What are the development trends in the automotive parts industry?
2 Answers
The development of automotive parts can be analyzed into the following four major trends: 1. Accelerated international industrial transfer and active mergers and acquisitions: Domestic parts companies are small in scale, weak in strength, and lack R&D capabilities. In this context, if the parts industry wants to develop rapidly, it must accelerate mergers and reorganizations to form economies of scale. 2. Automotive parts companies actively implement systematic development, modular manufacturing, and integrated supply, with the cluster development of automotive parts becoming increasingly prominent: The cluster development of parts is as important as the development of the automotive industry. To grow stronger, it must develop into an industrial cluster, which is a strategic choice for the automotive parts industry. 3. Global procurement of automotive parts will become a trend, but for some time to come, China will still focus on exports and internationalization: Currently, international buyers are becoming more rational and practical in their procurement from China. They are advancing the procurement process by selecting and nurturing potential core suppliers, enhancing their own logistics integration, strengthening communication with foreign-funded factories in China to boost their export enthusiasm, diversifying procurement destinations, and comparing with other emerging markets to decide procurement locations. 4. The development of new technologies in automotive parts is the main trend: The development of new technologies in automotive parts shows the following major trends: deepening development, increased standardization and generalization of parts, higher levels of electrification and intelligence in parts, lightweight vehicles and parts becoming a future development trend, and clean and environmentally friendly technologies becoming the high ground of future industry competition.
I've been in auto parts wholesale for over a decade, and the changes in recent years have been significant. The demand for new energy vehicle parts has skyrocketed, with our battery management system orders tripling last year. Chain operations are becoming increasingly common—what used to be small workshops now sport brand franchise signs, giving them much stronger bargaining power in procurement. Online platforms are squeezing out brick-and-mortar stores; selling brake pads via Douyin livestreams can move hundreds of orders a day, forcing traditional wholesalers like us to develop mini-programs. Smart parts are the highlight—sensor-equipped wipers that alert when replacement is due, or connected air filters that proactively push replacement reminders, which young people particularly love. Service upgrades are now critical in this industry. Gone are the days of waiting for customers to walk in; now we proactively send replacement reminders to repair shops. Data sharing is clearly the future direction.
