The 10th Automotive Zero Ratio Research Report jointly released by China Insurance Industry Association and China Automobile Maintenance Industry Association shows that compared with the results of the ninth phase zero-scale comparison research released in April this year, the price of common accessories of some brands has increased. Obviously, the zero ratio factor is the ratio of the sales price of auto parts to the whole vehicle. The higher the coefficient means the higher the maintenance cost of the car.
Although the price of auto parts increased significantly, the industry data in the third quarter showed a slight decline in gross profit and net profit. The overall operating income of the auto parts industry (CITIC) in the first three quarters of 2018 was 63.416 billion yuan, an increase of 12.77% year-on-year; 41.772 billion yuan, up 14.44% year-on-year; gross profit margin was 24.90%, down 1.90 percentage points year-on-year; net profit margin was 8.33%, down 2.77 percentage points year-on-year. The slowdown in revenue growth of parts and components industry was mainly due to the growth of downstream automobile sales. The slowdown in demand for parts and components; the decline in gross profit margin is due to the fact that the automakers with stronger bargaining power transfer the cost pressure to the upstream parts suppliers, and on the other hand, the prices of raw materials such as aluminum, steel and oil are rising. Increased cost.
At present, the number of enterprises in China's parts and components industry is conservatively estimated at more than 100,000, but only 13,000 enterprises above designated size. SMEs are the mainstay of the parts industry, and the industry presents 'low, scattered, weak' problems. Most enterprises are concentrated in low End, low value-added areas, low profitability, low product quality, extensive operational management is an important issue.
In the 2017 global auto parts supplier list, only four companies in China's parts and components companies were listed: Yan Feng (14th), CITIC Daika (71st), Johnson Electric (81st) and Minth Group (No. 93). In contrast, China's vehicle companies are in a pivotal position in the global automotive industry. In the ranking of the world's Fortune 500 auto companies, as many as six companies in China have entered the top 30: SAIC ( 8th place; Dongfeng (11th place); Beiqi (15th place); FAW (16th place); Guangzhou Automobile (19th place); Geely (27th place).
In addition, at the research and development level, most Chinese brand parts and components companies have weak core capabilities and low investment in technological innovation, far lower than foreign leading parts companies, and many core technologies are not in their own hands. In the vehicle-level supporting system, The large independent component group only accounts for 20% of the market share. The value-added of most independent parts and components enterprises is generally low, and it is in the low-end market; foreign-owned enterprises account for 50%, and Sino-foreign joint ventures account for 30%, occupying the middle and high-end supporting market.
Although the overall growth rate of the auto market has slowed down this year, the industry still has considerable room for growth in the future. According to the research data of the China Automotive Technology and Research Center, the peak of China's auto sales is expected to be around 42 million units. In addition, China’s 1,000-person car ownership is far below the international level. Although China has similar car ownership to the United States, compared with the number of thousands of cars in the United States, the number of cars in China is still very impressive. The development space, which also means that the demand for auto parts will continue to maintain a relatively high growth rate and space. In addition, from the perspective of capital market, the current auto parts sector valuation is close to the historical low, the valuation is low but The leader in the segment of auto parts with better growth is expected to usher in valuation repair.
