With the expansion of production capacity, going abroad is an inevitable trend for Chinese autos. At the Global Automobile Forum recently held in Chengdu, officials from the Department of Foreign Investment and Economic Cooperation of the Ministry of Commerce stated that the way Chinese car companies go abroad is not only the export of vehicles but also the establishment of new enterprises abroad. This is a bright spot in 2010. The proportion of parts and components companies established exceeds 80%, and private enterprises will become an important force for overseas investment. The biggest challenge for China’s autos to go abroad is the matching supply of services and parts, and the lack of basic equipment supports the vehicle. Ni Wei, vice president of China ASIMCO Corporation, which has long been engaged in export trade, said: “Chinese auto companies do not have the support of infrastructure for exporting automobiles. For example, many auto manufacturers export to emerging markets without support of spare parts and services. There are other related services and resources. Therefore, Chinese manufacturers must go abroad to solve this problem.†Ms. Chalin Bashevski, former chief trade representative of the United States, also believes: “China’s auto service The quality, reputation, etc. are relatively weak, so it is still very difficult for Chinese cars to enter the major developed markets." For component parts and service short boards, sharp parts production and traders have captured business opportunities. Chen Lin, Commercial Counselor of the Department of Foreign Investment and Economic Cooperation of the Ministry of Commerce, introduced that in 2010, overseas investment, the newly established spare parts production and trading companies accounted for more than 80% of the automotive industry’s overseas establishments, and the number was 285. Chen Lin also stated that China’s overseas investment has achieved a contrarian growth under the global economic crisis, and the auto industry’s foreign investment has also started to develop. Moreover, private enterprises will become an important force for Chinese auto companies’ foreign investment. Foreign investment can effectively avoid the problem of trade friction compared with simple export of products. Whether there are trade frictions in auto exports or not, local auto manufacturing industry is an important influencing factor, Ni Wei said: “In many cases, our target market does not have a local auto manufacturing industry, but Chinese autos are very popular. If the local countries have their own auto industry, they want to raise tariffs to stop our exports.†Chen Lin believes that turning product exports into capital exports can effectively solve the problem of trade friction. He believes: “When our domestic market is gradually becoming saturated, our huge production capacity is combined with foreign markets and foreign economic development. We set up factories in the country according to foreign laws to expand or develop our own automotive industry. This is actually a problem that we have to face in every automotive industry.†Ms. Chalin Bachevski also stated: “We can also learn Japan, South Korea and Europe. We should also direct our own car manufacturers. Located in the market we want to enter.†Diamond microdermabrasion, Diamond Microdermabrasion Dermabrasion for Dead Skin Rejuvenation Acne Removal Skin Deep Cleaning Skin Care Beauty Machine, China Diamond microdermabrasion Simming Machine Co., Ltd. , http://www.simmingmachine.com
Automobile components lead foreign investment