The driving force for the development of the automotive parts industry is specialized division of labor to improve production efficiency and reduce costs.

1) Industry operations are becoming more refined, simplified, and specialized

The driving force for the development of the automotive parts industry is specialized division of labor to improve production efficiency and reduce costs. Many component companies originated from vehicle manufacturers and have developed and grown to form core competitiveness. Under global integration, vehicle manufacturers focus on core processes, reduce the rate of self-made parts, and entrust them to professional enterprises to improve the degree of specialization and operational efficiency.

2) Lightweight automobiles drive the continuous extension of plastic component applications

Under the global trend of energy conservation and environmental protection, lightweighting of automobiles has become an industry direction. The lightweighting of automobiles reduces its own weight, improves power, reduces energy consumption and pollution while ensuring strength and safety, and places higher demands on component suppliers. Plastic components are replacing metal components with lightweight features, and the trend of "replacing steel with plastic" is emerging. The amount of plastic used in domestic bicycles is much lower than that in Europe and America. In the future, with the extension of applications and the improvement of processes, there is significant growth potential in China's plastic parts market.

3) Local component companies focus on segmented fields, with a trend towards localization emerging
China's automotive parts industry started late, with technology research and product design lagging behind international manufacturers, and international giants in the core parts field accounting for the majority of the market share. But with the intensification of competition, joint venture vehicle manufacturers have been incorporated into local enterprises, and some high-quality domestic enterprises have broken through in segmented fields. Local enterprises have entered the monopolized fields with their cost and service response advantages, achieving the localization of key components. With policy support, there is room for the scale of China's automotive parts enterprises to increase and improve the localization substitution rate.