subject: Aarkstore enterprise---China industry research and market forecast: automobile parts and accessories manufacturing industry, 2008-2009 [print this page]
China is both the fastest growing motor vehicle market and the fastest growing vehicle producer. China is also the worlds second-largest car market - it produced 8.88 million automobiles in 2007, of which 8.79 million were sold. For these reasons, and others, smart investors are reading China industry research and market forecast: automobile parts and accessories manufacturing industry, 2008-2009.
As the global economy slips suffering from the unfolding global credit crisis and soaring energy prices, auto sales in China continue to boom. And, Chinas car market still has huge room to expand. At present, Chinas private car density is very low. The number of cars per 1,000 people in China is only 6 whereas the figure in developed countries is 500. Auto sales in China are expected to exceed 10 million units this year, which would represent full-year sales growth of 14 percent. In fact, auto sales have maintained double-digit growth since the beginning of this year.
This booming auto industry brings with it great opportunities for the auto parts and accessories industries. A great number of auto parts makers have increased their sales revenues severalfold. In fact, some enterprises sales revenues are now measured by the billions in RMB. All indications are that this growth period will continue for at least the next five to ten years. New vehicles in China will rise at an annual rate of 10 million units in the next few years, which means the vehicle population in the country is likely to reach 100 million units after five years. When that happens the auto-parts aftermarket will jump to 300 billion yuan, which is very lucrative to manufacturers.
