Comment: China's auto industry needs its own brand support

The automobile manufacturing industry is an industry with a high degree of industry association. Research shows that for each additional 1 yuan in the output value of the automobile industry, it will add 0.65 yuan in value to the upstream industry, 2.63 yuan in value to the downstream industry, and the automobile industry will have a huge driving effect on employment. At present, the auto industry employs 2.65 million people directly, and indirectly employs more than 30 million people, accounting for 11.2% of the total urban employment in China.

The automobile industry is the pillar industry of the national economy. The developed countries are all firmly grasping the control rights of the automobile industry. However, if there is no strong independent development and independent brand as a support, it will lose the right to speak, let alone control the right to control, and thus affect the country's economic independence and security.

In the past ten years, the output of Chinese cars has increased from 2.07 million in 2000 to 18.26 million in 2010, accounting for 23.5% of the world's automobile production. It has become the world's largest automotive producer, contributing 13% of taxes in 2010 and 6.13. % of GDP. However, joint venture brands in the Chinese market account for 80% of the economic power. They have strong voice and control, and their own brands are in a weak position.

With the rapid decline in China's market growth in recent years, as well as the continuous increase in China’s labor costs and deteriorating investment environment, foreign industry giants have already shown a tendency to shift their manufacturing destinations to lower ladder countries such as Vietnam and Malaysia. By then, China's auto industry, which has no "prosperity and prosperity" without strong independent brands, will face a severe situation.

Without technological independence, there is no economic independence

Joint ventures’ technology blockades and technical bastions for domestic companies and even for joint ventures are impregnable. Even if the foreign partner is in the name of a joint venture, the limited investment in technology is only selected and filtered. It is conservative and old, lacks cutting-edge technical value, and lacks technology. The cutting edge of newness. Under such circumstances, the joint venture's Chinese is technically controlled by others and it is difficult to achieve "market-for-technology".

"Without technology independence, there is no economic independence." Rand Corporation's famous statement shows the status of technology in the economy. To master the core technology, there is only one way to develop its own brand.

In the past ten years, the technical level and quality of self-owned brand cars have been greatly improved, and a certain level of R&D team and R&D system have gradually been established. However, at the pace of overall innovation, it has not been possible to break through, especially in core components. In terms of innovation, both engines and transmissions rely on imports.

From product autonomy to cultural autonomy

China’s auto industry has now developed into a critical period. However, what is still lacking is the autonomous automobile culture in China. The formation of a culture is a long-term process because it faces the need to break down the original and even ingrained cultural system. The formation of China’s auto culture is also not a simple matter of one day. To establish an autonomous auto culture, the government is the biggest promoter.

First of all, the country should firmly support its own brand from the perspective of industrial policy. We obviously can't rely on multinational brands to help us realize the strategy of car power. Originally, when we first introduced joint ventures, we hoped that the market could change technology. However, due to the needs of local economic development and the impulse to chase GDP, the joint venture became an addiction. Now that the joint venture has been in existence for 30 years, it has been independent but has survived. Under such circumstances, we may consider not establishing new joint venture projects. Even joint venture projects that have already expired may consider not renewing or giving appropriate restrictions.

Second, the government's support for independent brands must be implemented. Currently, governments at all levels have greatly supported self-owned brands on a macro level. However, there are few examples of policy implementation. Concretely, on the micro level, local governments have implemented restrictive licensing and auction license policies in an attempt to objectively promote high-end automotive consumption. The "unity" with micro-policy has greatly hampered the development of self-owned brand cars.

Third, at the level of official vehicles, it is necessary to force the use of independent brands, especially leading vehicles, because the official vehicles of the national government are very important for the guidance of automobile consumption.

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