Chinese car companies become the global automotive industry

The strength of Chinese car companies is accelerating. A few days ago, the 2017 latest Fortune Global 500 rankings were released. China has a total of 6 vehicle vehicles, including SAIC, Dongfeng, FAW, BAIC, GAC and Geely. The number of shortlisted companies ranks first in Japan and exceeds that in Germany and the United States. France, etc.

More crucially, the ranking of China's car companies is showing rapid growth. SAIC's ranking has surpassed that of Nissan, BMW and other traditional multinational car companies, while Dongfeng, FAW, BAIC, Guangzhou Automobile also has a significant increase in rankings. The analysis pointed out that compared with before, the development of Chinese car companies is more quality, and the rapid development of independent brands has become the key to the rapid increase in rankings.

Chinese brand demand growth

In this list, the Chinese car companies continue to continue to develop at a high speed. In the number of finalists, they are already in line with Japan, and all six companies are on the list. Among them, Shanghai Automotive Group Co., Ltd. ranked 41th, Dongfeng Motor Co. ranked 68th, China FAW Group Co., Ltd. ranked 125th, Beijing Automotive Group ranked 137th, and Guangzhou Automobile Industry Group ranked 238rds. Zhejiang Geely Holding Group ranked 343. Compared with the 2016 rankings, they have increased by 5, 13, 5, 23, 65 and 66 respectively.

Among them, the GAC Group's ranking increased by 21.5%. This is the fifth consecutive year that GAC has entered the “Fortune” world top 500, ranking first in the state-owned auto group.

In the first half of this year, GAC Group achieved a sales volume of 936,500 vehicles, an increase of approximately 31.65% over the same period of last year. Sales growth ranked first in the domestic six largest auto groups, and its market share increased to 7.2%, a record high.

In 2016, Dongfeng also sold 4.277 million vehicles, with a high quality of more than 4 million new steps, a year-on-year increase of 10.4%, fulfilling the challenge goal, and ranking second in sales; the company realized operating revenue of 571.76 billion yuan, a year-on-year increase. 9.9% realized profit growth of 7.4% year-on-year, and taxes paid increased by 3% year-on-year.

Compared with before, the biggest feature is that China's large-scale auto groups have already sought the scale effect from simply relying on joint-brand branding and processing, and gradually turned to seek brand effects, began to focus on core technology development, and sought a full-system competitive advantage.

This year, GAC Group released a brand new strategic plan, announced the new brand slogan, “The craftsman is on the mind” and opened the prelude of three major upgrades including technology upgrades, product upgrades, and industrial upgrades. By the end of the “Thirteenth Five-Year Plan” period, GAC Group strives to become a well-known brand in the Chinese auto industry, an international automotive group brand with global influence and high social responsibility.

Dongfeng Motor invested 19.70 billion yuan in scientific and technological activities last year, accounting for more than 7.2% of sales revenue, and will continue to increase in the future. At the same time, Dongfeng Motor won 5 China Science and Technology Progress Awards for automotive industry, with 1,317 patents authorized, of which 1,526 were patents for inventions, ranking the industry for many consecutive years.

“Guangzhou Automobile Research Institute has set up an R&D center in the Silicon Valley of the United States and plans to establish a Detroit R&D center at the end of the year to provide technical support for the follow-up of independent brand products into the North American market.” Wang Qiujing, director of the Guangzhou Automobile Industry Research Institute, said in an interview that the Guangzhou Automobile Industry Research Institute will also We will expand overseas R&D centers in other regions in a timely manner, actively explore and deploy the global R&D network, and eventually create a 24-hour “not-fall” R&D system.

The overall performance of global car companies has steadily progressed

Compared with the rapid development of Chinese automobile enterprises, the traditional large-scale automobile enterprises have performed relatively smoothly throughout the global automotive industry.

According to reports, a total of 23 car companies entered the global top 500 in 2017, and the best-performing Toyota Motor Corporation of Japan ranked fifth in terms of revenue of US$254.694 billion, ranking one place higher than last year, ranking first among all car companies. Followed by the public, ranked seventh, operating income of 240.263 billion US dollars. This is also the top two car companies in the global automotive industry.

The second camp is Daimler, General Motors, Ford, Honda, ranked 17th, 18th, 21st and 29th, operating income of 169.483 billion US dollars, 166.38 billion US dollars, 151.8 billion US dollars and 129.198 billion US dollars. From the perspective of traditional multinational car companies, the overall change is relatively small, Toyota has risen by three places, Volkswagen has risen by one, Ford has not changed, and BMW has even fallen by one.

From the point of view of profit, Japanese car companies are a little higher than those of other countries, and Toyota’s profits have reached 16.899 billion U.S. dollars. The second-placed Volkswagen has only 5.937 billion U.S. dollars, which is far lower than that of Toyota, and even worse than Daimler and GM.