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Status quo of China auto parts export

Amenda From Gasgoo| November 27 , 2017

china auto parts supplier, China auto parts export

Shanghai (Gasgoo)- According to a local media, China auto parts export has seen continual growth in the past 15 year. The annual growth rate reached 3 percent after we became a member of World Trade Organization. The ratio of auto parts export to all auto related products export has risen year after year.

Developed countries and major auto production countries have been China’s main auto parts importers, such as the USA and Japan. Besides, China auto parts suppliers have made progress in some emerging markets, like the Middle East, South America and Africa. Apart from being suppliers, China auto parts companies also build factories overseas and acquire foreign companies.

The exported products are mainly labor intensive products and products with medium and low technologies. Parts with traditional comparative advantages, such as bumpers, brake pads, clutches and glasses, account for a large percentage in all exported auto parts products. Even though there is certain progress in highly technical products, global auto parts suppliers are still the master of most core technologies.

At present, domestic auto parts suppliers have four main export routes. The first and the most common route is to export as attachment to automakers. For example, foreign companies will choose vehicle models first and then examine the qualification of models' engine producer.

Foreign companies can come to China and purchase products directly. That means China auto parts suppliers can enter into global market through the procurement system of global automakers. China auto parts supplier can also export products directly to global companies to maintain business growth.

The last way is to rely on foreign trade corporations. The specialized foreign trade companies are familiar with products and market and boasts advantages in their own marketing channels. 

Gasgoo not only offers timely news and profound insight about China auto industry, but also help with business connection and expansion for suppliers and purchasers via multiple channels and methods.

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