CAAM issues new plan for Chinese parts sector

The China Association of Automobile Manufacturers (CAAM) has put the finishing touches to its 11th Five Year Plan (through to 2011) for the country's auto components industry.

The industry is expected to generate some 1.2 trillion yuan ($154.4 billion) in gross industrial output value by 2010, including CNY630 billion for the OE market, 170 billion for the local aftermarket and 400 billion from exports.

What these figures show, apart from rapid growth, is a belief that China's domestic automotive sector will swallow the lion's share of output, with exports, on this projection, contributing a fairly balanced one-third of output value.

The strategic thread running through the Plan is for indigenous technology to play a fuller role than hitherto. The authorities are intent on attaining competence in the core technologies of engine, transmission and auto electronics in order to reduce reliance on foreign companies.

Key products listed in the program include engines complying with the Euro IV emission standard, components for hybrid vehicles, direct gasoline injection systems, diesel engine cleaning systems, exhaust gas recirculation systems, continuously variable transmissions, semi-automatic manual transmissions, fully automatic transmissions and double-clutch transmissions.