Hu Daozhong: The warming up of the auto industry does not mean that the mold industry is hot

We know that, judging from all aspects of the current information, it is no suspense that the total automobile sales in the domestic market will exceed 10 million this year. The China Association of Automobile Manufacturers has also raised its production and sales target for domestic cars this year to 10.2 million units, which is an increase of 350,000 units from the forecast at the beginning of the year. So, will the mold industry, which is closely related to the auto industry, follow suit? Mr. Hu Daozhong, a senior engineer from Dongfeng Mould Stamping Technology Co., Ltd., believes that this is not the case.

Hu engineers believe that the good situation in the domestic auto market is mainly due to the implementation of the National Tax Relief Vehicle Purchase Tax and the development of the vehicle revitalization and development program. It can be said that there is still a lot of room for development in the Chinese auto market. This is due to the needs of the automotive society and the fact that China’s car ownership per thousand people is still very low. However, this does not mean that the domestic auto mold market will surely follow.

He analyzed that the vigorous development of the auto industry will inevitably represent the auto manufacturers will continue to introduce new cars, which of course is conducive to the automotive mold industry. However, it is worth noting that with the intensification of fierce competition among many automobile manufacturers in China, it will lead to two situations: On the one hand, manufacturers accelerate the launch of new cars, but may be mainly remodeled vehicles sharing the platform; on the other hand, in order to further increase costs Competitiveness and cost-effectiveness, manufacturers are also tending to push the "star of the main model," which in turn makes the new car launch will become more cautious.

In this way, it indicates that the era of more common - 1 car plant launched 5 - 10 new cars in one year, is likely to never return. Therefore, although it seems that car companies seem to be pushing new cars on a frequent basis, it is actually not a substantial boost to domestic auto mold companies.

At the same time, according to the statistics for the first quarter of this year, North American car sales fell by 38%, Japan fell by 30%, which shows that European and other countries experienced a sharp decline in car sales, indicating that the international giants of the automotive industry had a hard time. The domestic auto companies that are joint ventures with them will certainly be affected by the negative effect of their parent company. Then, as the joint venture capital comes in, the number of automotive molds originally intended to be developed in the country will be reduced accordingly. Based on the general downturn in the international market, China's auto mold exports this year are also difficult to achieve greater growth.