"Based on the different considerations of auto parts suppliers in terms of strategic vision, response strategies, research and development strategies, etc., the future parts industry will present six major development trends: supplier reforms, supplier industry chain integration, new suppliers joining the market, Expansion of business models, mergers of suppliers and industries, and expansion of overseas markets. "On August 22, Deloitte released the" China Automotive Industry Risk Analysis Report 2019-Parts Market ".
The report shows that the automotive industry as a whole is undergoing a complex transition period. Chinese auto parts companies have begun to develop towards the energy revolution, intelligent networking, and smart manufacturing. The auto parts industry will present the aforementioned six development trends.
From the perspective of Deloitte China automotive industry risk consulting service partner Zhang Xudong, the Chinese automotive industry was in a period of rapid growth from 2005 to 2010, a period of slowing growth from 2010 to 2017, and an industry transformation from 2017 to 2020. It is also at this stage that the automotive industry has experienced negative growth for the first time, fuel-fueled vehicle sales are limited, and new energy vehicle sales are still in their infancy. Automobile manufacturers are transitioning to the new four modernizations. Sales are cold and production is falling.
However, Zhang Xudong also pointed out that with the increase in consumer demand for new energy vehicles and the rise in shared travel business, the automotive industry may usher in a second growth from 2020 to 2025, and from 2025 to 2030 With the maturity of intelligent driving technology, it has entered a mature period.
During this industry transition period, the gradual realization of highly intelligent and shared driving scenarios will deeply reshape the future automotive industry chain structure, establish a new independent value chain, join new value chain participants, and restructure the value chain.
Among them: due to the development of driverless technology, new tier one suppliers will be generated; the OEMs 'purchasing habits will be biased towards the innovative technologies and parts related to the New Fourth Modernization; the OEMs' procurement scope will also include emerging technology companies; Under the pressure of cost, the OEM will continue to reduce the purchase unit price.
In this context, Deloitte expects six major trends in the component supplier industry.
The existing first-tier suppliers of parts and components have their own changes. They will develop new products through new departments and companies, reallocate resources, and put more investment in future product lines.
Tier 1 suppliers acquire better cost advantages by acquiring Tier 2 suppliers;
Tier 1 suppliers horizontally merge and acquire Tier 1 suppliers to improve the industrial chain;
New Tier 1 suppliers join the OEM procurement system;
Under the new business model, suppliers will look for new customer sources, such as mobile travel platforms;
Some parts companies will explore overseas markets.
In the context of the transformation of the automotive industry, component suppliers also face many risks in the development process, such as: suppliers focusing on certain components unique to traditional power vehicles will face the challenge of shrinking market demand; supply of some new energy power components The bargaining power is poor, the payment conditions of upstream suppliers are harsh, cash flow management is difficult, the downstream customer needs update and iterate quickly, and there is a risk of bad debts; some smart device component suppliers have the risk of large initial investment in production and high product iteration requirements. Suppliers have risks such as poor bargaining power.