The market colds forced the Chinese auto market to look for "new kinetic energy"

According to the statistical analysis of the China Association of Automobile Manufacturers, in 2018, the production and sales of Chinese automobiles were 27.0902 million and 2,808,600, down 4.16% and 2.76% year-on-year. For the first time in 28 years, the Chinese auto market, which has experienced a decline in production and sales, is looking for its own "new kinetic energy".

The next "wind vent" is coming soon

At the recently concluded Shanghai Auto Show, the first travel exhibition area was set up for the first time to showcase “Life on the Wheels of the Future”. The exhibits cover new energy, car networking, driverless solutions, laser radar, chips, high-precision positioning and maps. In the vehicle display, many new models are also loaded with a more "smart" brain.

In March of this year, China's innovative enterprise Heduo Technology conducted a road test for its mass-produced expressway autopilot solution in Beijing-Shanghai Expressway to help the machine learn the road conditions and accelerate the maturity and improvement of the technology.

Internet car manufacturer Weimar announced that its concept car EVOLVE CONCEPT will be mass-produced in 2021, the future cruising range will reach 600km, and L3 level intelligent driving assistance can be realized.

At the Shanghai Auto Show, Audi "world premiere" a new concept car - Audi AI: ME. This electric car with L4-class autonomous driving technology shows the design concept and vision of the car in the future city travel conditions.

According to vehicle designer James Nissen, this pure electric vehicle with L4 autopilot technology can be controlled by human eye tracking, voice input and touch sensing area on the door trim panel. The car is even loaded with car VR glasses. It shows the design concept and vision of the car under the conditions of future city travel.

The Roewe Marvel X Pro version of the world's first mass-produced model that has achieved the L3 level of intelligent driving at SAIC, enables the “last mile” parking and pick-up by the vehicle under low-speed unmanned driving conditions. .

The arrival of the 5G era is bringing unprecedented changes and opportunities to auto companies.

"The transmission rate of 5G communication is in Gb, dozens or even hundreds of times 4G; support the interconnection of millions of devices per square kilometer at the same time; the delay is only 1 millisecond, which is equivalent to 1/50 of 4G." Chen Wenzhao, general manager of Quality Technology Services (Shanghai) Co., Ltd. said that 5G will enable ICT to promote the automotive industry to undergo a major transformation in a hundred years.

Just before the launch of the Shanghai International Auto Show, SAIC, China Mobile, Huawei and Shanghai International Auto City jointly launched the construction of the first “5G Smart Transportation Demonstration Zone” in China, which is scheduled to be completed next year and officially opened to the public. At the same time, SAIC Motor announced that the world's first 5G intelligent network car will be mass-produced in 2020, equipped with the "world's first 5G zero-screen smart cockpit" Roewe concept car "stunning debut" Shanghai Auto Show, turning the vehicle into "second living room".

Du Jiabin, president of SGS China, said that the 5G era has brought new opportunities to the Internet of Vehicles and brought new challenges to security protection. Signal communication between infrastructure base stations and vehicles, communication between vehicles and vehicles, etc., such massive communication requires a lot of testing work to ensure safety and reliability. In a high-speed environment, whether the Internet of Vehicles system can still operate smoothly, how to do a good job of anti-information stealing, these are all need to be explored. "For example, we can do a permeable test by means of a 'white hat' hacker to see if the communication of this information can withstand penetration testing."

Experts pointed out that the high-quality development of the Internet of Vehicles is inseparable from the support of high standards. By 2020, there are expected to be 300 million intelligent networked vehicles in the world, and China is expected to have 40 million vehicles. The world's major standards organizations, as well as the United States and the European Union, are accelerating the formulation of relevant technical regulations and standards. Accelerate the development of standards in related fields.

The "Car Network (Intelligent Networked Cars) Industry Development Action Plan" issued by the Ministry of Industry and Information Technology at the end of 2018 clarifies that China will accelerate the implementation of the "Guidelines for the Construction of the National Vehicle Network Industry Standard System", speeding up the formulation and improvement of basic general categories, technology, and testing. Evaluation standards, service specification classes, and safety certification standards, and increase the effective supply of standards. Encourage the simultaneous advancement of international standardization of key technologies.

“Going out” to produce capacity overseas

It’s not uncommon for a car to understand Chinese and English, but if a Chinese-made car can understand Thai, this is nothing new. The Internet model MG ZS, which is listed in Thailand, is equipped with the i-SMART, an Internet car system that supports Thai voice control. It also makes MG the seventh-largest car brand in the Thai passenger car market.

In the Thai auto market dominated by Japanese cars for decades, it is not easy for Chinese cars to break through. The MG ZS, who understands Thai, has attracted the attention of young Thais and provided “word-of-mouth support” for more Chinese car brands to enter Southeast Asia.

“Made in China” cars are welcome, not just in Thailand. In the UK, Indonesia, Chile, Australia and New Zealand, the Middle East and other places, SAIC has formed a “10,000-class” market. In 2018, it achieved a total of 277,000 vehicle exports and overseas sales, an increase of 62.5% over the same period of the previous year. First, accounting for nearly a quarter of the overseas sales of Chinese brands. In the first quarter of 2019, SAIC Group's exports and overseas base sales continued to be the first in the country. Among them, the MG brand increased by 49.9% year-on-year; the Datong brand increased by 54.2%.

