Surviving difficult parts suppliers looking for transformation

Recently, the China Association of Automobile Manufacturers released the first half of 2012, the auto market production and sales situation, the first half of this year, automobile production and sales 9,529,200 and 9,598,100, an increase of 4.08% and 2.93% respectively. We can see that in the first half of this year, the national automobile market showed a trend of “low first and then high”. However, the overall situation is still not optimistic. Affected by the economic situation at home and abroad, the overall auto market will not rebound quickly, and the trend towards flatness has become a consensus in the industry.

Without the rapid development of the auto market, the subsidiary auto parts market was also slightly depressed. The supporting areas were greatly constrained. In the face of the sluggish auto market, parts procurement was also slightly more cautious. Buyers’ items were significantly reduced compared to last year. The cost of developing customers' businesses has increased. Buyers are feeling pressure on suppliers to be sensitive to suppliers' quality, productivity and especially price. A person in charge of a supplier company in Zhejiang told reporters that “the supporting business is becoming increasingly difficult to do. On the one hand, the demand is reduced and the competition intensifies; on the other hand, the rising costs of raw materials, labor, etc., make the profitable. The enterprises are even more difficult to find, and it is understood that this situation has been evident since last year and that it has been overwhelmingly cold and most people thought that the situation would be relatively better this year, but so far, there are still no signs of recovery, coupled with the recent purchase turmoil, Many automobile stocks have fallen across the board, and the days of OEMs have been even more unbearable, while those in the downstream of the industrial chain have to pay for the sluggish auto market. The typical "sandwich" phenomenon also appears. "Sandwich" phenomenon refers to parts and components. The suppliers are caught in the middle of the downstream raw material suppliers and automakers, and the situation is worrying.Parts and components companies need more innovative breakthroughs to obtain survival and development opportunities. For this purpose, special matching picking workshops are organized to help suppliers and buyers Joint butt joint, in the first half of the year, 5 large and medium-sized companies were organized for stamping parts, casting parts, interior and exterior parts, and fasteners. And will feature 11 games single-game package buyers will meet. Promote the development of supporting industries.

Although the overall market is not optimistic, some suppliers have stated that they are ready for the downturn in the market environment. On the one hand, they maintain the development of the original supporting business, rely on the e-commerce platform, the on-site procurement matching model, and actively develop new ones. Our customers expect to be able to warm up after the winter; on the other hand, the transformation of enterprises is also awaited. Although the supporting areas are sluggish, the international environment is not optimistic, but the domestic automobile market is a new cake, although the market is still very Confusion, but from the series of activities in the automotive aftermarket credible brand and genuine parts, it can also be seen that the society's efforts to purify the market are positive, and the effect will certainly show. Some companies hope to seize the opportunity to actively explore the automotive aftermarket business. Under the unstable situation this year, they will walk on two legs and seek new development through transformation.

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