First, the industry growth rate will slow in 2009
Due to the continuous deterioration of the economy, the decline in automobile production and sales growth since the second half of 2008 will continue for some time. The increase in base number and the slump in the international market do not support the rapid growth of the parts and components industry.
Second, China's spare parts supplier system development model
China's auto parts companies are small in scale and have insufficient pricing power. Local enterprises face the competition of foreign-funded enterprises, their profitability is weak, and their development space is suppressed. The supporting system of parts and components with the entire vehicle factory as the core is loose and in a divided state, and the stability is insufficient. In the future, it will move closer to the international mainstream supplier system.
Third, the slowdown accelerates industry consolidation
With reference to the experience of Japan and South Korea, the rise of emerging markets has provided opportunities for local component companies to grow and expand. When industry growth slows down, it is a good opportunity for industry consolidation.
Fourth, the trend of international parts procurement
International parts procurement has seen trends in outsourcing, globalization, modularization, and simultaneous development, and the pattern of China's parts and components will be affected.
Fifth, industry integration brings about company development
Although the industry growth has been limited, with the occurrence of industry consolidation, some companies are still able to maintain rapid growth and increase their competitiveness with scale.
Sixth, the growth characteristics of multinational corporations
Although transnational companies differ in their specific strategies and management, they have common characteristics in overseas development, diversification, M&A and product R&D.
Seventh, opinion
With the further development of the auto parts industry, the advantages of the first entrants will become more pronounced;
If conditions permit, the growth of attached parts suppliers can be faster;
Overseas development can diversify risks and further increase the space for growth;
A suitable diversification strategy can reduce the risk of volatility in the automotive industry and can promote each other.
Sustained and stable R&D investment is the cornerstone of long-term growth of the company;
The important factors for the growth of the company are suitable strategies and excellent management team;
Enterprises with modular supply capabilities and simultaneous development capabilities can gain greater room for development.
The Safety Valve is an automatic valve, which is mainly used in boilers, pressure vessels and pipelines. The control pressure does not exceed the specified value and plays an important role in personal safety and equipment operation.
Henan Yunyu Machinery Equipment Co., Ltd is a specialist manufacturer of special valves include Chlorine valves, Ammonia valves, safety valves, etc and also a high-tech enterprise with research, development and manufacture of special valves. Our company is one of the industry's biggest valves manufacturer in China. The company`s tenet is surviving by quality, developing by technology, leading by focus on products. Company through scientific and technical innovation, new materials` research and application results in its leading position in this industry for years on ammonia valves, safety valves and chlorine valves. We also earned the trust of clients by providing excellent quality products and good service.
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