At the Seminar on the International Auto Parts Market and New Sunan Model held recently in Jiangsu Changshu International Auto Parts City, Chen Dongqi, Director of the Institute of Economic Research of the National Development and Reform Commission, explained this development space in three aspects: First, in the past two years in China Vehicle sales increase at a double-digit rate each year, forming a large demand for auto parts; Second, consumers' purchases penetrate from high-income people to middle-income people, and from urban to rural areas. The expansion of consumption level promotes the auto parts market. The accelerated formation of structural diversification; Third, the overall life of the vehicle is generally shortened, and the individualization of consumption has led to the addition of spare parts sales in the spare parts industry, and new types of industries such as car maintenance and beauty have emerged. Yao Jun, deputy secretary-general of the All-China Federation of Industrial and Commercial Automobile Parts and Accessories, confirmed this point with more accurate data. He introduced that for every RMB 1 added to a vehicle, it would add 0.65 yuan to its upstream market (raw materials) and 2.6 yuan to the downstream market (after-sales service).
Wu Yongchun, chairman of Changshu International Auto Parts City, said that Auto Parts City not only serves as a product trading market, but also serves as a window for domestic product exports, attracting global procurement, and organizing domestic distributors to strive to participate in international supply competition.
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