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Wang Ruixiang: We should focus on tackling bottlenecks and blockages such as high external dependence of chips and high-end components

In the past year, the complex and volatile economic situation and the continued spread of the COVID-19 have hit the world economy hard. The Chinese automotive industry is also struggling to move forward in the global automotive downturn, with an annual production and sales average of over 25 million vehicles, making positive contributions to promoting the development of the world automotive industry. Since the beginning of this year, China's economic development environment has continuously improved, and the automotive industry continues to show a stable and positive development trend. From January to May, the production and sales of automobiles reached 10.626 million and 10.875 million respectively, an increase of 36.4% and 36.6% year-on-year, fully demonstrating the strong development resilience and endogenous driving force of China's automobile industry. ”Wang Ruixiang, President of the China Machinery Industry Federation, stated at the 11th China Automotive Forum hosted by the China Association of Automobile Manufacturers.

Currently, chip shortage has become a global issue. Global car companies have stopped production one after another, and since December last year, the problem of chip shortage in the automotive industry has been troubling countless car companies. To this day, the shortage of chips has not eased, but rather continues to escalate.

A reporter from China Business News learned at the conference that Wang Ruixiang called for a focus on the safety and stability of the global automotive industry and supply chain. He stated that the security and stability of the automotive industry chain and supply chain are the foundation for building the global development of the automotive industry. Against the background of the worsening impact of the COVID-19 and the downturn of the world economic situation, the supply chain of the global automotive industry has frequent breakpoints and blockages, and the weak board of China's automotive industry in the process of transformation and upgrading has become increasingly prominent, which has seriously affected the healthy development of the automotive industry.

He also stated that the automotive industry is a highly globalized and integrated industry. We must continue to uphold the development concept of economic globalization and building a community with a shared future for mankind, cherish the good cooperation foundation that has been formed, and further strengthen multilateral cooperation and integrated development. We should continue to leverage our respective strengths, work together to effectively address risks and challenges, maintain and build a safe and stable industrial and supply chain, accelerate the recovery of the automotive industry, and achieve stable and healthy development. The Chinese automotive industry should focus on building an industrial chain and supply chain that adapts to the new development pattern of dual circulation in China, focusing on prominent issues such as weak core technology innovation capabilities and lack of well-known brands, and concentrate all efforts to achieve breakthroughs. We should focus on addressing the bottleneck of high dependence on foreign markets for chips and high-end components, effectively strengthen upstream and downstream linkage and joint research and development, improve effective supply, enhance industrial basic capabilities, and modernize the industrial chain. We need to continue to strengthen cross-border integration and external cooperation, strive to leverage our strengths, address our weaknesses, and enhance our capabilities, accelerate high-quality development, and continue to contribute to the prosperity of the global automotive industry through higher levels of openness and international cooperation.

Currently, the new technological revolution led by artificial intelligence is profoundly affecting human production and lifestyle. As an industry closely related to human well-being, automobiles are facing tremendous changes. Wang Ruixiang stated that we need to focus on the future development of the automotive industry. We should closely monitor the changes in the global economic and industrial landscape and the reconstruction of the innovation map, conduct in-depth research on the development trend and characteristics of the automotive industry in the post pandemic era, and plan ahead in advance. We should focus on the development trends of new technologies in the automotive industry, such as electrification, intelligence, networking, and sharing, closely connect with our own reality, and scientifically plan technological routes and implementation paths to break through weak links. We should fully utilize China's favorable policy environment and continuously upgrading market advantages, focus on diversified production and application needs, enhance market recognition and satisfaction, and build independent brands to create a full lifecycle service solution. With high-level supply quality, we should consolidate traditional markets, expand new markets, and promote sustainable development of the automotive industry.

In addition, he also expressed his intention to focus on the target requirements of carbon peak and carbon neutrality. We need to conduct in-depth research on the modularization, generalization, and standardization of new energy vehicles, increase the proportion of product research and development and production, and enhance core competitiveness. We should actively promote the development of various technological routes such as energy-saving vehicles, electric vehicles, hybrid vehicles, and hydrogen fuel cell vehicles, and promote the overall level of the industry.

Information source: Economic Daily

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