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Car industry can be upgraded under 'One Belt One Road' strategy

Source: | Date: Nov. 2

  • Boosted by national industrial plans and supportive policies, China's car industry had grown at a steady pace in the past, with new energy cars seeing rapid growth in production output and sales.

  • However, since 2015, the car market has shown signs of slowdown. Due to slower macroeconomic growth and private consumption, the market share of domestic car brands has kept falling. Moreover, Chinese automotive spare parts suppliers are lagging far behind multinationals in terms of R&D, brand competitiveness, and overall corporate strength.

  • In this light, stabilizing growth and restructuring has become the center of focus in the car industry.

  • During a forum, industry insiders and experts suggested restructuring and transforming the car industry in the context of the “One Belt One Road” development strategy.

  • One expert says that the Chinese car industry should specify its target markets and step up R&D and localized production, while encouraging qualified companies to invest, build plants, and promote car leasing businesses in countries along the Silk Road Economic Belt and the 21st Century Maritime Silk Road. Moreover, there is a need to strengthen the development of domestic brands, speed up the R&D of energy-saving and new energy vehicles, and capitalize on the favorable investment conditions to promote industrial transformation.