Shanghai Motor Show 2013 Suppliers expand China operations as OEMs look… — Volkswagen Lavida

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Shanghai Motor Show Suppliers expand China as OEMs look for localised, parts

International suppliers to serve both Chinese and players present in China, to do the suppliers are expanding bases and on offer to meet every market segment to assure

International suppliers are announcing and expansions in China in a bid to counter from home grown part suppliers, as international look for cheaper, local to make their models in China.

ThyssenKrupp begins new parts plant construction

automotive engine parts Thyssenkrupp started construction of a this month that produce camshafts for vehicles in The company has invested EUR38 in the first phase of the Thyssenkrupp production base in Changzhou in eastern Jiangsu province, the states in a press release. The new will begin production in with an annual capacity to 1.2 million camshaft models per Changzhou is just 160 km from

Aisin opens Shanghai to raise penetration

Japanese supplier Aisin Seiki has a new branch in Shanghai to further sales of its products to automakers in the Shanghai region of China. The sales branch will promotions to automakers based in the the company says in a press At the Shanghai Auto Show, the will display a range of products which meet regulations as well as comfort-oriented and power sliding door The Aisin group is thus Chinese automakers to enlarge of high-value-added system products, the specialty, the company says.

The company established the Aisin Technical centre in Jiangsu in 2011 and a sunroof plant – Wuxi Body Parts – also in Jiangsu province in the same year.

Webasto to 3 new China plants in 2013

sunroof maker Webasto open three new facilities in this year, the supplier says in a news release. The market is the most important and automotive market for Webasto and the company will expand its in China by raising the number of plants to 10. Webasto will expand its products on offer to in China, with parking which help reduce wear in cold regions, and target electric car makers.

The use of lightweight materials is of increasing to automakers in China and Webasto is the use of polycarbonate materials for its roof which it says are 50% lighter glass.

Electric cars are friendly, but have a limited says Webasto, adding in the cold season, electrically the vehicle consumes up to 50 % of the battery’s At the Shanghai Auto Show, is exhibiting its newly developed High Voltage Heater heater. The Webasto HVH is designed to be equipment and can be installed in all hybrid and vehicles.

China is the most and largest automotive market for With seven production we have already a very footprint here. To satisfy the of our customers we have to follow footprint and expand our production. In we are going to open three new in China, explains Dr Holger Chairman of the Management Board of SE. In addition we are developing the Chinese for our parking heaters. Especially in the regions parking heaters comfort from the start and engine wear.

International automakers look for suppliers

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Competition in the supplier is currently higher than Japanese automakers are pushing to local suppliers who meet quality standards, but which are cheaper than their Japanese part suppliers, reports. Nissan, Toyota, and are cited as mainstream Japanese who have started to use parts made in China.

No matter how you at it, pure Chinese suppliers are Shouhei Yamazaki, senior for purchasing at Nissan’s local Dongfeng Nissan Passenger Co, told Reuters.

Outlook and

Automakers are looking to gain share in China. To do this need to be present in large segments. Volkswagen (VW), for has a market share of 11.44% in the vehicle market in China in as per IHS Automotive data and analysis. is by far the leading brand in China. The for the C segment continues in China as fight for the largest volume in China. The segment was not led by a VW vehicle, but the number of their models in the gave the brand over 1 units in this segment in 2012.

VW sold 1,035,622 units in the in China during 2012, Hyundai was the second-strongest volume-selling in the C-segment, with sales of units. GM’s Buick was in place with total sales of 450,383 units. took fourth spot volume sales of 296,360 while fifth place was by Nissan, who had a total sales of 282,036 units.

The battle for C sales will continue in as automakers look to take of the largest volume sector in The segment overall saw sales of units in 2012, an annual of 11.1% from the 5.4 million sold in 2011. The C segment 45% of the overall passenger-car market in our data show. Within the the best-selling model in 2012 was the Focus with annual of 296,360 units, up 56.84% The Buick Excelle from Motors (GM) was next total sales of 277,071 an increase of 9.29% y/y. Corolla was relegated to third with sales of 276,418 dropping 4.84% y/y and losing its top from the 2011 annual in China. In fourth spot was the (VW) Lavida with of 247,475 units, down y/y. The VW Jetta took position with total of 242,528 units during the an increase of 11.32% y/y.

Meanwhile the high growth SUV also attracts strong and automakers are also expanding in segment (see China: 15 2013: Shanghai Auto 2013: Automakers brace for competition, launches to include EVs and ).

The surge in new electric vehicle at the Shanghai Auto Show are that automakers are taking the government’s aim to increase electrification of the seriously as a result the trend for materials and parts is accelerating in the New fuel consumption regulations are pushing suppliers to develop parts to win over OEMs who in are looking for ways to reduce consumption (see China: 21 2013: China introduces new consumption standards ). Vehicle consumption takes in to account a lot of related not just to engines, but to transmissions, drivelines, vehicle materials, HVAC (heating, and cooling systems) and so on. Therefore now give greater emphasis on other vehicle technologies as reducing the vehicle’s weight by lighter materials, says Huang, IHS Automotive’s director for technology in Shanghai.

Volkswagen Lavida
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