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According to Xinhua News Agency, well-known precision instrument manufacturers and Japan Seiko Co., Ltd., which plays an important role in Japan's auto parts industry, will set up factories in China to provide inexpensive auto parts and components for Chinese emerging auto makers.
According to media reports, in December 2008, Seiko Group will establish a joint venture with Zhejiang Wanda Group to build a new factory to mass-produce low-cost automobile direction assistance systems for the rapidly developing Chinese automotive manufacturers in recent years. "The new joint venture plant will produce electric power steering systems for cars. Seiko and Wanda will invest 60% and 40% respectively, which will be exclusively provided to Chinese auto companies." Ms. Song, advertising manager of NSK Investment Co., Ltd. (Japan Seiko China headquarters) stated that The factory will land in Zhejiang.
In an interview with us, the director of the Zhejiang Wanda Group Office also said that Seiko and Wanda will jointly work together to produce a high-quality automobile power steering system. The new factory has been completed and falls within the Wanda Group's factory area. It is understood that, at present, foreign cars and light car electric power steering systems are gradually replacing the traditional hydraulic power steering system, some enterprises in Tsinghua University and Anhui, Shanghai have this research, but there is no large-scale industrial base.
As far as the current Chinese market is concerned, with the upgrading of the automobile industry, the auto parts industry is also rapidly developing. The technical requirements for advanced engine systems, steering systems, and chassis systems will be improved. Multinational companies in this area With an absolute competitive advantage, there will be a new market background as more and more independent companies move forward.
Wanda Group's auto parts products are mainly based on power steering systems for cars. At present, it has established a long-term supply relationship with Chery Automobile. The products are also used in models of many auto companies such as SAIC-GM-Wuling, FAW-Volkswagen and Hunan Changfeng Group. In addition, Nippon Seiko Co., Ltd. has a good network of parts and components, while Seiko Co., Ltd. has advantages in precision machining and has established seven wholly-owned companies in China. This joint venture with Wanda Group aims to develop low-cost vehicles in China. Parts industry.
Variety
In fact, as early as 2007, foreign investment in China has already undergone subtle changes. On November 20, 2007, Johnson Controls Wuhu Auto Trim Co., Ltd., a joint venture between Chery and Johnson Controls Inc. of the United States, can be seen as a sign that multinational corporations are accelerating their parts and joint ventures. In 2008, such a move was still in place. Constantly increased.
According to incomplete statistics, in the first three quarters of 2007, there were 12 newly signed Sino-foreign component parts joint ventures and 3 parts and components joint venture projects, among which there was no shortage of 200,000 units of annual production capacity established by FAW Liberation and German Deutz. The diesel engine plant, China National Heavy Duty Truck and Ireland invested RMB 100 million to establish an independent suspension system production base. Beiqi Holding and Johnson Controls Inc. produced a large number of automotive electronic components including body control systems and instrument display systems.
In the third quarter in particular, the wholly-owned projects of multinational companies showed a declining trend. There are only two newly contracted companies: the German automotive system in July 2008 announced the establishment of a Chinese R&D center in Shanghai, and September 2008. Magna Powertrain (Changzhou) is a sole proprietorship company invested by the Canadian Magna Power Company.
Foreign investment methods have also gradually changed: Joint ventures with domestic companies to produce low-cost auto parts, specifically for Chinese automakers. In the past, Japan’s large-scale auto parts suppliers were only serving Japanese car dealers in China, and there were few factories that provided products to local auto companies. The Seiko Group will cooperate with Wanda Group on behalf of The rapid growth of Chinese companies, on the Other hand, also means that auto parts companies in Japan, South Korea and other countries are paying more and more attention to the business in China.
Games
According to Wanda Group's introduction, as early as 1997, Wanda had already had a sense of development in the field of automotive power steering systems, but at the time it was planned to set up Xiaoshan Shakino Steering Machinery Co., Ltd. in Zhejiang, a joint venture with Delphi Corporation to produce automobile steering gears, etc. Enterprises of auto parts products will eventually be terminated due to differences in Chinese and Western cultures.
“The joint venture with Japan is actually a game process. The production of electric power steering systems is mainly based on their R&D products, and we provide supply channels. With the help of the new platform, Wanda Group can absorb some advanced technologies. With the help of this technology, an important opportunity will be won for the development of the company, said Director Lai.
According to this group of data, of the top 100 auto parts suppliers in the world, 70% have already started business in China. There are more than 1,200 foreign-funded enterprises that manufacture auto parts in China, and they invest in parts and components companies. 70% of foreign investors chose sole proprietorship.
The gradual transformation from the preferred sole proprietorship to the strengthening of joint ventures and cooperation will certainly be beneficial to the development of the industry. The analysis of the industry insiders is due to policy support and the development of the company.
The National "Eleventh Five-Year Plan for Development of the Automobile Industry" clearly stated that it is necessary to comprehensively increase the competitiveness of the auto parts industry and strive to become a global component manufacturing country by 2020 and become an international component industrial powerhouse, with numerous transnational zeros. The competition between parts companies in China is also growing, and they are also increasingly aware of the need to work with local partners.
However, foreign parties will not take the initiative to send the technology to China. It is understood that the proportion of 60% and 40% of the controlling share between Japan and China at the time of this cooperation is still the result of the Wanda Group's final competition. This is also the practice of most multinational corporations in China. At the beginning of the establishment of the joint venture company, the foreign party required more shares to be held. In February 2008, GETRAK, a joint venture between the German Getrag Group and the Jiangling Motors Corporation ( Jiangxi) Transmission Co., Ltd., Germany's shares reached 66.7%.
Compared with direct foreign ownership, the risk of joint ventures is that multinational giants can rely on their own capital and technological advantages to have absolute control over key auto parts investment projects. The weak voice of local companies will surely give Self-development brings pressure.
Head Science & Technology Corporation , http://www.syprintingmachine.com