What does an automotive OEM mean?
2 Answers
In the industry, automotive OEMs typically refer to complete vehicle or complete engine manufacturers. These manufacturers usually hold core engine technology and outsource other non-core businesses to other companies within the automotive supply chain. To distinguish them from other general manufacturers in the automotive industry, they are also referred to as OEMs. Here is additional information: Automotive OEMs: In the industry, automotive OEMs typically refer to complete vehicle or complete engine manufacturers. These manufacturers usually hold core engine technology and outsource other non-core businesses to other companies within the automotive supply chain. To distinguish them from other general manufacturers in the automotive industry, they are also referred to as OEMs.
The term 'automotive OEM' is quite common in the industry, referring to major companies that handle everything from design to production of complete vehicles, like Volkswagen or BYD. They not only manufacture core components such as engines and body structures but also assemble parts supplied by vendors into finished cars. From what I've researched, OEMs play a pivotal role in the automotive ecosystem, bridging upstream parts suppliers and downstream dealerships. Without them, mass production of the car models we know simply wouldn't be possible. What's more noteworthy is how these manufacturers drive technological innovation—like their R&D in new energy vehicles—propelling the entire industry forward. I believe their impact on consumer markets and the economy is profound. In short, understanding OEMs helps everyday car enthusiasts grasp how a vehicle comes to life.
