-track activities of the industry in the future." The person in charge of the CIAPE Organizing Committee told reporters. It is understood that Vice President of Global Global Sourcing and Supply Chain, Executive Director of Ford Asia Pacific, Vice President of Chrysler International Procurement and Supply Chain, Vice President of Global Procurement of Fiat, Purchasing Manager of BMW Group Asia Pacific, Purchase Manager of Toyota China, FAW Equipment Management Central team, Changan Automobile Purchasing Manager, Yutong Bus Purchase Minister, Beijing Automotive Holding Purchasing Manager, Great Wall Automotive Power Research Institute Director, Huatai Automobile Investment Division Chief, Chery Automobile Purchasing Engineer and other well-known domestic and foreign car procurement executives will visit the Expo and Attend related activities for the same period. In addition, procurement executives, managers, and technicians of Volkswagen, Audi, Mercedes-Benz, Dongfeng, SAIC, Guangben, CNHTC, Geely, and BYD will also visit the Expo site.

Johnny Saladanha, GM’s International Operations Division and Vice President of Global Sourcing and Supply Chain Management, revealed that “China’s spare parts companies have top-notch engineers who can produce quality products and Chinese companies are fully capable of producing the parts we need. The vision is that all cars produced in China will be able to purchase parts locally, and with the advancement of technology, Chinese parts and components companies may make breakthroughs in the development of core components."

â–  Buyers are coming to China only

CIAPE is playing a more and more important role as a bridge for communication between Chinese and foreign auto and parts companies. “The past four expositions have attracted more than 100,000 professional merchants from more than 100 countries and regions. It is expected that the 5th expo's international buyers will increase by 50% on the basis of last year, and the number of domestic audiences will also increase by 50. %, said the person in charge of the organizing committee of the fair. “At present, the international buyers who have made appointments to visit have come from 93 countries and regions including the United States, the United Kingdom, France, Germany, Russia, India, Japan, South Korea, Iran, Malaysia, Brazil, Australia, Canada, Pakistan, Afghanistan and Taiwan. ."

"Now that foreign automobile companies come to China for procurement, it is not just the cost advantage of Chinese companies, but rather higher requirements, such as the requirement for component suppliers to have design and development capabilities. Fiat is willing to use the CIAPE platform to The more we choose to develop together with Chinese parts companies,” said Li Jian, director of the Fiat (China) Global Procurement Center.

As the largest developing country in the "BRIC Five Countries", China not only has fast industrial development, but also has huge potential for consumption. This has attracted nearly all auto and parts companies worldwide to increase investment in China starting in 2010. cooperate with. “The Chinese auto market is changing so fast that the strategic goal you set may change in a month or so.” Mr. Peter Hager, vice president of commercial development for a luxury vehicle dealership in China, accepted the media at this year’s Shanghai auto show. Said during the interview. For foreign parts suppliers entering the Chinese market, due to the lack of a certain understanding of the Chinese market, they have taken many detours. Participating in auto parts exhibitions such as CIAPE has become an effective way to understand the local market. The exhibition is both an enterprise and a company. The bridge of communication and communication is also an important window for mutual understanding, recognition, and cooperation between the countries.

The words of Mr. Arvind Sharma, Director of Purchasing for Asia-Pacific Region of Lear Group, are quite representative: “The Lear Group’s procurement strategy is to focus on emerging markets. This is why we will come to China and visit the China International Auto Parts Expo. The reason is that China is a very big market with very rapid progress, and China's parts and components companies also have very large growth potential.By visiting this expo, we can find stronger Chinese parts companies.We hope to find low costs. , meet the requirements of suppliers, and they together to reduce costs and establish a good relationship of cooperation."

â–  Multinational delegations visit for more business value

China International Auto Parts Expo is China's only national-level international auto parts exhibition platform. Since the first session of the exhibition, China Auto News has carried out continuous in-depth attention and put forward the “China International Auto Parts Expo”. It is the assertion that represents the overall brand of China's auto parts industry. After five years of development, we discovered that along with the rapid development of China's auto industry, the expo platform has also made great progress. For example, in the area of ​​international merchants, every year, auto industry associations, companies, and institutions in many countries around the world are attracted. Come.

The reporter learned from the organizing committee that at present, the 5th CIAPE has organized visit delegations and purchasing delegations from more than 70 units around the world, such as the delegation of the American Automobile Industry Action Group (AIAG) and the US Automotive Refining Products Association (SEMA). Business Delegation, Canadian Automobile Parts Association Corporate Purchasing Team, Australian Automobile Aftermarket Association Purchasing Team, Indian Automobile Manufacturers Association Purchasing Team, Pakistan Auto Parts Importers and Wholesalers Association Delegation, Gasgoo.com International Purchasing Team, Global Auto parts resources network procurement group.

"Last year, we organized 49 buyers to the show, 80% of which had signing orders. As far as I know, the total number of 4 orders exceeded $110,000. This year we will organize buyers from nearly 80 companies. I believe The gains will be even greater," said Mohammad Mehmet, secretary general of the Auto Parts Buyers Association of Pakistan.

Gasgoo.com and the CIAPE Organizing Committee jointly planned and implemented the "China International Auto Parts Large-Scale Purchasing Matching Meeting" on the site of the exhibition, which will host such countries as the United Kingdom, Australia, Germany, Iran, Egypt, Bulgaria, Mexico, and India. More than 80 procurement executives and policy makers, including factories and primary and secondary suppliers, are on the scene. The total number of participating suppliers is expected to exceed 500, and on-site visits will see more than 800 companies. According to Chen Wenkai, president of Gasgoo.com, on the basis of his previous successful experiences, he will strive to build the highest-cost, most valuable procurement fair in the automotive component industry in the year.

Kumar, director of public relations at the Indian Automobile Manufacturers Association, said: "China's auto parts industry is developing rapidly. We hope to continue to expand cooperation and exchanges with the China International Auto Parts Expo. This time we organized the Mercedes-Benz, Fiat, Suzuki and Volvo. Purchasers from Tata and other companies came to attend the conference. Last year, they generally believed that the gains were great. This year, they will further strengthen relations with Chinese suppliers and build bridges for the promotion of bilateral trade.”

In recent years, the most obvious change in China's auto and parts industry is that companies’ demands for product quality have become higher and higher, and investment in quality has become more conscious. Product quality and manufacturing processes have been greater than a decade ago. Leap. China’s manufacturing capacity is gradually increasing and China is striving to get in line with the international market in the shortest possible time.

"The aim of CIAPE is to fully embody the concept of 'national platform, service industry, and promotion of development', strive to significantly improve the quality of exhibitors, increase the technical content of exhibits, increase the number and quality of professional visitors at home and abroad, and promote the Continuous development and increase the satisfaction of the target group for the exhibition, said the person in charge of the CIAPE Organizing Committee.