The Development Prospects of Automotive Parts

　　From January to October 2013, China's automobile production and sales reached 17.8544 million and 17.8158 million units, a year-on-year increase of 13.58% and 13.47%. Compared with the same period last year, it has increased by 9.02 and 9.91 percentage points respectively. The "Deep Market Research and Investment Prospects Analysis Report on China's Automotive Parts Manufacturing Industry" released by the Forward Looking Industry Research Institute predicts that by the end of 2013, China's automobile production and sales will both exceed 20 million units, with production and sales of approximately 21.792 million units and 21.8796 million units, respectively. Since 2009, China's automobile production and sales have ranked first in the world for four consecutive years. The rapid development of the automotive industry will inevitably drive an increase in demand for parts. In addition to domestic enterprises, foreign enterprises have increased their investment in the Chinese automotive parts market in recent years, in order to take a share in the continuous expansion of the Chinese automotive market cake. In the first October of 2013, China's automobile production and sales increased significantly, and foreign enterprises' investment in China's components also increased on a large scale, such as Valeo, Yazaki Corporation, Aichuang Instruments, Aichi, etc. Among them, Valeo's investment scale is relatively large, with an investment of around 1 billion yuan in 2013. In January, Chongqing Lilong Group jointly invested 500 million yuan with Japan's Yazaki Corporation, American Aichuang Instruments, and Japan's HI-LEX to build the Lilong International Industrial Park in Chongqing Yufu Industrial Park. In April, Aichi Automotive Parts Technology Co., Ltd. opened in the northern new area of Chongqing with an investment of 25 million US dollars. In July, Shu Brakes will restart the planned production line expansion plan for the Guangzhou factory scheduled for implementation in 2012, with an investment of approximately 400 million yen (approximately 25 million yuan). In August, MOREENS CORPORATION from South Korea and Lipengjing from Taiwan jointly invested $6 million to establish an automotive parts production factory in Yongchuan City, Gyeongsangbuk do. In October, 16 South Korean automotive parts companies, represented by DGENX and Han Kook Natinal, held talks with Chinese companies such as FAW Group in order to gain investment opportunities.