“The first thing to 'go out' is not to make sales, but to make a reputation. To have a reputation, you need to launch a suitable model and service system according to the local market situation.” Yang Xiaodong, general manager of SAIC International Business Department, said SAIC Not only do you want to let the products go "out", but also let the service and system "go out" together, and adjust local conditions according to local conditions.

In fact, SAIC has built an entire value chain for the automotive industry in innovative markets such as innovative R&D centers, production bases, marketing centers, supply chain centers and financial companies.

“A decade ago, some Chinese brands made some auto exports in Saudi Arabia, but because they traded only by exporting vehicles, the after-sales service was 'almost zero', and many parts were not available and could not be bought. Saudi consumers have hesitated about Chinese brands,” said Hazm Sami Jamjoom, chief operating officer of Saudi auto dealer Tajeer Group, on Saudi Arabia’s local road conditions, humidity, temperature, etc. The average country is not the same, and the handling of the vehicle and the timeliness of technical support are relatively high. “Now, the MG brand provides a two-year 20,000-kilometer warranty service in the local area, giving consumers a 'settlement' and also launching a 'door-to-door' service. Maintenance, maintenance, etc. are all a phone call. The service door-to, when the vehicle needs to be further overhauled, to send a scooter to the owner, these measures have made the MG in Saudi Arabia more and more people love."

Jammum said that his company has a history of more than 20 years. Since September 2017, he has become a distributor of MG in Saudi Arabia. In 2018, he achieved sales of more than 4,000 MG cars. "I am very optimistic." The development of the MG in Saudi Arabia."

According to Yang Xiaodong, SAIC’s overseas sales target for the whole year of 2019 is 350,000 units, and it hopes to form a “100,000-class” market in ASEAN. The pure electric EZS, which meets the global standard, is about to “test the water” and synchronize it globally, and realize the simultaneous listing with the Chinese market in the UK and Germany.

In recent years, the pace of “going out” of Chinese auto companies has been accelerating. According to data from Shanghai Customs, in 2018, more than 70 brands of Chinese-made cars “goed out” through the Shanghai port, with more than 230,000 exports, accounting for about 67% of national auto exports. These brands include MG, Changan, Datong, Geely, Chery and Beijing Hyundai, Guangzhou Automobile Chuanqi, etc. The vehicle types include cars, large vehicles, special vehicles, etc., and there are more than 70 export and unloading countries and regions.

Practice the internal strength "over three levels"

The new brand “gets together”, the new power of the Internet is moving from PPT to delivery; the number of intelligent networked cars is increasing, and the car becomes more “smart”... After the “new starting point” of the Chinese auto market, bid farewell to the “blowout” growth, More need to practice internal strength "over three levels."

The first big level is that Internet car companies are starting to get out of the "PPT." The Shanghai International Auto Show attracted more than 1,000 well-known domestic and foreign companies from 20 countries and regions. Among them, there are nearly 20 Internet car manufacturers in China. As of the end of March this year, Weilai Automobile's first production model ES8 has completed the delivery of more than 15,000 users; "Car and Home" announced that it will deliver its first model "ideal one" in 13 cities in October this year... ... As Internet car manufacturers enter the centralized mass production delivery period, the impact on traditional car companies will appear.

The maturity of the automotive aftermarket needs to be improved is the second level that the Chinese auto market needs to take. Relative to the European and American markets, China's automotive aftermarket is still in a state of small size, lack of brand effect and concentration. In fact, 4S stores have not been able to make substantial improvements in the sales and aftermarket for a long time. The illegal charging of financial service fees and the demand for car fare increase have caused strong public opinion.

The head of Xinkang Zhongxin Retail Business Co., Ltd. introduced that the overall auto aftermarket growth rate will be 19.37% in 2017-2018, and the auto aftermarket will continue to enter a period of rapid development in the next five years. “But this market faces the problem of low branding and linkage, high labor costs, and improved supply chain performance.”

Cai Binxu, president of the car superman rotation and head of the new retail business, said that chaining is the main development trend of China's automobile aftermarket in the future, and the "new retail" strategy can be realized through supply chain integration, online precision marketing, and traffic import. It can transform and lower the offline service store, reduce the operating cost of the store and the dependence on the manpower, thereby improving the store operation efficiency, service quality and profitability, and promoting the upgrading of the industry. According to the plan, within 2019, the number of new supermarket chain stores will reach 1,050, reaching 5,000 in three years.

In addition, the further improvement of the openness of the automotive industry has also brought pressure to autonomous car companies.

In 2018, China set a timetable for the auto industry to liberalize foreign-invested shares, and further reduce automobile import tariffs. In January this year, Tesla started construction in a super-factory-built super factory in Shanghai; as China’s first car to relax its share ratio The joint venture project, with a total investment of 30 billion yuan, will be launched in Shenyang in the second half of 2018...

“The Chinese auto market is becoming more and more open, and competition is eternal, especially in the auto industry. Competition not only makes itself better, but also benefits the industry and users. There is nothing to worry about.” Founder of Weilai Auto Li Bin answered how he viewed Tesla when he established a factory in China.

Yang Jianrong, president of the Shanghai International Trade Promotion Committee, said that in the context of the decline in production and sales in the Chinese auto market for the first time in 28 years, both auto companies, auto markets and auto shows need to find endogenous power at a new starting point. The “Branding” big article creates a better experience for consumers with a more proactive attitude.

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