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Shen Hui, president of BorgWarner, China, the world’s leading auto parts manufacturer, accepted an interview with the “First Financial Daily†and said that although the self-owned brand has been booming in China’s auto factories, it’s from the industrial chain’s With regard to the core technology and promotion degree, there is still a considerable gap in the independent brands of China's parts and components industry, and the Chinese parts and components industry urgently needs its own brands.
“China has not really discussed its own brands of parts and components. In terms of this industry, there must be a truly independent brand of parts and components companies. Only in this way will there be automakers of their own brands that truly belong to the Chinese themselves.†said Shen Hui. "Parts and components companies deserve more attention. There is now almost no prominent domestic brand of spare parts. This is a big problem."
At present, there are various defects in domestic parts manufacturers with small scale and low technical content. Shen Hui said that Zhejiang has already produced a number of powerful auto parts production and export companies, such as Xiaoshan Wanxiang, Shaoxing Wanfeng, Wenzhou Ruili, and Taizhou Yinlun. There are hundreds of small and large parts suppliers, but 80% to 90% of many companies' export products are for the after-sales service market, and it is difficult to enter the lucrative high-end market. This is mainly caused by the following reasons: On the one hand, due to the large number of "copy copies", it is very likely that IPR infringement will occur if the aftermarket is large. On the other hand, many small and medium-sized enterprises are "prosperous and quiet and have not really entered the mainstream." The market lacks long-term planning.
Not only that, in terms of brand promotion, the investment time and funds of domestic parts and components companies are obviously insufficient. Many suppliers have given up the latter in satisfying the profit before the eyes and investing large sums of profit in brand building and technological innovation. This also exacerbated the problem of bigger parts and components companies.
Another important flaw in the domestic spare parts industry is inadequate resource integration. In foreign countries, parts and components companies occupy an important position in the automotive industry, and the domestic situation is that OEMs are above the suppliers. This requires the relevant government departments of the Chinese auto industry to increase the integration between suppliers and OEMs.
In addition, in the independent development, there is a huge gap between domestic parts manufacturers. Shen Hui believes that the state encourages self-development to speak about the entire vehicle, and does not involve parts and components. In fact, there is no auto parts and components brand.
In addition, China’s protection of intellectual property rights is still lacking. Any independent research and development product of a company, if not effectively protected and cloned by its opponent, simply sells at a cheaper price after plagiarism, which leads to no one to dare to do originality, thereby stifling independent innovation. Shen Hui admits to reporters: “The reason why multinational companies dare not to do core R&D in China is to worry about technology leakage. To build an independent brand, it is necessary to truly transfer the leading technology to China. Clearing the two major roadblocks of talents and intellectual property rights is a top priority. ."
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