Auto & Transportation

"Building a more open domestic and international double cycle cannot be separated from the important support of the import and export of automobile international trade." Xiao Zhengsan, vice president and secretary-general of China Automobile Circulation Association, said at the China Automobile Import and Export Summit Forum that how to better grasp the development opportunities and enhance the resource linkage effect of the domestic and international markets has become the need of the era for automobile industry enterprises to share global cooperation opportunities and optimize product structure.

It can be seen that China's automobile "going out" has achieved good results, laying a good foundation for building a Chinese automobile brand. Xiao Zhengsan said that the total import and export volume of China's automobile international trade has increased by nearly 27 times since China's accession to the World Trade Organization over the past 20 years, and the growth rate of automobile exports has also far exceeded the overall average growth rate of China's trade in goods, becoming a major highlight in the development of the macro economy. In 2022, the total import and export volume of automobile goods nationwide will reach 2486 US $500 million, up 11.7% year on year, of which the export value increased by 2.6% year on year 4%。 In terms of export volume, China will export 3.4 million cars in 2022, becoming the world's second largest auto exporter, showing the new competitiveness of China's auto products.

"In just a few years, Chinese self-brand cars have not only entered the markets of traditional export destinations such as Russia, Southeast Asia and South America, but also appeared in the streets of Australia and Europe," Xiao said.

The "going out" of China's automobile industry is not a "single battle" of the automobile industry, but a consensus, joint efforts and common development. For automobile enterprises, actively responding to national policies and exploring new forms and models of foreign trade are important ideas for enterprises to go to sea. Taking China Vehicle Import and Export Co., Ltd. (hereinafter referred to as General Technology China Vehicle) as an example, Gao Zhan, general manager of General Technology Group International Holding Co., Ltd. (hereinafter referred to as General Technology International), said that General Technology China Vehicle under General Technology International was the first and only enterprise with the right to import automobiles in New China, and has always served China's automobile trade for nearly 40 years, We are committed to creating a new ecosystem of global vehicle industry supply chain.

GM China Automotive actively responded to the "the Belt and Road" and "China Kazakhstan Capacity Cooperation" initiatives, and in 2019, it jointly invested and held Kazakhstan Arur Group with JAC Automotive. Up to now, there are more than ten automobile brands distributed and assembled by the enterprise in Arur Group, and the integrated distributor-assembly model promoted by Arur Group has also made Arur Group hold the top position of Kazakhstan Automobile Industry Group in a short time. At the same time, General Technology China Vehicles is also accelerating the overseas warehouse layout in key markets. Its overseas warehouse business launched in Europe, South America, the Middle East and Central Asia has effectively helped auto companies optimize the logistics links, alleviate the financial pressure, and accelerate the expansion of the international trade market.

Wu Yayu, Deputy Director of Overseas Market of GM China Vehicle International Business Unit, said that in the face of the double challenges of century old changes and century epidemic, as well as the adverse effects of the Russia-Ukraine conflict, such as increased shipping costs, chip shortages, and supply chain congestion, overseas warehouses, as a new foreign trade model, played a positive role in reducing costs and improving efficiency, and unblocking the international trade supply chain.

It is worth noting that in order to continue to enable China's automobile exports, General Technology China Vehicles and enterprises in the industry jointly launched the international marketing service platform for China's automobile exports at this forum. The platform can provide enterprises within the platform with a full chain of menu services, including national policy interpretation, industry market analysis, product introduction and marketing scheme design, capital financing and financial support, KD piece production, vehicle export, export customs declaration, logistics, domestic and foreign warehousing services, sales, after-sales and other services, and help platform enterprises to "go global" in many ways. In addition, the platform will also transform from a service-oriented platform to an industrial platform, and cooperate with enterprises in the platform to carry out all-round international production capacity cooperation in target countries and regions. Create a new model of China's automobile international trade and export through "going out in groups", and build up China's automobile brand in the process of "going out".

Relevant people expect that in 2023, the export penetration rate of new energy vehicles is expected to increase to more than 35%, and emerging markets such as South Africa, Israel and the United Arab Emirates have very promising market prospects.

At this forum sponsored by China Automobile Circulation Association and General Technology International and hosted by General Technology China Vehicles, it is widely believed that the industry association also plays a key role in the "going global" of China's automobile industry. Xiao Zhengsan said that the China Automobile Circulation Association will work with relevant market entities to increase industry research and policy advice, promote the optimization of international rail transport's adaptation standards and services for automobile goods, especially new energy vehicles, and help market entities to become bigger and stronger in international maritime transport services. At the same time, the Association will also give full play to its advantages in channels and services, connect with international auto dealer industry organizations, help Chinese auto brands build international marketing networks, rely on the destination dealer system to quickly establish localized after-sales service capabilities, win local consumers with channels and services, and achieve sustainable development of the brand.