The upstream of the automotive parts manufacturing industry mainly includes providing raw material markets, including metals, electronic materials such as plastics, rubber, wood, glass, ceramics, leather, etc. The midstream automotive parts have a rich variety of styles, including parts, components, parts, and system assemblies. The downstream includes automobile manufacturers, 4S dealerships, auto repair shops, auto parts suppliers, and auto modification factories.
Under the mature automotive industry chain system, complete vehicle enterprises focus on vehicle development and design, vehicle assembly, and brand management, while component enterprises are responsible for modular and systematic development, design, and manufacturing of components. Automotive component suppliers are usually classified into first tier, second tier, and third tier suppliers.
In 2023, the total production and sales of automobiles in China will be 30.161 million and 30.094 million respectively. On the one hand, this indicates that there is a huge market space for automobiles in China, and on the other hand, it also shows that people's quality of life is improving day by day, and the demand for automobiles is continuously increasing. The China Association of Automobile Manufacturers stated that in 2024, China will continue to adhere to the general principle of seeking progress while maintaining stability, vigorously boost market confidence, implement the strategy of expanding domestic demand, actively promote the overall improvement of economic operation, and achieve effective improvement in quality and reasonable growth in quantity. With the implementation of supporting policies and measures related to the automotive industry, it will further stimulate market entities and consumer vitality, and we are confident in the overall economic improvement throughout the year.