What is the outlook for auto parts

In recent years, with the support of major national projects and technical special projects, China's auto parts industry has continued to strengthen technological research and innovation system construction through independent enterprise research and development, joint ventures and cooperation, and the introduction of technical talents, and has gradually achieved breakthroughs in core technologies in some areas. An independent innovation system for Chinese brand auto parts has initially taken shape. After years of development, most of Chinese brand parts and components companies have already possessed strong manufacturing capabilities and a certain degree of market competitiveness. The corporate system management and modular supply capabilities have been improved. Through differentiated multi-level development and concentric and diversified promotion, Achieved rapid scale expansion and formed synergies among various sub-industries. Domestic auto parts companies have already possessed the industrialization capabilities of passenger car and commercial vehicle parts systems, parts and subsystems, and achieved comprehensive product coverage. After years of development, China has formed six major auto parts industry clusters in the Northeast, Beijing-Tianjin-Hebei, Central, Southwest, Pearl River Delta and Yangtze River Delta. As the downward pressure on the auto industry continues to increase, the overall development of the auto parts market is in good condition, showing a medium-to-high-speed development trend. Under the trend of globalization, domestic auto parts companies have adopted methods such as mergers and acquisitions, overseas mergers and acquisitions, equity joint ventures, joint ventures and cooperation to accelerate their expansion and integration into the global parts procurement system and go global.