Future Development Trends of Automotive Parts Industry

　　The automobile parts manufacturing industry in China started early and has a strong foundation, which has been prosperous and developed for many years driven by the rapid growth of the automobile industry. However, after 2012, the automotive component manufacturing industry was greatly impacted by domestic and international situations, exposing many problems. According to the In depth Market Research and Investment Report on the Auto Parts Manufacturing Industry issued by the Prospective Industry Research Institute, compared with international advanced peers, China's low market concentration ratio is still an important feature of China's auto parts industry due to low technology content, disadvantage in the industrial chain and other reasons. With the development of market competition, automotive component companies are facing pressure from downstream vehicle product prices falling and upstream raw material prices rising, thereby compressing the overall profit level of the industry. According to the law of survival of the fittest in market competition, large and medium-sized enterprises will further occupy market share by virtue of technology and product advantages, and the market concentration ratio will be further improved.