Japanese car companies started to fight back with uniform components

June 5th, 2014: Toyota, Nissan, Honda and other four passenger car companies, four truck companies including Hino Motors, and motorcycle companies Yamaha Motors and Kawasaki Heavy Industries will join hands to set up an "International Standards Symposium". High parts , such as body steel, steel, resin materials, and automotive semiconductors.

Prior to this, various car companies in Japan have been designing parts and components according to their specifications and ordering from suppliers. However, with the Japanese car companies going global and participating in more intense international competition, reducing production costs is imminent. It is said that with small cars as the center, relevant companies in Japan, such as steel plates and automotive semiconductors, have begun to standardize and have achieved the effect of reducing the cost of parts procurement by about 5%.

Reducing the cost of development and production of spare parts and reducing duplicate investment is only an attempt on the one hand. The goal of this initiative is, on the other hand, to adopt a unified standard to confront leading European companies in the development of international standards for automotive-related technologies.

Indeed, not only in Europe, in Asia, in the Americas, but even in the world can feel that the public's modular strategy is rampant. Under this strategy, the majority of parts and components have been unified standards. The versatility of parts and components has been greatly enhanced among different models. It is as large as the engine, gearbox, brake caliper, and even the reinforced screws. The benefits are not only the decline in R&D and manufacturing costs, but also the speed with which new vehicles are launched.

This modularization and platformization strategy has also been recognized by many European car companies. Car companies including Mercedes-Benz, BMW, and Peugeot Citroën have also begun to promote this strategy. The standardization of parts and technical specifications has become a general trend in Europe. This trend also follows these European car companies entering emerging markets such as China, Brazil, and India, thus creating competitive pressures for Japanese companies in the same market.

Take the Chinese market as an example. In 2013, European brands such as the German and French lines accounted for 22% of the Chinese passenger car market, of which the German brand accounted for 18.8%, while the Japanese car brands accounted for 16.4%. The intensity of competition is evident.

The counterattack of Japanese cars is to align with European car companies and form their own modular platform, such as the Toyota TNGA Modular Platform and Nissan's CMF Modular Platform. The 14 auto companies reached a consensus that the selection of components and components of a unified specification during the year will break the “barrier” between different companies on the basis of the modular platform and form a competitive “Japanese standard”. In order to fight overseas markets

Not only that, but sources said that the investment burden on cutting-edge technologies such as fuel cell vehicles and self-driving cars has increased dramatically, and Japanese auto makers will develop new-generation strategic products such as fuel cells through funds saved by the same specifications.

Japan's "parts common" counterattack has already begun. It can be predicted that in the future, due to the introduction of this strategy, the prices of Japanese cars will be further explored, and the price competition in the auto market will become more intense. At that time, in the Chinese market, Chinese brands will probably be more difficult and how Chinese brands will fight back. The ability to fight back is the biggest problem.

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